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The Hungarian Competition Authority (GVH) imposed a 1 billion guilder fine after finding that the Hungarian Association of Personnel Consultants restricted competition among its members in its internal regulations, the agency statement shows.
As of 2011, said internal regulations set the minimum rate and other conditions for hiring and hiring staff of the organization’s members for seven years. Pricing is considered the most serious restriction of competition, as it indirectly imposes a significant additional social burden, GVH wrote in a statement.
The authority also found it offensive that members of the association had been prohibited from seducing each other’s employees. According to GVH, this was aimed at dividing the sector and preventing the free movement of workers in the market.
The provisions of the internal regulations were also aimed at dividing the market in accordance with the Competition Authority, which prohibited member companies from re-employing posted workers.
These stipulations were also detrimental to displaced workers, as they prevented them from obtaining better job opportunities and higher wages, the GVH said in a statement.
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