Communications Authority prepares for changes

The Hungarian communcations authority HIF will undergo changes when the new Unified Telecom Act comes into effect on December 23, HIF president Gabor Frischmann told the press on Tuesday.

HIF plans to cut about 80 of its 520 employees, bringing its staff ratio in line with that of other European communication authorities, as well eliminate about a fourth of its departments, Mr Frischmann said, adding that HIF will outsource some of the work it currently does in-house.

Mr Frishcmann also said that a study on the cost-based price formulation for postal services had been completed by HIF and Andersen consulting. The study concluded that prices for services which are set by the government, such as postage rates for letters and small parcels are in line with cost-based prices determined by Magyar Posta Rt, Mr Frischmann said.

Under the new Telecom Act, any losses of a universal postal service provider as Magyar Posta Rt makes on providing general public postal services will be covered from a fund which other delivery services, will pay into.

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