Hungary

Employee Handbook
Updated March 2025
Contents
Part 1: Requirements and Rules of Global Data Protection and Privacy Policy ........ 22
Employment ....................................... 4
International Data Protection Employee
1. Duties ................................................................ 4 Notification ........................................................... 22
2. Place of Work .................................................... 4
Global Monitoring Notice..................................... 23
3. Schedule and Hours of Work ............................. 5
4. Undetermined Work Schedule ........................... 5 Substance Abuse Policy...................................... 23
5. Work Time Cycle ............................................... 5 INTRODUCTION .................................................... 23

6. Fixed Work Schedule......................................... 9 POLICY .................................................................. 23

7. Commencement and Previous Employment.... 11 Provision of References ...................................... 24

8. Duration of your Employment .......................... 11
Employee Referral Policy .................................... 25
9. Outside Business Interests .............................. 11
10. Code of Conduct and Regulatory Rules .......... 11 Global Media Policy ............................................. 25

11. Notice of Termination of Employment .............. 12 Dignity at Work Policy ......................................... 25

12. Retirement ....................................................... 13 Disciplinary Procedure ........................................... 26
13. Return of Morgan Stanley Property ................. 13 Grievance Procedure ............................................. 26
14. Remuneration .................................................. 13 Appendix 1 ............................................................. 26
15. Deductions from Salary ................................... 14 Flexible Working Arrangements ......................... 27
16. Learning and Development.............................. 14
Global Speaking Up and Reporting Concerns
17. Leave ............................................................... 14 Policy..................................................................... 27
18. Vacation........................................................... 16
Personal Relationships in the Workplace .......... 27
19. Collective Agreements, Trade Unions and
Works Council ................................................. 17 Mental Health Policies and Procedures ............. 27
20. Employer’s Right ............................................. 17
Index ...................................................................... 28
21. Confidentiality .................................................. 17
22. Intellectual Property ......................................... 18
23. Computer Use, E-Mail and the Internet ........... 18
24. Data Protection ................................................ 18
25. Telephones, Pagers and PDAs ....................... 18
26. Firm Systems ................................................... 18
27. Morgan Stanley Property and Searches .......... 19
28. Security............................................................ 19
29. Smoking........................................................... 19
30. Substance Abuse ............................................ 19
31. Dress Code...................................................... 19
32. Expenses ......................................................... 20
33. Health and Safety at Work ............................... 20
34. Suspension ...................................................... 20
35. Notification Relating to Litigation,
Investigations, Inquiries and Complaints ......... 21
Part 2: Policies and Procedures ..... 22
Internet and Electronic Communication Usage
Policy ............................Error! Bookmark not defined.

Global Information Security Program Policy ..... 22

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 1

Our people’s integrity and excellence, their intellect and skill
have made Morgan Stanley a global leader. And our heritage of
doing “first-class business in a first-class way” continues to
inspire us. Whatever our job, wherever we are in the Firm or in
the world, we all are guided by one strong set of values:

• Do the Right Thing

• Put Clients First
• Lead with Exceptional Ideas
• Commit to Diversity and Inclusion
• Give Back

2 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

Employee Handbook
This document constitutes the written information required to
be given to you under Section 46(1) of Act I of 2012 on the
Labour Code (referred to as the "Labour Code") in respect of
your employment with Morgan Stanley in Hungary and also
sets out various rules and guidelines which you have to
comply with during your employment.

Throughout the remainder of this document your employer,

Morgan Stanley Hungary Analytics Ltd. (registered seat:
1095 Budapest, Millennium Tower III., Lechner Ödön fasor
8.; registration number: Cg. 01-09-868780), will be referred
to as “Morgan Stanley”, the “Firm”, “we” or “our”.

The rules and guidelines set out in this document shall be

considered to be written instructions of Morgan Stanley and
may be amended by Morgan Stanley unilaterally from time to
time, except for those parts which also constitute part of your
terms and conditions of employment pursuant to your
Employment Agreement. You will be notified of any
amendment made to this document.

In case of any discrepancy between this document and your

Employment Agreement, the latter shall prevail.

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 3

Part 1: Requirements and Rules
of Employment

Description will be amended to reflect any

1. Duties additional duties.
You shall be employed in the position
identified within your Employment 2. Place of Work
Agreement and your duties will be as set Your principal place of work will be Morgan
out within that contract or as subsequently Stanley’s Budapest offices, located at:
agreed by you and Morgan Stanley.
• 1095 Budapest, Millennium Tower II-III.,
Morgan Stanley requires employees to be Lechner Ödön fasor 8.,
flexible in attitude and approach to their
• 1095 Budapest Millennium Tower I.,
duties. Accordingly, you are required to
Lechner Ödön fasor 6.,
carry out such other tasks as are required
from time to time for the efficient operation • 1092 Budapest, City Gate Office,
of Morgan Stanley’s business. You are to Köztelek utca 6.
carry out such additional work upon request and any other offices as reasonably
from your Department Manager. Morgan requested from time to time.
Stanley also reserves the right to require For the purpose of performing your duties
you to work in such areas of its business as you may be required at the expense of
it shall notify you of from time to time, Morgan Stanley to undertake such journeys
according to your ability to do such work. in the United Kingdom and overseas as may
Morgan Stanley will provide you with any be necessary.
necessary training. If necessary, your
Employment Agreement and/or Job

