Reference year 2019
1Target group
The minimum age to start an apprenticeship is 14 years old, after finishing lower secondary school. Yet, in the first year, however, practice can only take place in a workshop, not in a real company.
Primary schools provide eight years of general primary and lower secondary education to children aged 6 to 14. Students can apply for vocational education after that.
Acquiring the first two vocational qualifications in the state-subsidised vocational education and training system is free, the second vocational qualification (from 2015) can only be obtained in adult education (after 25 years of age individual can take part only in adult education).
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Pursuant to CXC 2011. Act on National Public Education
Students who participate in a vocational school training programme are generally between 14 - 17 years old students.
2Overview of the scheme
The scheme is included in the ISCED 2011 mapping, level 353.
The Hungarian Chamber of Commerce and Industry is responsible for assisting students in finding practical training opportunities at companies.
The Chamber is also responsible for the accreditation and registration of enterprises providing practical training, the countersigning (validation) and registration of training contracts, and the inspection of training provision. The Chamber has become a key actor in VET over the past years, and through several agreements made with the government it now plays a dominant role in qualification design (developing standards, framework curricula and examination procedures) organisation of VET examinations and quality assurance.
Guidance to both students and companies wishing to enter apprenticeship training is available at a national VET guidance network operated by the Hungarian Chamber of Commerce and Industry since 2001. Pursuant to the VET Act, local chambers have to assist, supervise, validate and register the conclusion of training contracts, and they also participate in career guidance activities targeting primary school students.
The dual vocational training was introduced by the new Act of 2011 on VET.
The origins of dual vocational training go a long way back in Hungary. This type of training was dominant in skilled workers’ training before the political regime change (1989), and only the economic collapse in the early 1990s set it back for a decade. The institutional system of the apprenticeship contracts was regulated in such details in the Act on vocational education and training in 1993. Since then, the conditions and contents, its operation has changed several times, in accordance with the needs indicated by the chamber. Due to these changes, it has become one of the core elements of dual vocational training by 2012.
Since the beginning of the 2000s every government has supported apprenticeship. The legal framework allowing and supporting dual vocational training has gone through a decade-long development. The new Act CLXXXVII of 2011 on vocational education and training and the subsequent legislation introduced further specifications and modifications.
The aim of apprenticeship today is to fulfil the labour market needs of a successful economy, and to provide career opportunities for a young, skilled workforce. The aim of training skilled workers is not the acquisition of lexical knowledge, but to train successful and efficient employees. As for enterprises, the main motivating force is not short-time profitmaking, but high level training of the future employee, which is considered an investment with a long-term return.
The most important resource in funding of enterprises are their vocational training contributions (see Q13) and the National Employment Fund.
The training section of the National Employment Fund is constituted of the vocational training contribution paid by enterprises. The aim of the vocational training contribution is to involve enterprises in vocational training besides state stakeholders.
The amount of the vocational training contribution is the base of the social contribution tax imposed on the entity obliged to pay a contribution, and its extent is 1.5 per cent of the basis of the vocational training contribution. (It is 1.5% of the vocational training contribution base (gross liability).The contribution can be settled by organizing practical training. In this case, the extent of the contribution can be decreased by a normative subsidy set forth in advance. Since January 1st, 2013 other organizations have joined the circle of training providers with apprenticeship contracts, which were not obliged to pay vocational training contribution originally. By the end of the tax year 2015 other organizations pursuing practical training based on apprenticeship contracts, could reclaim subsidy based on application in the framework of a grant process. In case the sum of the normative subsidy exceeds the extent of the contribution duty, the difference can be reclaimed by training providers with apprenticeship contracts. Another incentive for an extensive circle of practical training providers is that their funding is supplemented by a further subsidy: from January 1st, 2016 they will receive extra normative subsidies (investment, instructor, workshop maintenance decreasing items), by which the sum to be reclaimed can increase. The subsidy is mostly available for SMEs.
There are two financial incentives for companies: tax deduction from the vocational training contribution; and normative subsidy.
1. Tax deduction.
The vocational training contribution at 1.5% of the social contribution tax defined by the tax legislation is compulsory for companies registered domestically or abroad those are active in Hungary. So, the vocational training contribution is practically a VET tax levied on enterprises to 1.5% of the total labour cost.
