Most people working in Budapest are employed in the private sector, which accounts for about 80% of Hungary’s overall GDP. The economic crisis of 2008 affected the country’s economy considerably and it had to fall back on a financial assistance package. In 2010, the government took on the economic downturn and implemented a number of changes. These included cutting personal income and business taxes for people working in Budapest, and imposing additional taxes on financial institutions, retailers, and telecom and energy companies.
Coupled with these measures, the government also increased exports and, in 2010 and 2011, the economy finally recovered. However, despite the economic growth of almost 2% in these years, Hungary has been subject to the European Commission’s Deficit Procedure. The government has held the deficit at bay and it remains under the EU tolerance threshold of 3%. In addition, the unemployment rate in Hungary, as of 2015, is at an all-time low of approximately 6.7%. This, coupled with the fact that real incomes have been increasing over the past four years and that income taxes will decrease in 2016 is good news for those looking to work in Budapest.
Traditionally, foreigners who settle down in Budapest have found work as language teachers. Today, there are plenty of different jobs available for expats working in Budapest. Since Hungary joined the EU in 2004, various international companies have invested in branch offices in Budapest, creating many new job opportunities in the city. If you are not transferred abroad by your employer, there are various online job databases you can try:
You can also turn to a recruitment company or contact an employer directly if you want to skip the middle man. You might be able to apply for a position which has not otherwise been advertised or which has just opened up. That way, there might be less competition and you might be able to land the job of your dreams. Some companies with branch offices in Budapest are Diageo, AB InBev, ExxonMobil, Vodafone, British Petroleum, and Nokia.
Before you negotiate your salary, you should first consider the overall cost of living in Budapest. Try not to think about your previous salaries too much. What you will earn working in Budapest might be less than what you are used to. However, the costs for basic living expenses are also a lot lower.
If you are not sure what to expect and are afraid to sell yourself short, try to ask around among friends working in Budapest. They might have a better idea of what you can ask for. Salary comparison calculators might also help you prepare for salary negotiations. Keep in mind that taxes will be deducted from your salary so it is important to figure out how much you will finally earn after deductions.
Whether you are looking for a job or if you are about to start working in Budapest and need some support, chambers of commerce often offer a lot of support. There are branches of various countries in Budapest you can turn to. The chambers of commerce which are present in Budapest include:
In addition, there are different organizations which are not affiliated with a particular country, such as the Budapest Chamber of Commerce and Industry, the Budapest Enterprise Agency, or the Joint Venture Association.
There are various business centers and commercial areas in the city where business life is booming and expats will feel right at home. The Budapest Fair Center, also known as the HungExpo Center, is one of the largest conference and exhibitions centers in Hungary. It is located in District Ten and hosts various high-profile business events and conferences.
District Five is the heart and soul of Budapest and home to important businesses, the Parliament Buildings and ministries. It is also the major economic center of the city. Slovak, on the other hand, is the commercial core of Budapest and offers a cosmopolitan mix of bars, restaurants, shops, and clubs. District Ten is the major manufacturing zone of the city. The name of the district, Kobanya, literally means “stone quarry”. Today, many breweries, the largest of them being Dreher, use the stone quarries in the area.
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