4 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

3. Schedule and Hours of Work Apart from sick leave, all types of leave
Morgan Stanley defines various work have to be approved by the Department
schedules for different groups of Manager in advance.
employees: Your responsibilities throughout the month
Undetermined Officers, IBD are to:
Work Schedule employees • enter planned holidays and other time
away from the office
Work Time Cycle Full time non-officers
• enter sick leave according to the doctor’s
Fixed Work Part time non-officers,
certificate
Schedule direct interns
Your responsibilities at month-end are to:
• check monthly timecard and ensure that
Officer job levels: Managing Director,
all data is entered and correct in the
Executive Director, Vice President
system
Non-officer job levels: Assistant Vice
• submit the timecard for approval by your
President, Director, Associate, Analyst
Department Manager before the final
4. Undetermined Work Schedule deadline (4th of the subsequent month).
Officers are subject to the rules of You have to communicate with your
Undetermined Work Schedule (kötetlen Department Manager before anything is
munkarend in Hungarian) under section 96 entered into the system.
(2) of the Labor Code. As officers you have Note that no other logging systems
the discretion to decide when to complete operating at the premises of Morgan
your work, depending on what works best Stanley (entry cards / parking system, etc.)
for you, your team and your role. This are to be regarded as a substitute for or part
means more freedom to work shorter or of the time recording system.
longer days, without being subject to a daily
work hour minimum or rest time 5. Work Time Cycle
requirement. Under section 96 (3) of the Morgan Stanley applies work time cycle (or
Labor Code, you are not eligible to receive working time banking, “munkaidőkeret” in
overtime or other wage supplements (e.g.: Hungarian) for all full time non-officer
on-call, night shift, public holiday employees on a monthly basis under
supplement). section 93 of the Labor Code.
4.1 TIME RECORDING SYSTEM: eTime The commencement date of each work time
You must familiarise yourself with the rules cycle is the first day of the relevant calendar
of Morgan Stanley's time recording system month and the end date is the last day of
(eTime). As an officer you are not required the relevant calendar month (e.g. 1-31
to track your working time however the time January).
recording system must be used for Within each relevant work time cycle, your
recording all types of time-off: holidays, Department Manager may unilaterally order
sickness and any other leave entitlements. and schedule work in accordance with the
Further details can be found on the Intranet. provisions of Chapter 11 of the Labor Code.
You need to maintain your holidays and 5.1 TYPES OF WORK TIME CYCLE
sickness records continuously. Note that
Morgan Stanley defines Standard and
this system does not replace
Alternate Work Time Cycles as two types
communication between you and your
dependent on business necessities.
Department Manager.

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 5

 Full time non-officers your Time Approver Manager may
Standard excluding Global unilaterally override core hours and
Work Time Cycle Service Desk- determine a different working hour pattern
Agents/Team Leaders on a temporary or permanent basis.
Full time non-officers
Alternate
Global Service Desk - Regular Work
Work Time Cycle
Agents/Team Leaders Note that your work on any day (including
Saturdays, Sundays and public holidays)
may be regular working time (and not
STANDARD WORK TIME CYCLE
overtime) if the work schedule is ordered by
Flexible Working Hours your Department Manager in advance in
Subject to work time cycle, Morgan Stanley accordance with section 97 of the Labor
wants to empower you to have a freedom of Code within the work time cycle.
choice in your work-life balance decisions.
Morgan Stanley will only order work on
As standard, working days are on Monday
Sundays and public holidays if required to
to Friday with a flexible working hours
deliver cross-border services and stemming
scheme, which allows you to choose your
from the nature of the service in line with
working hours as long as you meet the
sections 101(1)(g) and (h) and 102(2) of the
following requirements:
Labour Code.
• You must complete your standard
Morgan Stanley will use reasonable
working hours each calendar week
endeavors to avoid scheduling regular work
according to your employment contract
on Saturdays and Sundays unless so
• You must be at work during the core required by business needs. Therefore, we
hours of your Business Unit unless you anticipate that your work where required on
are out on a leave Saturdays and Sundays will normally be
• You shall have at least eleven hours of performed in overtime, in which case you
rest time (non-working hours) before will be entitled to wage supplements as set
starting work on a day where you are out below.
scheduled to perform overtime (daily rest Night Shift
period). You must familiarize yourself with the below
• You must attend all your meetings and rules of night shift and notify the employer in
calls and meet business deadlines. case a night shift must not be scheduled for
you, or a mutual agreement is needed.
• You shouldn’t perform work between
Night work (work between 22:00 – 6:00)
10.00 pm and 6.00 am local time unless
may not be scheduled for a single parent
specifically requested by your Business
until his or her child reaches the age of
Unit
three or for a female employee from the
• The core hours are between 11.00 am time her pregnancy is diagnosed until her
and 4.00 pm. child reaches the age of three.
Furthermore, night work can be scheduled
You can also determine your lunch break for a woman or a single parent employee
flexibly between 30-60 minutes, which is on between their child’s third and tenth birthday
top of your standard working hours. only with the employee’s written consent.
Whilst we make every effort to provide the The consent form can be found on the
greatest flexibility for you, due to Intranet.
performance concerns or business
necessities (e.g. operational support, project
deadlines and business-critical periods)