The contribution obligation may be met in three ways:
(1) by payment to the development and training subfund of the National Employment Fund; (2) by organising practical training for students in vocational training schools or in tertiary education; (3) by organising trainings for own employees.
Vocational training contributions not spent on vocational training provision must be paid into the training subfund of the National Employment Fund.
The cost accounting of apprenticeship-contract-based training has been simplified by the regulation that let the entrepreneurs meeting their vocational training contribution payment obligation by organising practical training.
The companies can reduce the contribution amount, as of 2015, by the product of the base normative amount of HUF 480,000/cap/annum (~EUR 1500).[2]
2. Normative subsidy
Organisations that are not obliged to pay the vocational training contribution (for example: hospitals, central budget institution) or SMEs enterprises whose vocational training contribution less than the normative subsidy can also receive support from the National Employment Fund training subfund for providing practical training based on an apprenticeship training contract.
The National Employment Fund supports the reduction of new investments and the cost of trainers. The vocational training contribution may be further reduced in accordance with the Act CLV of 2011 on the vocational training contribution and the support for the development of training.
The number of apprenticeship training contracts in 2019 was 51.180.
Year | Total number of VET students (VET grade - ISCED level 353) | Students in dual vocational education grammar schools (VET grade) | Total number of students | Number and share of students holding an apprenticeship training contract |
2013/14 | 60,280 | 53,096 | 113,376 | 49,000 (43%) |
2014/15 | 58,848 | 48,001 | 106,849 | 50,000 (46%) |
2015/16 | 49,125 | 46,748 | 95,873 | 50,000 (52%) |
2016/17 | 43,049 | 42,799 | 85,848 | 53,000 (61%) |
2017/18 | 40,332 | 40,667 | 80,999 | 54,000 (66%) |
2018/19 | 40,340 | 33,665 | 74,005 | 51,000 (69%) |
2019/20 | 63,700 | 33,100 | 96,800 | 51,180 (52%)* |
*not final
Central Statistics Office (2019): Education data, 2018/2019
http://www.ksh.hu/docs/hun/xftp/idoszaki/oktat/oktatas1819.pdf
Ministry for Innovation and Technology (2019): Vocational Training 4.0.
https://www.nive.hu/index.php?option=com_content&view=article&id=1024:s… (Hungarian version).
Data released by the Hungarian Central Statistical Office (2019):
The scheme leads to the vocational qualifications listed in National Vocational Qualification Register, which are recognised by the state. The vocational qualification listed in the National Vocational Qualifications Register is awarded at the final vocational examination organised at the VET school, based on uniform standards.
The National Vocational Qualification Register contains those qualifications which are recognized by the state. Legal background: Government Decree 150/2012. (July 6) on National Vocational Qualification Register. Today 758 vocational qualifications (200 partial qualifications and 558 basic and add-on qualifications) can be found in the register. Register available: https://www.nive.hu/index.php?option=com_content&view=article&id=297 (Hungarian version)
Link to the list of qualifications: https://www.nive.hu/index.php?option=com_content&view=article&id=297
VET qualifications based on an apprenticeship training contract are linking to the EQF/HUQF level 3 and 4.
EQF/HUQF level 3: Hand & Nail Care - Nail Builder, Beekeeper, Chimney sweeper, Construction and material handling machine operator, etc.
EQF/HUQF level 4: Cook, Waiter, Confectioner, Bricklayer, Hairdresser, Electrician, Car mechanic, Trader, CNC operator, etc.
From 4 March 2016 National Vocational Qualification Register contains the EQF/NQF levels of qualifications. See the list: https://www.nive.hu/index.php?option=com_content&view=article&id=297 (Hungarian version).
For more information about the Hungarian Qualification Framework and linking qualification see the Hungarian Referencing Report: EQF National Coordination Point, Educational Authority (2015): Referencing and Self-certification Report of the Hungarian Qualifications Framework to the EQF and to the QF-EHEA. http://www.ehea.info/Uploads/SubmitedFiles/2_2015/090700.pdf (English version).
Dual vocational training is not a separate pathway in Hungary, but a very integrated part of the initial VET at upper secondary level. Pursuant to Act CLXXXVII of 2011 on vocational education and training, the practical training component of any IVET programme provided within the formal school system can be organised either exclusively in a school workshop or at an enterprise or at both venues. The scheme leads to the same vocational qualifications listed in National Vocational Qualification Register, which are recognised by the state.
