From the 1st of July 2012, Act XXII of 1992 on the Labour Code, which was effective from the 1st of July 1992, had given place Act I of 2012 on the Labour Code (New Code). The New Code has brought a lot of changes concerning the cessation and termination of the employment. The univoque aim of the legislator, near reducing the number of the labour suits, was resolving the inconsistency of the practice, corresponding to the changing social and economic relations, furthermore harmonising the Hungarian law to the law of the European Union. The rules concerning the termination of the employment have not substantially changed. The New Code broadens the list of cases regulated previously. Concerning the termination of the employment, the New Code determines the ordinary dismissal as dismissal, whereas the extraordinary dismissals as dismissal with prompt effect.
At the same time, it is a new rule, that the parties could terminate the definite term employment with dismissal, if the conditions determined by the New Code emerge. The New Code has brought substantial changes concerning the rules of the dismissal protection. It constricts the number of cases when the dismissal protection could be applicable and respecting the application of the dismissal protection, it considers authoritative the moment of the notification of the dismissal. For example an expectant mother could refer to the dismissal protection, if she had notified the employer about the pregnancy before the notification of dismissal.
According to subsection 3 of section 65, there are cases, when the dismissal should not be communicated, whereas according to subsection 2 of section 68, the dismissal could be communicated, but the termination period would start earliest after the last day determined by the New Code.
The New Code, contrary to the old one, determines 6 months as the longest term of the dismissal period. The rules of the acquittal and the severance pay have not changed substantially. Regarding the dismissal with prompt effect, the legislator makes a distinction between the termination with motivation and the termination without motivation. It is a substantial modification regarding the unlawful termination of the employment, that according to the rules of the New Code, the employee could claim for damages as arrears of salary, which could not exceeds the 12 months amount of the absence fee. The restoration of the employment could be executed only in the few cases determined by section 83 and only if the employee requests for it.