6 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

Your Rest Periods You are expected to complete your
You shall have at least eleven hours of rest standard working hours each calendar
time (non-working hours) before starting month according to your Employment
work on a day where you are scheduled to Agreement and Monthly Working Schedule.
perform overtime (daily rest period). The working days and hours, rest periods
You are entitled to a weekly rest period of at defined in the Monthly Working Schedule
least forty-eight hours on average within the will be equally allocated among colleagues
work time cycle. in your Business Unit.
Your weekly rest period will be allocated at Regular Work
least once in any given month on a Sunday. Note that your work on any day (including
Working on Sundays and Public Saturdays, Sundays and public holidays) up
Holidays to the amount of standard hours in your
monthly work time cycle is regular working
You may be required to work on Sundays or
time (and not overtime) in accordance with
Hungarian public holidays in line with
your Monthly Working Schedule ordered by
sections 101(1)(g) and (h) and 102(2) of the
your Department Manager in accordance
Labour Code. At Morgan Stanley this
with section 97 of the Labor Code within the
typically applies to roles where support is
work time cycle.
provided outside of Hungary and the
provision of service is required on that Your Rest Periods
particular day, or in the case of a foreign Your rest period will be defined by your
assignment/secondment, if the laws of the Monthly Working Schedule.
country where the work is performed allow You shall have at least eleven hours of rest
work on these days. Work on public time (non-working hours) before starting
holidays is normally considered to be work on a day where you are scheduled to
regular hours as part of the work time cycle perform overtime (daily rest period). You are
if the work schedule is duly ordered by your entitled to a weekly rest period of at least
Department Manager in advance with the forty-eight hours on average within the work
appropriate compensation due under the time cycle.
Labour Code. You may be requested to
Your weekly rest period will be allocated at
perform a minimum of 4 working hours on
least once in any given month on a Sunday.
public holidays unless otherwise instructed.
Working on Sundays and Public
Compensation for Work in Regular
Holidays
Working Hours
You will receive your normal wage for your You may be required to work on Sundays or
work performed during regular working time Hungarian public holidays in line with
set in your Monthly Working Schedule for sections 101(1)(g) and (h) and 102(2) of the
your work on every day. Labour Code. Work on public holidays is
normally considered to be regular hours as
In addition to your normal salary, for regular
part of the work time cycle if the work
work on public holidays you will receive a
schedule is duly ordered by your
100% wage supplement.
Department Manager in advance with the
appropriate compensation due under the
ALTERNATE WORK TIME CYCLE Labour Code. You may be requested to
Monthly Working Schedule perform a minimum of 4 working hours on
As standard, working days and hours, rest public holidays unless otherwise instructed.
periods are defined by the Monthly Working
Schedule ordered by your Department
Manager in line with the provisions of
Chapter 11 of the Labour Code.
MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 7
 Compensation for Work in Regular Your responsibilities at month-end are to:
Working Hours check monthly timecard and ensure that all
You will receive your normal wage for your data is entered and correct in the system
work performed during regular working time submit the timecard for approval by your
set in your Monthly Working Schedule for Department Manager before the final
your work on every day. deadline (4th of the subsequent month).
You are entitled to a Salary Supplement You have to communicate with your
which is set up as a monthly lump sum Department Manager before anything is
payment covering all applicable shift entered into the system.
allowances (műszakpótlék), and
Note that no other logging systems
discretionary weekend (including Sunday)
operating at the premises of Morgan
supplement, permitted by sections 145(2)(a)
Stanley (entry cards / parking system, etc.)
and (b) of the Hungarian Labour Code.
is to be regarded as a substitute for or part
Details will be confirmed in the Salary
of the time recording system.
Supplement Letter issued by Human
5.3 OVERTIME WORK
Resources. The Salary Supplement will be
paid together with your salary and is subject Employees may be required to work beyond
to the statutory withholdings. the regular work hours from time to time.
This will normally be required to ensure
In addition to your normal salary, for regular
adequate resources for planned events
work on public holidays you will receive a
outside regular working or to ensure
100% wage supplement.
continuity of services.
Criteria for Overtime Work
5.2 TIME RECORDING SYSTEM: eTime
The work qualifies as overtime work (and
You must familiarise yourself with the rules
you will be entitled to overtime supplements
of Morgan Stanley's time recording system
as set out in the clause below, if it is:
(eTime). The time recording system must be
used for recording working time, overtime, • Requested and/or pre-approved in
on-call, holidays and sickness. Further writing by your Department Manager
details can be found on the Intranet. prior to the commencement of the
overtime work: and
You need to maintain your time records
continuously. The system is pre-populated • Performed outside regular working hours
as if you work on standard hours on working or work time cycle.
days according to your working schedule. Restrictions on Overtime Work
Note that this system does not replace The maximum work hours (including regular
communication between you and your work and overtime work) are 12 hours per
Department Manager. day and 48 hours per week. Within a work
Apart from sick leave, all types of leave time cycle the 48 hour limitation applies on
have to be approved by the Department average. From time to time, you may be
Manager in advance. required to work over 48 hours a week,
Your responsibilities throughout the month including overtime work. The total number
are to: of overtime hours may not exceed 250
hours per calendar year except if you
enter the start and end time of work
voluntarily consent to taking on extra
performed by you
overtime work up to 150 hours per calendar
enter planned holidays and other time away year. No overtime work may be performed
from the office by:
enter sick leave according to the doctor’s
certificate

8 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

 Women between the time when their Furthermore, night work can be scheduled
pregnancy is diagnosed up to the time when for a woman or a single parent employee
their child reaches three years of age; and between their child’s third and tenth birthday
Men caring for their child as a single parent only with the employee’s written consent.
up to the time when their child reaches The consent form can be found on the
three years of age. Intranet.
Employees caring for their child as single 5.7 SCHEDULE OF PAYMENT
parents, while the child is between three Payment of overtime, on-call and night shift
and four years of age, may only be required compensation will be made at the end of the
to perform overtime work if they specifically month following the month in which the
consent to this. overtime and/or on-call and/or night shift
work was performed, subject to approval by
the Department Manager. For further
5.4 COMPENSATION FOR OVERTIME WORK information visit the Payroll SharePoint.
Subject to meeting the criteria for overtime
work above, in addition to your normal 6. Fixed Work Schedule
salary (and Salary Supplement in case of Part time non-officer employees and direct
Alternate Work Time Cycle) you will be interns are subject to the rules of fixed work
entitled to overtime compensation as schedule. In order to support your personal
follows: life situation the Firm has agreed to perform
On workdays – an overtime supplement of your work on a part-time basis or as a full-
50% of the pro rata base salary time or part-time internship. You are
On rest days (including Sundays if required expected to fulfill your work related duties in
for “cross-border services, where it is line with the fixed work schedule agreed
necessary to work on that day stemming with or instructed by your Department
from the nature of the service”) – an Manager. Given the special nature of your
overtime supplement of 100 % of the pro working schedule or/and employment type
rata base salary you are advised not to perform any work
outside of your working schedule and hours.
On public holidays – you will receive a
In case there is business critical need for
100% public holiday supplement for work on
performing work outside of your fixed work
public holidays.
schedule and hours, it must be ordered and
5.5 ON-CALL
approved by your Department Manager.
You may be requested by your Department
6.1 TIME RECORDING SYSTEM: eTime
Manager to be on call (készenlét). The
upper limit for being on call is 168 hours per You must familiarise yourself with the rules
month. The wage supplement payable for of Morgan Stanley's time recording system
being on call is 20 per cent of your pro rata (eTime). The time recording system must be
salary. used for recording working time, overtime,
on-call, holidays and sickness. Further
5.6 Night shift
details can be found on the Intranet.
You must familiarize yourself with the below
rules of night shift and notify the employer in You need to maintain your time records
case a night shift must not be scheduled for continuously. The system is pre-populated
you, or a mutual agreement is needed. according to your contracted schedule and
Night work (work between 22:00 – 6:00) hours.
may not be scheduled for a single parent Note that this system does not replace
until his or her child reaches the age of communication between you and your
three or for a female employee from the Department Manager.
time her pregnancy is diagnosed until her
child reaches the age of three.

