Equity
FT covers Hungary's Sunday trading ban: "A referendum would be bound to fail"
"We believe Hungary benefits from Sunday trading," Tesco Hungary said in a statement to FT. "Customers can choose when and where to shop and our colleagues can benefit from the opportunity to earn more thanks to the Sunday supplement that we pay," the statement noted.
The new law will hurt especially foreign-owned retailers such as Auchan, Aldi and Tesco, while mom-and-pop grocery stores will be allowed to stay open on Sundays, the report reminded.
The article notes how the Hungarian government's decision bucks the European trend, evidenced by moves such as a proposal by French Economy Minister Emmanuel Macron last week to expand Sunday trading from five Sundays to fourteen per year.
Government ministers in Hungary admit there is not much economic rationale for the move, Financial Times noted. Prime Minister Viktor Orbán's endorsement "appears to have taken many of his government colleagues by surprise."
According to a senior government official who wished to remain anonymous, the proposal is opposed by the majority of people in Hungary. "If we held a referendum on this tomorrow, we would lose," he told the Financial Times.
Voting today
Parliament in Hungary is having an extraordinary session on Tuesday as proposed by the government. Today's agenda includes the Sunday shopping ban as well, among other issues.
The past few weeks have seen a shift in the relative position of supporters and opponents of the plan. The key argument cited by those opposing the plan is that the latest policy measures (such as a ban on loss-making operation, food retail chain supervisory fees, other tax changes) are punitive and together pose a major threat to employment.
Debate of the proposed Sunday shopping ban commenced two weeks ago in Parliament. That was when it became clear that the govenment was in support of the ban.
Soon afterwards, Economy Minister Mihály Varga also made an announcement, declaring the ministry's endorsement of a mandatory day of rest, contrary to its earlier stance.
"The government is clearly endorsing the proposal," Varga said. "Calculations have been made. We are not yet sure about the format that the proposal will eventually take, so at this point I cannot give you an exact answer regarding the impacts," he replied to a question inquiring whether any impact studies had been made. "We don't know the number of employees who would be affected," Varga added. "The numbers can be finalised only after a decision has been made."
The new law will hurt especially foreign-owned retailers such as Auchan, Aldi and Tesco, while mom-and-pop grocery stores will be allowed to stay open on Sundays, the report reminded.
The article notes how the Hungarian government's decision bucks the European trend, evidenced by moves such as a proposal by French Economy Minister Emmanuel Macron last week to expand Sunday trading from five Sundays to fourteen per year.
Government ministers in Hungary admit there is not much economic rationale for the move, Financial Times noted. Prime Minister Viktor Orbán's endorsement "appears to have taken many of his government colleagues by surprise."
According to a senior government official who wished to remain anonymous, the proposal is opposed by the majority of people in Hungary. "If we held a referendum on this tomorrow, we would lose," he told the Financial Times.
Voting today
Parliament in Hungary is having an extraordinary session on Tuesday as proposed by the government. Today's agenda includes the Sunday shopping ban as well, among other issues.
The past few weeks have seen a shift in the relative position of supporters and opponents of the plan. The key argument cited by those opposing the plan is that the latest policy measures (such as a ban on loss-making operation, food retail chain supervisory fees, other tax changes) are punitive and together pose a major threat to employment.
Debate of the proposed Sunday shopping ban commenced two weeks ago in Parliament. That was when it became clear that the govenment was in support of the ban.
Soon afterwards, Economy Minister Mihály Varga also made an announcement, declaring the ministry's endorsement of a mandatory day of rest, contrary to its earlier stance.
"The government is clearly endorsing the proposal," Varga said. "Calculations have been made. We are not yet sure about the format that the proposal will eventually take, so at this point I cannot give you an exact answer regarding the impacts," he replied to a question inquiring whether any impact studies had been made. "We don't know the number of employees who would be affected," Varga added. "The numbers can be finalised only after a decision has been made."
