Labour Law

Labour law is one of the most sensitive areas in the operation of businesses. Failure to comply with labour regulations can result not only in official fines or court cases, but in the long term it can also jeopardise employees’ trust, the company’s good reputation, and its operational stability. For this reason, our practice in labour law counselling not only follows legal regulations but also understands and supports business objectives.

How can a labour lawyer help?

An experienced labour law or employment lawyer is not only important when a conflict has already arisen. In fact, real value is shown where there is not yet a case, only a question. Effective labour law counselling begins at the level of company strategy: with the development of internal regulations, contract templates, HR processes, or even laying the legal foundations for organisational restructuring.

The aim of our law firm’s labour law practice is to make legal security not a burden but a competitive advantage for the business. Our clients include Hungarian and international companies, family businesses, startups, and multinational subsidiaries alike.

Main areas of practice

1. Employment contracts, regulations, and internal documentation

Current labour law regulations are strict and often change. We help develop transparent and lawful employment contracts, collective agreements, cafeteria or home office policies. These are not templates but tailored documents fitting the company culture, which protect the employer in the long term.

2. Termination of employment, handling dismissals

Incorrect legal execution of a dismissal carries significant risks—litigation, compensation, loss of reputation. As labour lawyers, we pay special attention to ensuring that the termination of employment is always lawful, fair, and well documented. Whether it is a probationary period termination, ordinary dismissal, or collective redundancy, we ensure legal protection throughout the process.

3. HR consultancy and organisational restructuring & execution of collective redundancies

For company leaders, organisational transformation or internal restructuring poses not only strategic but also serious labour law challenges. Our practice supports this: during relocations, changes of position, and reconsideration of wage or benefit systems. Labour law is not an obstacle but a framework within which safe change is possible.

Main areas of practice

4. Labour law representation before courts and authorities

When a dispute does arise, effective and experienced representation is needed. As labour lawyers, we represent companies in employment litigation and during official investigations—such as by the labour inspectorate or data protection authority (NAIH). Here, quick response and well-prepared defence are crucial.

5. Supporting Hungarian subsidiaries of foreign employers

In a multinational environment, it is often necessary to harmonise international HR guidelines with Hungarian labour law. We excel at this—we provide labour law advice in English and German to prevent misunderstandings between the parent company and local operations.

6. Employment of foreign workers in Hungary

More and more domestic and international companies employ foreign labour in both intellectual and manual positions. However, this entails serious labour, immigration, and administrative requirements—employment contracts, residence permits, notification obligations, and special tax rules. Our practice covers the full legal support for the lawful employment of third-country and EU citizens in Hungary, including pre-recruitment legal advice, drafting employment contracts, and coordinating proceedings before authorities.

Proactive approach – not just firefighting

Too many employment lawyers only step in when there is already a problem. We believe that a good labour lawyer can add value much earlier, during business planning or HR strategy formulation. The goal is not just legality, but also to ensure that labour law does not hinder, but helps the company achieve its objectives.

Who do we recommend our labour law practice to?

  • Business owners and executives who wish to avoid employment lawsuits, fines, and inconveniences.
  • HR managers who have to make decisions on labour law issues daily and value quick, comprehensible, and reliable advice.
  • Hungarian subsidiaries of foreign parent companies, where smooth interaction between two legal systems and English or German language documentation is particularly important.

Labour law is not only about obligations but also provides the opportunity for a company to operate stably, transparently, and predictably. An experienced labour lawyer or employment lawyer is a strategic partner in this. We are not only familiar with the laws but also with the workings of business life—and that is what sets us apart from others.

1. When is it advisable to seek labour law advice?

Not only in case of problems, but already when concluding employment contracts or developing internal regulations. This way, later legal disputes and fines can be avoided. Proactive labour law advice saves time and money in the long run.

2. What should a valid employment contract contain?

The employment contract must include the employee’s basic data, job title, salary, working hours, and place of work. It is also advisable to record the probation period, benefits, and conditions of termination. A labour lawyer helps ensure the contract is not only legally compliant but also reflects business needs.

3. When is an immediate termination valid?

Immediate termination is only valid if it has a well-founded, justified, and documented reason. Typically, serious breaches of contract or conduct that makes continued employment impossible can justify it. In legal proceedings, labour law advice is particularly important, as faulty dismissal may expose the employer to significant compensation claims.

4. What is the most common mistake when terminating employment?

The most common mistake is a formally or substantively flawed dismissal. Often, proper justification is missing, or there has been no prior legal consultation. An experienced labour lawyer can help ensure the termination is legal and defensible.

5. What should we pay attention to when employing foreign workers?

When employing foreign workers, attention must be paid to regulations concerning residence and work permits, registration, taxation, and notification obligations. Unlawful employment can result in severe fines. A labour lawyer helps develop the right documentation and procedures, especially in the case of third-country nationals.

6. Can we establish our own internal regulations?

Yes, the employer is entitled to create its own internal policies, for example, on home office, bonuses, or codes of ethics. However, these are only enforceable if they are consistent with labour law regulations. Labour law advice helps ensure these rules do not conflict with the law and truly protect the employer.

7. What should we do if we are subject to a labour inspection?

It is important to remain calm and cooperative and to provide documents immediately and in an orderly manner. If the authority’s request is unclear, it is worth involving a labour lawyer. Our practice regularly represents companies in labour supervisory procedures, so we can respond well-prepared.

8. Why is it important to involve a labour lawyer in collective redundancies?

In case of collective redundancy, the employer has strict notification and consultation obligations. Unlawful procedure can have serious consequences—such as reinstatement or compensation. A labour law advisor helps ensure the process fully complies with legal requirements.

9. What are the benefits of having a permanent labour law advisor?

A permanent partner knows the company’s operations, internal systems, and HR practices and can therefore respond faster and more accurately. They can also alert to potential legal risks in time and help prevent them. A well-prepared employment lawyer provides long-term peace of mind and predictability for company leaders.

Our experienced team is at your disposal

Lajos Law Firm
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