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 9

 Apart from sick leave, all types of leave • Performed outside regular working hours
have to be approved by the Department or work time cycle.
Manager in advance. Restrictions on Overtime Work
Your responsibilities throughout the month The maximum work hours (including regular
are to: work and overtime work) are 12 hours per
• enter the start and end time of work day and 48 hours per week. The total
performed by you number of overtime hours may not exceed
• enter planned holidays and other time the pro rata equivalent of 250 hours (based
away from the office on regular working time for one calendar
year) per calendar year. You may voluntarily
• enter sick leave according to the doctor’s
consent to taking on extra overtime work up
certificate
to the pro rata equivalent of 150 hours
Your responsibilities at month-end are to: (based on regular working time for one
• check monthly timecard and ensure that calendar year) per calendar year.
all data is entered and correct in the No overtime work may be performed by:
system
• Women between the time when their
• submit the timecard for approval by your pregnancy is diagnosed up to the time
Department Manager before the final when their child reaches three years of
deadline (the exact date is published on age; and
the Intranet site for each month).
• Men caring for their child as a single
You have to communicate with your parent up to the time when their child
Department Manager before anything is reaches three years of age.
entered into the system.
• Employees caring for their child as single
Note that no other logging systems parents, while the child is between three
operating at the premises of Morgan and four years of age, may only be
Stanley (entry cards / parking system, etc.) required to perform overtime work if they
is to be regarded as a substitute for or part specifically consent to this.
of the time recording system.
6.3 COMPENSATION FOR OVERTIME
6.2 OVERTIME WORK WORK
Non-officer, part-time employees and direct Subject to meeting the criteria for overtime
interns may only be required to work work above, in addition to your normal
beyond their contracted work schedule and salary you will be entitled to overtime
hours on exceptional basis in the case of a compensation as follows:
business critical situation. Such exceptional
• On workdays (Mon-Fri) – an overtime
overtime has to be ordered and approved
supplement of 50% of the pro rata base
by the Department and Department
salary
Managers.
• On rest days (Sat-Sun) – an overtime
Criteria for Overtime Work
supplement of 100% of the pro rata base
The work qualifies as overtime work (and
salary
you will be entitled to overtime
compensation as set out in the clause • On public holidays – an overtime
below, if it is: supplement of 100% and another 100%
public holiday supplement of the pro rata
• Requested and/or pre-approved in
base salary
writing by your Department and
6.4 SCHEDULE OF PAYMENT
Department Manager prior to the
Payment of overtime compensation will be
commencement of the overtime work:
made at the end of the month following the
and
month in which the overtime work was

10 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

 performed, subject to approval by the which may violate the business interest of
Department and Department Manager. For Morgan Stanley or any of its affiliates. You
further information visit the Payroll must notify Morgan Stanley of your intention
SharePoint. to establish any additional employment
relationship in advance. Certain activities do
7. Commencement and Previous not require Morgan Stanley’s approval, such
Employment as uncompensated voluntary activities. You
An offer of employment was made to you should refer to Morgan Stanley’s Code of
taking into account the following conditions: Conduct for details.
Satisfactory completion of the pre- Any outside interests should be declared
employment screening process, which and approved online at the Outside
includes checking your: Business Interest site. In order to reach the
Criminal records (Certificate of good site you need to type “obi” in your browser.
conduct) both international and local, With questions related to declaration of
Education, outside business interests you will need to
turn directly to your compliance manager,
Previous employment, and
whose name is found on the site.
Other information based on the actual
Any breach of this clause will amount to a
Employee background checking process.
disciplinary offence, which may result in
Confirmation of your medical fitness for your dismissal.
work. You must attend a mandatory pre-
employment Occupational Health screening 10. Code of Conduct and Regulatory
– detailed instructions will be advised to you Rules
by your Human Resources representative. 10.1 CODE OF CONDUCT
You being in possession of the necessary Morgan Stanley’s business is founded upon
documentation to live and work in Hungary its reputation for integrity and fair dealing.
Where applicable, you having obtained the You are, therefore, required to conduct
regulatory approval, or having completed yourself honestly, fairly and with integrity at
the regulatory process, required with all times. The standards of conduct you are
respect to your role required to assume are set out in Morgan
Your employment with Morgan Stanley will Stanley’s Code of Conduct, that can be
commence on the date indicated within your accessed outside of Firm’s systems by
Employment Agreement or the date visiting:
subsequently agreed with Morgan Stanley. [Link]
governance/[Link]. The
8. Duration of your Employment Code of Conduct can also be accessed at
You shall continue to be employed by any time from your workstation: Code of
Morgan Stanley until your employment is Conduct intranet page. The Code of
terminated in accordance with clauses 9 or Conduct shall be regarded as the written
30 or as otherwise stated in your instructions of Morgan Stanley. You are
Employment Agreement. required to familiarise yourself with it and to
comply with its provisions at all times. If you
9. Outside Business Interests are ever in any doubt as to what is required
During your employment you shall not, in order to comply with the Code of Conduct
without the prior written consent of your then you should immediately refer to your
Department Manager and the Legal and Department Manager or the Legal and
Compliance Division be employed, Compliance Division.
engaged, concerned or interested in any
trade or profession (whether paid or unpaid)

