"This article examines the emergence of the new Hungarian industrial relations system and the experiences of Hungarian trade unions in adapting themselves to the challenges of political democracy and the market economy. The article first outlines the historical legacy of trade unions and the industrial relations system. It then describes the dramatic changes which occurred in the wake of the transition of the late eighties-early nineties. After discussing the emerging crisis of the industrial relations system, it describes the attempts to reshape the system and the role of unions through the re-legislation of the Labour Code in order to facilitate the emergence of a stable system which conforms to European norms. Finally, the article evaluates the impact of the new legal regulation on the industrial relations system. In the Conclusion, the article argues that, although the open crisis of the national industrial relations system has been resolved in the early nineties, there is a ‘silent crisis' still going on."

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