The entry requirement to the higher education is the secondary school leaving certificate. Therefore if individuals wish to continue their studies in higher education, they need to complete a two-year general education programme to obtain the secondary school leaving certificate.
3Programme
Since apprenticeship training is not a separate pathway, the general governance system and regulatory framework are the same in any VET programme, irrespective of where practical training takes place. The awarded vocational qualifications are also the same, and are referenced to the Hungarian NQF level 3 and 4. The peculiar regulations concerning practical training based on an apprenticeship training contract are defined in Act CLXXXVII of 2011 on vocational education and training.
4Duration
Duration of apprenticeship may be 12, 24 or 36 months.
Vocational school programmes run for three years. An apprenticeship may be concluded effective from the start of the first year . The apprenticeship contract may be concluded for the total remaining time of the training, and may be terminated in cases specified by the Act of vocational education and training.
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5Alternation of work-based (in-company) training and school-based training
If students has an apprenticeship contract, the practical part of the training must be completed in the company.
In Hungary, practical training can be pursued in the school workshop, or at the enterprise or other organization entitled to pursue practical training. Practical training is necessary to obtain a certificate in a defined work area, in a defined job, the duration of which is specified in the base document of the training.
If the proportion of required exceeds 40%, an apprenticeship contract must be concluded.
The form of alternation of training between company and VET school depends on the specific of qualification, training hours of practical training and agreement between VET school and company.
- every week includes both venues;
- one week spent at VET school is followed by one week at workplace
For a minor student, the practical training time shall not exceed 7 hours a day, and 8 hours a day for a major student. The daily training of a minor student shall be organised between 6 am and 10 pm. The student shall be granted at least 16 hours of uninterrupted rest between the end of the practical training and the start of practical training on the following day. The student shall not be employed to do practical training in excess of the daily training time. The practical training of the student shall not take place at the organisation delivering the practical training:
- on the days of theoretical training;
- on the day of events organised by the VET school where every student must be present;
- on the examination days of the student during his/her studies and the days of the mandatory complex vocational exam at the end of his/her studies; and
- whenever the employee of the practical trainer is also exempted from the obligation to work pursuant to the labour legislation.
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Regulated by paragraphs 37 and 38 of Act CLXXXVII of 2011 on vocational education and training.
6Formal relationship with the employer
There are two possible (legal) types of practical training in enterprises.
- Apprenticeship training contracts are concluded between the student and an enterprise, which provides practical training as well as a regular allowance to the student. Length of apprenticeship: 12, 24 or 36 months. The dual vocational training scheme is based on the apprenticeship training contract. Apprenticeship training contracts are concluded between the student and an enterprise in written form. This contact is countersigned by the territorially (county) competent economic chamber of the Hungarian Chamber of Commerce and Industry. Apprenticeship training contracts can be concluded with the students from the beginning of the first vocational training year for training preparing them for the first vocational qualification recognised by the state and eligible for central budget support. The apprenticeship training contract contains the contracting parties and the organisation of the training and specifies the rights and obligations of the student and the training organisation (enterprises), respectively, the conditions of the termination of the contract, and the allowances to be extended to the student.
- Alternatively, under certain conditions, a VET school may conclude a cooperation agreement with an enterprise to provide practical training for its students. In this case, learners are not contractually linked to the employer, neither do they receive remuneration (they do receive an allowance only for the duration of their practice during the school summer holidays).
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Regulated by paragraphs 42 and 48 of Act CLXXXVII of 2011 on vocational education and training
Apprenticeship training contract is partially covered by the Labour Code. This is a formal agreement (contract) between the student and employer (enterprise). This contract regulated by paragraph 25 of Act CLXXVII of 2011 on vocational education and training.
However, apprentices shall have all the rights of employees as regulated under the Labour Code. Apprentices may also initiate legal disputes to assert his/her claims related to practical training, in accordance with the provisions applicable to labour disputes.
During the period of apprenticeship training contract students get into the social security system, have insurance, are entitled to receive sick leave benefit and the period of apprenticeship is counted into the service time when pension is calculated.
Pursuant to paragraph 43 of Act CLXXXVII of 2011 on vocational education and training, local (county) chambers have to assist, supervise, validate and register the conclusion of apprenticeship training contracts.