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 11

10.2 CONDUCT RULES Morgan Stanley is required to give you to
Separate from the Morgan Stanley Code of terminate your employment is set out below:
Conduct, the Financial Conduct Authority Before the end of your 3rd year of
(FCA) and Prudential Regulation Authority continuous employment with Morgan
(PRA) introduced conduct rules (the Stanley 30 days
Conduct Rules) in 2016; and an additional After 3years of employment 35 days
rule in 2023. Morgan Stanley is committed
After 5 years of employment 45 days
to ensuring that all staff understand the
After 8 years of employment 50 days
implications of the Conduct Rules and what
this means for them. In summary, all After 10 years of employment 55 days
employees of Morgan Stanley other than After 15 years of employment 60 days
our support services staff (such as After 18 years of employment 70 days
receptionists, switchboard operators,
After 20 years of employment 90 days
mailroom staff, security guards, catering
staff and cleaners) will need to comply with You will be exempt from work for at least
the standards of behaviour set out by the half of the notice period.
FCA and PRA in the Conduct Rules, which The termination notice will be in writing and
are as follows: will set forth the details of and reasons for
First These Rules Apply To All
the termination.
Tier Employees,
Other Than Support Services Staff
Rule 1 You must act with integrity. 11.3 Pre-Termination
Employees who are actively working
You must act with due skill, care and
Rule 2 through their notice period go through a
diligence.
standard pre-termination process. This
You must be open and cooperative process reviews the appropriateness of the
Rule 3
with the FCA, PRA and other personnel’s access to certain data
regulators.
channels, e.g., external email, internet web
You must pay due regard to the
Rule 4 access, print, and removable storage
interests of customers and treat them
devices. For personnel who need to
fairly.
maintain access to one of these channels
You must observe proper standards
Rule 5 for business purposes, their access must be
of market conduct.
approved with rationale by an appropriate
You must act to deliver good approver. If the review is not actioned after
Rule 6
outcomes for retail customers. a certain number of days, access to these
data channels will be blocked. For
11. Notice of Termination of avoidance of doubt, your notice period will
Employment commence from the day after the notice of
11.1 TERMINATION BY THE EMPLOYEE termination of your employment with
Unless stated otherwise in your Morgan Stanley is given.
Employment Agreement or other
11.4 TERMINATION WITH IMMEDIATE
employment related document, you are
EFFECT BY MORGAN STANLEY
required to give Morgan Stanley 60 days’
(azonnali hatályú felmondás)
notice to terminate your employment.
You may be dismissed without a notice
11.2 TERMINATION BY MORGAN period, i.e. with immediate effect for cause
STANLEY (felmondás) (azonnali hatályú felmondás) in the event of:
Unless otherwise stated in your (a) a gross material breach of any
Employment Agreement or other significant obligations arising out of the
employment related document, the notice employment relationship committed by you

12 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

either intentionally or with gross negligence; making any false claim in relation to
or (b) any conduct by you that makes the sickness, holiday, or any other benefit or
employment relationship untenable. entitlement;
Examples of conduct which may give • giving your Security Pass to another
grounds for termination for cause include, employee or any third party for the
but are not limited to: purposes of gaining entry into or exit
• breach of the Employment Agreement, from any Morgan Stanley buildings or
the Employee Handbook, the Code of gaining access to any restricted areas
Conduct or any of the (written) within Morgan Stanley's premises;
instructions or policies of Morgan • contravention of Morgan Stanley's
Stanley; Internet and Electronic Communication
• reporting for duty under the influence of Usage Policy;
alcohol or prohibited drugs or possessing • a criminal offence outside work which
any alcohol or prohibited drugs on may prejudicially affect the Firm's
Morgan Stanley's premises; reputation or reflects upon an
• damage to or misuse of Morgan employee's suitability for their job;
Stanley's property or funds; • any material breach of any applicable
• acting without due financial authorisation; regulators' rules; and

• conduct which amounts to a serious act • any deliberate failure to properly disclose
of insubordination; a material breach of any applicable
regulators' rules.
• negligence which causes or is likely to
have caused unacceptable loss, damage 12. Retirement
or injury;
You must notify Morgan Stanley if you
• conduct (which, for the avoidance of qualify as pensioner under section 87/A of
doubt, shall include conduct outside of the Labour Code.
your employment relationship with
Morgan Stanley) which brings Morgan 13. Return of Morgan Stanley
Stanley into disrepute; Property
• dishonest or immoral behaviour; Upon termination of your employment all
property belonging to Morgan Stanley
• breach of Morgan Stanley's Smoking and
(including without limitation, your blackberry,
Substance Abuse policy;
mobile phone, laptop/notebook, security
• rude, threatening or violent behaviour pass, Morgan Stanley’s credit cards, car
towards another employee or member of parking pass, lunch card, SecurID card,
the public; keys, papers and documents which are in
• discrimination, harassment or your possession or under your control)
victimisation or any other action in should be returned to the Human
breach of Morgan Stanley's Dignity at Resources Department before you leave
Work Policy; Morgan Stanley’s premises. If requested by
• breaches of trust or unauthorised Morgan Stanley, you must confirm in writing
disclosure of information whether relating that you have complied with your obligations
to Morgan Stanley, Morgan Stanley under this clause.
employees (current and former) or any
14. Remuneration
client or potential client of Morgan
14.1 SALARY
Stanley or otherwise;
Morgan Stanley will pay you a monthly
• knowingly or falsely claiming expenses in salary payable each month in arrears of an
breach of the Expenses Policy, or amount as indicated within your

