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Trade Union and a subsidiary of an MNE
Lead NCPHungary
Supporting NCP(s)
DescriptionSpecific instance submitted by a trade union concerning an alleged non-observance of the OECD Guidelines by a subsidiary of an MNE.
Theme(s)Employment and industrial relations
Date30 May 2019
Host country(ies)Hungary
SourceTrade Union
Industry sectorManufacturing
StatusConcluded
Summary

Read the final statement issued by the Hungarian NCP on 9 September 2020: Hungarian


On 30 May 2019, a trade union submitted a specific instance to the Hungarian NCP alleging that the subsidiary of a multinational enterprise operating in Hungary had breached the Employment and Industrial Relations (Chapter V) provisions of the OECD Guidelines. By submitting the specific instance, the submitter aimed to enforce the collective bargaining with the employer as well as the conclusion of a collective agreement

On 3 September 2019, the Hungarian NCP accepted the specific instance concluding that the issues raised merited further consideration as it found there was a credible link between the issues raised and the activities of the MNE. The NCP held a personal consultation with both parties, and offered them its good offices, including the opportunity for mediation. The parties were not able to agree about the use of mediation, and they did not accept the offered opportunities.

After a subsequent - written - consultation, the NCP reiterated the previous offer for mediation and made further efforts. At its June 2020 meeting, the NCP concluded that the efforts were unsuccessful and closed the case.

The NCP called on the parties to familiarize themselves with the OECD Guidelines, in particular regarding Chapter V on Employment and Industrial Relations. The NCP further drew the attention of the parties on the importance of the principle of good faith as well as on the necessity of cooperation in working environments, including the exercise of collective labour rights.