Learners are in student status in their vocational schools. But in the framework of practical training provided under apprenticeship training contract, the student of a vocational school shall have all the rights of an employee under the Labour Code.
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Regulated by paragraph 26 of Act CLXXXVII of 2011 on vocational education and training.
7Compensation
Apprentices, with any type of contract, receive an allowance. This amount is personal income tax free for apprentices. This exemption regulated by Act No. CXVII of 1995 on Personal Income Tax.
4/2002. (II. 26.) Ministry of Education
Regulation on allowance of students participating in school-based vocational education and training.
https://www.tanuloszerzodes.hu/content/42002-ii-26-om-rendelet-az-iskol…
Act nr. CLXXXVII of 2011 on vocational education and training.
https://www.tanuloszerzodes.hu/sites/default/files/files/jogszabalyok/2…
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Regulated by paragraphs 71 of Act No. CXVII of 1995 on Personal Income Tax.
Companies that provide practical training have to pay a regular monthly allowance to the student, including holiday periods. Apprentices receive 10.5-19.5% of the mandatory minimum wage (161 000 HUF) during the first term of the first VET grade, depending on the share of practical training within the training programme.
The company must pay this amount to the student each month. The company must pay this amount to the student each month (from the beginning to the termination of the apprenticeship contract). The employer may reduce the allowance if the student is unjustifiably absent.
Mandatory minimum wage in 2020: 161 000 HUF
Share of practical training within the training programme | full time training (100%) | in HUF | part time training (60%) | in HUF |
80% | 19.5% | 31,395 | 11.7% | 18,837 |
70% | 18% | 28,980 | 10.8% | 17,388 |
60% | 16.5% | 26,565 | 9.9% | 15,939 |
50% | 15% | 24,150 | 9% | 14,490 |
40% | 13.5% | 21,735 | 8.1% | 13,041 |
30% | 12% | 17,880 | 7.2% | 10,728 |
20% | 10.5% | 16,905 | 6.3% | 10,143 |
Apprenticeship training at an enterprise is financed by the company, so the allowance is also paid by the company (employers). Companies can, however, deduct the training costs from their (mandatory) contribution to the vocational training and can also get further expenses reimbursed from the training sub-fund of the National Employment Fund.
Companies that provide practical training have to pay a regular monthly allowance to the student, including school and holiday periods.
The company must pay this amount to the student each month (from the beginning to the termination of the apprenticeship contract) In one case, the business may reduce the allowance if the student is unjustifiably absent.
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Regulated by paragraphs 63 of Act CLXXXVII of 2011 on vocational education and training.
8Responsibility of employers
The vocational school provides for the vocational theoretical training of students, while practical training is done by enterprises or other organisations (enterprises, entrepreneurs, budgetary bodies, cooperatives, craftsmen, merchants, etc.). The enterprise is responsible for the preparation of the student for the practical part of the final complex vocational examination based on the professional and examination requirement issued for the given qualification and the vocational training framework curriculum. The vocational training framework curriculum describe the professional content of the practical training. The company is constantly documenting what the learner is working and practicing.
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Regulated by paragraph 36 of Act CLXXXVII of 2011 on vocational education and training.
Companies shall provide the apprentice with occupational health and safety education relevant to the practical training task, regular medical checks of the apprentice during the training period, work clothes, personal protective equipment, discounted meals and travel expenses.
Companies shall provide the human and material conditions necessary for preparation for the practical training requirement and for the practical exam.
At companies students are dealt with by instructors/trainers with different professional and teaching skills, which lead to outcomes of uneven quality in terms of students’ vocational qualifications. To ensure company-based vocational instructors/trainers are appropriately qualified, the VET Act of 2011 lays down the requirement for them to have a teaching examination from 2015.
On 1 September 2019, new regulations came into force. Hungarian Chamber of Commerce and Industry organize two types of training for trainers/ masters. If the instructor doesn’t have a sector-relevant higher education degree, one of the two courses is compulsory.
- Master craftsman training (including a teaching skills course) and master craftsman examinations are organised by the Hungarian Chamber of Commerce and Industry. It's mostly about professional development.
- The Vocational Training Act introduces a new Professional training on September 1, 2019: Professional Trainer of Commerce certified by Hungarian Chamber of Commerce and Industry. During the Professional Trainer of Commerce, the participants learn pedagogical, psychological and documentation skills.