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 13

 Employment Agreement or subsequently 17. Leave
notified to you by Morgan Stanley. This will 17.1 SICK LEAVE
be paid no later than the 10th working day You must notify your Department Manager
of the month directly following the month in by telephone before 9.00 am on the first
which the work has been performed, by working day of absence and indicate the
credit transfer to your bank account. reason for your non- attendance at work
The deducted taxes are paid by Morgan and expected duration of absence. If the
Stanley to the Hungarian Tax Authority absence exceeds 3 working days, you are
(NAV - Nemzeti Adó- és Vámhivatal). required to contact your Department
Salaries are reviewed annually, but you Manager on a regular basis (after every 3
shall not automatically be entitled to an working days) with an update on your
increase. If there is any increase, it shall be expected return date. Please note that
at the entire discretion of Morgan Stanley individual departments within Morgan
and any variation to your salary will be Stanley may have additional or different
notified to you in writing. notification procedures (for example, in
14.2 BENEFITS relation to shift-workers). You are required
Benefits to which you may be entitled are to familiarise yourself with the particular
set out within the Hungary Benefits notification procedure applicable to your
Programme Booklet. You will only be Department.
entitled to those benefits as detailed within Any absence due to sickness should be
your Employment Agreement or evidenced by a valid Doctor’s certificate
subsequently confirmed in writing to you by from your GP. You should present the
Morgan Stanley. doctor’s certificate to the Payroll
Department on the first day you return to
15. Deductions from Salary work. In the event that your sick leave lasts
Morgan Stanley reserves the right at any longer than 2 weeks, you should submit the
time during employment and, in any event, doctor’s certificate to the Payroll
on termination, to deduct from your salary or Department. Please note that according to
any remuneration you receive, any the social security regulations sick pay may
overpayment made and/or monies owed to be processed exclusively based on the
Morgan Stanley by you including but not original valid doctor’s certificate. Failure to
limited to any excess holiday, outstanding provide a doctor’s certificate on time may
loans, advances, relocation expenses, and lead to a delay in processing your sick pay.
the cost of repairing any damage or loss to 17.2 SICK PAY
Morgan Stanley’s property caused by you. For the duration of your sick leave you are
Such deduction will be made in compliance entitled to the statutory sick pay. If you are a
of the Labour Code. permanent employee of Morgan Stanley
you may be entitled to be considered to
receive short term disability benefits under
16. Learning and Development the terms of Morgan Stanley’s Short Term
The mandatory or recommended trainings Disability Plan, subject to you meeting the
to be completed by the employee are following criteria follow the procedure in
determined by the employer, taking into 14.1. above.
account the scope, nature, level,
Details of the plan are in the benefits policy
responsibility of the role and areas of the
booklet which is communicated to eligible
employee to be developed. The Firm
employees each year.
provides the necessary time within the
employee's working hours to complete the Morgan Stanley reserves the right to take
dedicated trainings. disciplinary action if (after investigation and
consideration) it considers that you have

14 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

 falsely claimed to be ill or injured, or if you within a 52-week rolling basis, to provide
have protracted or exaggerated ill-health in physical or psychological care for a family
order to lengthen sick leave. member with a serious health condition. The
17.3 MATERNITY AND CHILDCARE first five days of caregiver leave will be the
LEAVE statutory caregiver leave and will be
The statutory maternity leave entitlement is supplemented to be fully paid by Morgan
24 weeks (CSED), which should be Stanley. FCL must be taken in blocks of no
scheduled to commence four weeks prior to less than a week. The decision to grant FCL
the expected time of birth, if possible. The will depend on each employee’s
duration of the statutory maternity leave circumstances and remain at the discretion
should be certified by a valid doctor’s of the Firm. For further details on the
certificate. Following statutory maternity application process, please refer to the
leave, a mother and/or primary caregiver is Caregiver Leave Policy and FAQ document
entitled to a leave of absence without pay on the mywellnessemea site.
until their child reaches the age of three. 17.6 PREGNANCY LOSS AND
The statutory childcare leave possibility is BEREAVEMENT LEAVE
defined in sections 118/A. (1) – (2) and 146 In circumstances where you, your partner,
(5) of the Labour Code. or your surrogate experience pregnancy
loss, you are entitled to up to ten (10)
17.4 CO-PARENTAL LEAVE
business days of paid Pregnancy Loss
Upon the birth of a child, a father or non-
Leave. All employees are eligible for paid
primary caregiver is entitled to ten days of
Pregnancy Loss Leave, however, any
leave by law, which should be taken within
incident of pregnancy loss must occur after
the two-month period following the date of
the start date at the Firm.
birth in accordance with legal requirements.
In addition, and as part of the continued In the event you experience the death of an
commitment to support employees immediate family member and/or member of
balancing family and professional your household, you may request up to
responsibilities, Morgan Stanley is offering twenty (20) days of paid Bereavement
to supplement the paternity leave days to Leave. Immediate family members include:
fully paid and extend this entitlement up to spouse/ partner, child, parent, sibling,
16 weeks with the following conditions: grandchild, or grandparent. Member of your
household includes any individual who
• You are entitled to a total of 16 weeks
shares the same permanent residence.
paid time off, however, you can take less
based on your personal preferences For further information please refer to the
EMEA Bereavement Leave and Pregnancy
• The leave can be taken in one or two
Loss Leave policies.
blocks, within 12 months of a child’s birth
or adoption 17.7 STUDY LEAVE
If you have a study contract with Morgan
• You must give a 15 weeks’ notice prior
Stanley which grants you study leave you
taking Co-Parental Leave and should
will be entitled to paid study leave in line
agree with your Department Manager on
with the study contract and/or any
the actual dates of your leave
applicable Firm policy related to your study.
For further details on the application
17.8 OTHER LEAVE
process, please refer to the Co-Parental
For any leave of absence which is not
Policy and FAQ document on the
detailed in the paragraphs above you will
mywellnessemea site.
need to consult with your Department
17.5 FAMILY CAREGIVER LEAVE Manager and HR. All leave should be
Family Caregiver Leave (FCL) will allow approved by your Department Manager
employees up to 4 weeks of paid leave, before it commences.

