National Interest Reconciliation Council - Hungary

Source: Government of Hungary

On 27 July 2002, on the initiative of the government, together with the employers’ organisations and the trade unions, an agreement was concluded to renew cooperation within the framework of the reformed National Interest Reconciliation Council (Országos Érdekegyeztető Tanács, OÉT).

The conclusion of the July 2002 agreement has formulated as a fundamental principle that Hungary's renewed system of "interest reconciliation" should be shaped by a tripartite dialogue between the government and the social partners.

At its first meeting the new OÉT adopted an "agreement on the renewal of interest reconciliation". The agreement provides that the competence of the OÉT is considerably wider than that of the previous forum, and covers all issues related to the world of labour, including discussion over national economic policies, labour market development, tax and social security systems. The government and the social partners agreed that they will negotiate with a view to seeking agreement within the OÉT. It was also agreed that the OÉT will hold 12 meetings a year in order to be able to cover all the responsibilities specified by the government and the social partners.

All three sides have also agreed to develop a comprehensive system of "meso-level" (sectoral, subsectoral or regional) social dialogue in order to harmonise the Hungarian industrial relations system with the practices of the EU Member States. As a starting point, they will seek the establishment of bipartite sectoral social dialogue committees, assisted by the government and funded by the EU.

The agreement also establishes the organisational structure of the OÉT. According to the agreement, the work of the OÉT will be assisted by a number of specialised bodies and special committees. The majority of these bodies had been set up by the predecessors of OÉT, and will work according to their own rules agreed upon in the past.

The specialised bodies are:

• the National International Labour Organisation (ILO) Council;
• the European Integration Council (Európai Integrációs Tanács, EIT); and
• a new Sectoral Council (Ágazati Tanács, ÁT) with responsibility for directing the sectoral dialogue twinning programme under the EU's Phare programme, and assisting in the establishment of bipartite sectoral social dialogue committees.

The special committees cover:

• collective agreements;
• economics;
• equal opportunity;
• information and statistics;
• the labour market;
• labour law;
• health and safety;
• training and vocational training; and
• social welfare.

The government and the social partners have agreed that the forum for consulting over strategic national issues and programmes will be the Economic and Social Council (Gazdasági és Szociális Tanács, GSZT). The GSZT will be a broad body representing all interests within the Hungarian society and economy, including the social partners.

The agreement also provides for the establishment of a distinct national-level interest reconciliation forum for the public sector - the Public Sector Interest Reconciliation Council (Közszolgálati Érdekegyeztető Tanács, KIÉT). The KIÉT will be composed of representatives of public sector unions and local government associations.

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