Hungary halts work visas from three countries: How the new rules work

Dubai: Hungary has stopped issuing worker visas to citizens of the Philippines, Georgia, and Armenia, marking the initial step in a wider overhaul of the country's guest worker system.

According to a Reuters report, the new rules have taken effect on June 5 and are aimed at tightening access to Hungary's labour market amid concerns that foreign workers could put pressure on local wages.

The move has followed the election victory of Prime Minister Peter Magyar's Tisza party, which has pledged to reduce reliance on non-European Union workers and prioritise jobs for Hungarian citizens.

Under the changes, Hungary will “change decree” allowing manpower agencies to recruit workers from the Philippines, Georgia, and Armenia through a simplified visa and employment process.

The government has noted that foreign workers who are already in Hungary can continue to apply for permit extensions.

On the other hand, applications that have been submitted before the new rules came into effect will continue to be reviewed.

Government spokeswoman Vanda Szondi has described the measure as the “first step” towards a longer-term solution for managing guest worker programmes.

In the Reuters report, the government has bared that the reforms are designed to protect Hungarian workers and prevent wages from being pushed down by an increasing supply of foreign labour.

“We will not allow foreign guest workers to take the jobs of Hungarians and push down salaries,” said Tisza in its election manifesto.

Official data has revealed that foreign workers account for around two percent of Hungary's workforce. Despite the relatively small share, industries such as manufacturing and services have become heavily dependent on overseas labour.

The policy has raised concerns among some of Hungary's largest foreign investors. Companies have warned that a complete halt to the inflow of guest workers could make it harder to fill jobs, disrupt operations, and weigh on economic growth.

Business groups have argued that foreign workers help address labour shortages rather than replace local employees, particularly in sectors facing persistent recruitment challenges.

While officials have not yet revealed the full details of their long-term strategy, further changes to guest worker policies could follow as the government seeks to reshape the country's labour market under its new administration.