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 15

17.9 UNPAID LEAVE Vacation can only be taken by arrangement
Granting any unpaid leave is at the with your Department Manager. Any
discretion of Morgan Stanley, with the vacation with pay taken without prior
exception of the specific cases where authority shall be treated as unauthorised
employees are entitled to unpaid leave in and may result in disciplinary action or
accordance with the Labour Code. deduction from pay.
Normally unpaid leave will not be allowed The employer’s right to postpone or
until you have used your vacation terminate the vacation based on
entitlement for the given year. exceptionally important business interests is
For the duration of unpaid leave you will not defined in section 123. (5) of the Labour
be entitled to any compensation (e.g. base Code.
salary or above base compensation). If your employment begins during the
course of the vacation year you are entitled
18. Vacation to annual leave on a pro rata basis.
18.1 ANNUAL VACATION Vacation days shall be allocated in the year
Morgan Stanley’s vacation year runs from in which it is due or if you joined Morgan
January 1 to December 31. In addition to Stanley during the course of the vacation
the public holidays, you are entitled to paid year following 1 October, vacation days will
annual leave for a specified number of days, be allocated until 31 March in the
as set out in the Labour Code. This is subsequent year. In the event of illness or
currently as follows: another unavoidable restraint affecting you,
The standard length of annual leave vacation entitlement can be carried over but
(alapszabadság) is twenty working days. must be taken within a period of 60 days
The length of annual leave specified in following the cessation of such restraint
clause 15.1 above shall be increased subsequent to the year in question.
(pótszabadság) to: If you submit a vacation request in the time
• 21 days for employees aged over 25; recording system to carry over your
additional vacation days based on age into
• 22 days for employees aged over 28;
the following year and your Department
• 23 days for employees aged over 31; Manager approves these vacation days,
• 24 days for employees aged over 33; these are considered by both you and
• 25 days for employees aged over 35; Morgan Stanley as a carryover of vacation
time based on mutual agreement of parties.
• 26 days for employees aged over 37;
If your employment with Morgan Stanley
• 27 days for employees aged over 39;
terminates during the vacation year, you will
• 28 days for employees aged over 41; receive a payment representing the
• 29 days for employees aged over 43; vacation with pay accrued to the date of
• 30 days for employees aged over 45 termination less an amount in respect of
years of age. vacation already taken.

7 days of your vacation entitlement shall be 18.2 MANDATORY VACATION POLICY

scheduled at your request, provided you The Mandatory Vacation Policy will apply to
notify your Department Manager no later all employees across Morgan Stanley who
than 15 days prior to the start of the holiday perform certain sensitive and key job
period. functions. Each business and support area
identifies those employees to whom the
All other vacation arrangements must be
Mandatory Vacation Policy will apply and
notified to your Department Manager no
will communicate this to those employees in
later than 15 working days before the
advance.
vacation period in question.

16 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

 Unless specified otherwise, the required • Rita Horvath-Retfalvi, Vice President,
vacation will be two consecutive weeks. The Human Resources
intent of the requirement is that the
designated employees are off-site and off- 21. Confidentiality
line, thereby limiting the employees' ability You must not, either during (except in the
to impact the books and records. proper exercise of your duties) or after
The departments will provide further details termination of your employment, make use
and eligibility criteria. of or divulge to any person proprietary or
confidential information as defined in the
19. Collective Agreements, Trade Code of Conduct concerning Morgan
Unions and Works Council Stanley, its business, its activities, its
There are no Collective Agreements with processes, clients, customers or suppliers.
any trade union in force that affect your You will use your best endeavours to
terms and conditions of employment. No prevent the publication or disclosure of any
trade union or works council (workers' proprietary or confidential information
representative) operate at Morgan Stanley. concerning Morgan Stanley or any of its
affiliates, or any of its dealings, transactions
Under Labour Code employees have the
or affairs and all notes, memoranda and
right to elect a works council. If the election
other documents. Any information and
of a works council is initiated by the
literature made or received by you during
employees, Morgan Stanley will facilitate
the course of your employment shall remain
such election. For any further information on
the property of Morgan Stanley or any of its
the election process or the requirements
affiliates and will be surrendered by you to
relating to works council, please refer to the
your Department Manager or the Human
HR Department.
Resources Department at the termination of
20. Employer’s Right your employment or at the request of
The persons exercising the employer’s Morgan Stanley at any time during the
rights and obligations with respect to the course of your employment and you will
employment of Morgan Stanley Hungary make and retain no copy, abstract or other
Analytics Ltd. employees are: summary of the whole or any part of any
such note or other document except when
• Norbert Fogarasi, Managing Director,
required to do so in the course of your
General Manager of Morgan Stanley
employment, in which event the copy or
Hungary Analytics Ltd.
abstract or other summary shall belong and
• Beata Czinke, Managing Director, be returned to Morgan Stanley or its
Finance affiliates (as applicable).
• Daniel Mayer, Managing Director, In this paragraph confidential information
Risk Management includes, but is not limited to, the following:
• Balazs Fremda, Executive Director, • information relating to Morgan Stanley’s
Human Resources clients, customers or suppliers and their
• Krisztina Csombordi-Toth, Executive requirements in terms of Morgan
Director, Human Resources Stanley’s services and/or financial
records;
• Szilvia Bencze, Vice President,
Human Resources • information relating to Morgan Stanley’s
• Klara Raffay, Vice President, policies, products, organisation,
Human Resources management, future plans, staffing
arrangements and personnel records;
• Eszter Katanich, Vice President,
Human Resources • information relating to fellow employees
or officers, including information

