The number of registered job-seekers has been on the decrease for five weeks as a result of the job creation wage support programme which will contribute to the creation of almost 38,900 new jobs, the Minister of State for Economic Strategy and Regulation at the Ministry for Innovation and Technology said, outlining the progress of the implementation of the Economy Protection Action Plan at a press conference held on Monday in Budapest.

László György stressed that processes on the labour market have developed favourably lately, in June 12,000 more persons were in employment than in January, and only 30,000 fewer than last June. He also recalled that compared with ten years ago, in June 742,000 more persons were in employment in the Hungarian economy.

The Minister of State said protecting jobs and creating new ones to replace those destroyed by the virus continue to remain the highest priorities. He said as part of the Economy Protection Action Plan, the government is supporting almost 920,000 workers one way or another.

He highlighted that in the interest of improving the competitiveness of businesses, the Ministry together with the Hungarian Chamber of Commerce and Industry is developing measures designed to reduce bureaucracy.

Regarding the details of the proposal package, Mr György said they would further simplify calls for proposals implemented from EU and domestic funds, relying on the results of the programming period between 2014-2020.

He observed that according to plans, by the end of August the vast majority of grant documents will be handed over in the Hungarian high-tech and green calls for proposals targeting micro-businesses as well as small and medium-sized enterprises, and from that point onwards, it will be up to the businesses concerned when they will be able to access funds.

Among the most important measures designed to reduce bureaucracy, the Minister of State also mentioned the reduction of notarial fees. He said they would like Hungarian fees to be in proportion to the notarial fees customary for competitors in the region.

He drew attention to the fact that, based on the position of the National Tax and Customs Administration, coronavirus tests can be recognised as legitimate costs.

Regarding the more accurate targeting of job creation wage support programmes, Mr György said processes on the labour market give rise to optimism, and therefore from 16 July grants can be requested in the case of less readily employable workers, registered job-seekers under 25 and long-term job-seekers.

He also indicated that they are planning to make distance work more flexible from the autumn, stating that the simplification of the rules relating to distance work serves long-term continued employment.

The Minister of State highlighted that, based on consultations with the organisations of entrepreneurs, they will compile a company white book, a package of recommendations. Through compliance with work place standards and procedures, it will be possible to minimise the risk of the spread of the coronavirus.

Mr György said they are supporting almost 145,000 job-seekers, nearly 16,000 students have availed themselves of the Student Loan Plus, and with a variety of support programmes they are protecting 496,000 jobs. More than 61,000 persons applied for participation in the eight-week basic IT training course, while the government is assisting the creation of more than 70,000 jobs with job creation programmes. Ninety thousand persons are taking part in public works schemes; however, the total number of public works scheme workers has been raised to 200,000 for this year.

Some 200,000 workers are receiving job protection wage support, 5,400 more than two weeks ago, and 94 per cent of applications received have been accepted. Two thirds of subsidised businesses are small and medium-sized enterprises, the Minister of State observed.

More than 18,500 persons are receiving research and development pay support, 950 more than two weeks ago, he added.

Regarding the state-subsidised credit and guarantee programmes, Mr György said the number of accepted credit and guarantee applications currently stands at 12,400. In total, applications have been received to the value of HUF 609.5 billion, while the contracted portfolio amounts to HUF 271.2 billion; these exceed the values of two weeks ago by 41 and 46 per cent, respectively.