In accordance with the relevant legislation, each instructors/trainer pursuing practical training at companies has to own a master craftsman certificate or a chamber practical training certificate. A waiver of this obligations can be given when the instructor has sector-relevant higher education degree and 2 years of experience, or non-sector-relevant higher education degree and 5 years of experience, or is over 60 years of age.
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Regulated by the paragraph 68 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 36 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 31 of Act CLXXXVII of 2011 on vocational education and training
If the enterprises have an apprenticeship but does not provide education satisfactorily, it is sanctioned by the local chamber of commerce and industry.
Based on the decision of the Chamber of Commerce and Industry, the company cannot continue to dual vocational training.
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Ildikó Görgényi Modláné (2015): With Dual Training in the World of Work. Hungarian Chamber of Commerce and Industry, Budapest. p. 55. https://www.tanuloszerzodes.hu/sites/default/files/files/downloads/Dual…; (English version)
The role of the Hungarian Chamber of Commerce and Industry has been increasingly significant; it has become a key actor in shaping VET policy and performs important duties in accordance with its 2010 agreement with the government. Chamber has become a key actor in qualification design (developing standards, framework curricula and examination procedures for the majority of qualifications required for blue-collar jobs), organisation of VET examinations and quality assurance.
It has also exerted considerable influence on VET policy, initiating the transformation of the structure of VET.
The Ministry for Innovation and Technology supports active involvement of all VET stakeholders in this process through the newly established VET Innovation Council. This is a debating and advisory body. In cooperation with the main VET advocacy bodies to support demand-driven transformation of the VET system. It will formulate proposals for policy decision-making and support implementation of initiatives in VET and adult learning.
The county development and training committees (operated by local Chambers of Commerce and Industry) play a very important advisory-consultative role in VET financing and development. The scope of the county development and training committee includes any issue which may affect the promotion of the vocational training development in the given county. The first step of planning is the proposition of the committee to the so-called qualification structure decision, which defines training courses which can be subsidized or cannot be subsidized, or subsidized to a limited number of places by the state within the school system.
On 12 December 2017 the Hungarian Parliament passed the amended Act on Vocational and Adult Training, opening the way for establishing Sectoral Skills Councils (SSCs). A sectoral skills council can be considered representative if at least 51% of its members are economic stakeholders working in the same sector. SSCs will establish their own procedures; their members may vary from 7 to 19 persons per SSC, depending on the sector. Other VET and economic stakeholders (schools, teachers, business federations and economic entities) may support the work of the councils, issuing opinions or making proposals through an online digital platform currently under development.SSCs are coordinated by the Hungarian Chamber of Commerce and Industry and the Hungarian Chamber for Agriculture for its own sectors. SSC representatives will take part in the National Council for VET and Adult Learning, a countrywide forum for reconciling professional interests, representing the sectors vis-à-vis the Hungarian Government.
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Regulated by the paragraph 75, 76 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 77 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 78, 79 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 80 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 81, 82, 83 of Act CLXXXVII of 2011 on vocational education and training
Regulated by the paragraph 80 of Act CLXXXVII of 2011 on vocational education and training
Ministry for Innovation and Technology (2019): Vocational Training 4.0.
https://www.nive.hu/index.php?option=com_content&view=article&id=1024:s… (Hungarian version).
On top of its strategic role (see Q38), the Hungarian Chamber of Commerce and Industry is responsible also for examination procedures for the majority of qualifications required for blue-collar jobs. It participates in the organisation of VET examinations, and performs quality assurance functions, among others, in cooperation with entrepreneur associations and advocacy organisations. Also the Hungarian Chamber of Commerce and Industry organize the national competition “Star of the Trade Festival” and chamber is responsible for the tasks related to WorldSkills and EuroSkills.
Also the Hungarian Chamber of Commerce and Industry is responsible for assisting students in finding practical training opportunities at companies.
The Chamber is also responsible for the accreditation and registration of enterprises providing practical training, the countersigning (validation) and registration of training contracts, and the inspection of training provision.
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Ministry for Innovation and Technology (2019): Vocational Training 4.0.
https://www.nive.hu/index.php?option=com_content&view=article&id=1024:s… (Hungarian version).