The Fidesz-led majority in the Hungarian parliament approved controversial legislation on July 4 that changes the legal status of teachers from being public servants from January 1, 2024, despite objections from teachers’ unions and student groups.

The legislation strips teachers of many of their entitlements. It would introduce a new disciplinary regime involving the suspension of salary payments, extend the number of hours of daily and weekly work and require work on Sundays. Education district centres will have the right to transfer teachers to a different location within the district if the commute by public transport does not exceed three hours. Furthermore, they could be punished or fired if they openly criticise the education system.

Some of the contentious parts were left out of the bill, such as the monitoring of mobile phones or computers.

Over the past year, teachers have demonstrated and gone on strike for higher wages as Hungary's inflation, running above 20%, erodes salaries that are already below the national average and second-to-last among OECD countries.

Many critics referred to the bill as the "Revenge Law", perceived as punishment for teachers' year-long resistance after the government virtually made striking impossible with a decree in February 2022. Over the last 18 months, a number of demonstrations and civil disobedience movements were held.

The government said the new legislation aimed to improve the quality of education and lead to higher wages. The government claimed that monthly salaries for teachers will rise significantly once Hungary receives EU funds. A performance-based system will be introduced.

Teachers unions have said that some 5,000 teachers considered leaving the profession if the bill was passed, which would further aggravate the labour shortage.

There are 16,000 vacant positions currently and the age tree of teachers is also worrisome, as the majority are above 50 years of age. Each year some 6,000 retire while 1,500 graduate each year due to bad working conditions and poor wages. 

Teacher salaries in Hungary are one of the lowest in the EU, less than two-thirds of the salaries of other tertiary graduates in Hungary. Carreer starters' net wage is hardly above €550 and reaches €1,100 after 40 years.

Opposition MP Anna Donath said the European Commission will start infringement procedure against the legislation. Student groups are collecting signatures for a possible referendum on the issue.