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Case Reports

2018/6 Dismissals anticipating a transfer of undertaking validated (HU)

Journal European Employment Law Cases, Issue 1 2018
Keywords Dismissal/severance payment, Transfer of undertaking
Authors Gabriella Ormai
AbstractAuthor's information

    The Hungarian Supreme Court has held that within the context of the transfer of an undertaking, the transferee can terminate employment relationships immediately after the transfer for operational reasons and can commence preparations to that effect before the transfer.


Gabriella Ormai
Gabriella Ormai is a managing partner with Ormai és Társai CMS Cameron McKenna Nabarro Olswang LLP Ügyvédi Iroda in Budapest, https://cms.law/en/HUN/Office/Budapest.

    The Curia (Hungarian Supreme Court) stated in its ruling that length of service is not a protected characteristic under discrimination law. Length of employment cannot be considered as a core feature of the individual based on which he or she would belong to a specific group, as it is a result of his or her own actions. It therefore cannot be treated as a ‘miscellaneous’ ground for the purposes of the Hungarian Equal Treatment Act. Further, length of service cannot be linked to age discrimination. The length of service of an employee is not directly connected to age, therefore treatment of an employee based on length of service with a specific organisation cannot be considered age discriminatory.
    A claim based on discrimination must be supported by a comparator. Employees with different educational backgrounds and jobs with different the educational requirements, are not comparable for the purposes of equal treatment law.


Gabriella Ormai
Gabriella Ormai is the managing partner of the Budapest office of CMS Cameron McKenna LLP (www.cms-cmck.com).
Case Reports

2016/44 Is there a genuine remedy for the employer’s failure to consult? (HU)

Journal European Employment Law Cases, Issue 3 2016
Keywords Employee representatives/collective bargaining, obligation to consult
Authors Gabriella Ormai and Peter Ban
AbstractAuthor's information

    During negotiations for a collective bargaining agreement, the employer stopped consulting the employee representatives because a sectorial collective bargaining agreement had entered into force that also applied to the employer. After this, the trade union requested an appointment with the employer on a specific date and proposed an agenda for the meeting, including consultation on the impact of the sectorial collective bargaining agreement on the employees. The employer refused to meet on the requested date. The trade union challenged this via the Labour Court. The first and second instance courts turned down the trade union’s claim and confirmed the employer had acted lawfully. The Curia (the Supreme Court) established that the employer had breached its obligation to consult – an obligation deriving from the Labour Code which implemented Directive 2002/14 establishing a general framework for informing and consulting employees – but at the same time it refused to order the employer to proceed with the consultations, leaving the trade union without an effective remedy.


Gabriella Ormai

Peter Ban
Gabriella Ormai is the managing partner of the Budapest office, Peter Ban is a senior counsel of CMS Cameron McKenna LLP, www.cms-cmck.com.

    In accordance with EU law, the prohibition against gender-based discrimination (in this case: dismissal relating to pregnancy) cannot be limited to employment relationships as defined in national law: it must also apply to other types of legal relationship, where one party provides services to another party for consideration, for an open-ended period of time under the supervision of a principal.


Gabriella Ormai
Gabriella Ormai is a partner and

Péter Bán
Péter Bán is senior counsel with CMS Cameron McKenna LLP, www.cms-cmck.com.
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