"Hungary's 1997 Casual Employment Act was originally meant to formalize ad hoc employment relationships entered into by private individual employers through simplified administrative procedures. After being widely abused, however, this flexible regulatory framework was eventually opened up to all employers, with a higher ceiling on the number of days workable on this basis, drastically reduced social security contributions and strong tax incentives. The aim was then to reduce unemployment and the incidence of illegal work by stretching the boundaries of formal employment, but neither of these objectives was attained. Instead, the authors argue, the attempted flexicurity has greatly increased workers' vulnerability."

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