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 17

 regarding their remuneration and notice 24. Data Protection
periods. You are required to familiarise yourself and
These obligations are in addition to, and not to comply with the Global Data Protection
in substitution for, any obligations imposed and Privacy Policy and International Data
upon you by law and you acknowledge that Protection Employee Notification available
these restrictions and provisions are on the Firm’s Policy Portal, accessed via
reasonable and necessary for the protection MS Today, in addition to any local data
of the Firm or Morgan Stanley and you protection laws and/or rules and regulations
further acknowledge that having regard to in place and as may be amended. The Firm
the circumstances of your employment such holds employees accountable for violations
restrictions and provisions are to be of these Policies. Failure to comply with
expected and do not work harshly upon you. these Policies may subject individuals to a
In addition to the provisions of this clause range of disciplinary actions, up to and
17, your specific attention is drawn to the including termination of employment.
obligations of confidentiality set out in the Violation of these Policies may also subject
Code of Conduct. the Firm to severe monetary penalties and
both the Firm and individuals to criminal
22. Intellectual Property liability in certain jurisdictions.
Included within the Code of Conduct and its
Proprietary Rights Supplement are 25. Telephones, Pagers and PDAs
provisions relating to ownership of In general, only business related calls
intellectual property created by you. They should be made on office telephones.
provide generally that Morgan Stanley or Morgan Stanley recognises that it may be
any affiliate shall own the intellectual necessary to make personal calls at work,
property created by you while you are but these should be kept to a minimum.
employed by Morgan Stanley, and requires If you are issued with mobile telephones,
that you comply with your Responsibilities PDAs and/or pagers you should be aware
with Respect to Intellectual Property. You that the item(s) remain the property of
are required to familiarise yourself with it Morgan Stanley and upon termination of
and to comply with its provisions at all times. employment, or otherwise on request, must
Subject to the mandatory provisions of be returned.
Hungarian law, Morgan Stanley has no
liability to account to you for any revenue or
26. Firm Systems
profit derived or resulting from any invention Included within the Code of Conduct and
belonging to Morgan Stanley or its affiliates. Global Internet and Electronic
Communications Usage Policy are
All rights and obligations under this clause
provisions relating to the use of Firm
will continue in force after the termination of
Systems. Firm Systems are broadly defined
your employment and will be binding upon
as any technology owned by or made
your personal representatives.
accessible by the Firm, including systems
23. Computer Use, E-Mail and the that facilitate verbal and electronic
Internet messaging and communications,
information processing, transmission,
Morgan Stanley’s Internet and Electronic
storage and access and remote access.
Communication Usage Policy and Global
You are required to familiarise yourself with
Information Security Program Policy is set
this policy and ensure you are in
out in Part 2 of the Employee Handbook.
compliance. A breach of this policy may
Any breach of these Policies may amount to
result in disciplinary action up to and
a disciplinary offence.
including termination.

18 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

27. Morgan Stanley Property and 29. Smoking
Searches Morgan Stanley operates a no-smoking
You will not under any circumstances, other policy within its premises. You are required
than in the course of your employment, to comply with Morgan Stanley’s Smoking
remove Morgan Stanley’s property from its Policy.
premises without the prior authorisation of An employee smoking in Morgan Stanley’s
your Department Manager. Any employee premises will commit a disciplinary offence.
found removing Morgan Stanley’s property
without such authorisation will be liable to 30. Substance Abuse
disciplinary action. It is the policy of Morgan Stanley to maintain
Morgan Stanley reserves the right at any a safe work environment conducive to
time to carry out a search of your computer effective business operations. Morgan
and the data held thereon, or any portable Stanley requires that you comply with the
data carrier in accordance with its internal Substance Abuse Policy, which is set out in
policies and procedures and subject to data Part 2 of the Employee Handbook.
protection laws.
31. Dress Code
Morgan Stanley reserves the right to, in
Morgan Stanley has a "Smart Casual" dress
accordance with its internal policies and
policy throughout the year. Smart Casual
procedures and subject to data protection
attire should be worn every day of the week
laws, at any time carry out a search of your
in all locations.
desk, your locker, bag or other container in
your possession provided that such search Appropriate Smart Casual attire includes:
will be conducted in your presence and that • Khaki, chinos or similar trousers
you have the right, if you so request, to • Jeans (solid color, not ripped)
have a colleague present as a witness.
• Collared long-sleeved or short-sleeved
28. Security shirts and blouses, collared polo-shirts
All persons wishing to gain access to • Office-appropriate dresses, skirts and
Morgan Stanley's premises must have with women’s tops
them a valid access or visitor card. • Shoes with socks or hosiery/tights and
28.1 CLEAN DESK POLICY casual footwear (including sneakers and
For the protection of confidential information sport shoes)
you are required to lock your screen and Smart Casual attire does not include:
secure all confidential documents which you
• T-shirts, crop tops, spaghetti tops and
may work with when you are leaving your
sleeveless shirts,
desk.
• Shorts, ripped jeans, utility pants,
28.2 PROTECTION OF YOUR
sweatpants, lycra, mini-skirts, casual
PERSONAL PROPERTY
capris, leggings
You should not bring valuable items to your
workplace which are not required for • Dance club dresses and sundresses,
commuting to work or for the performance of • Beach shoes, sandals, flip-flops and
work. footwear such as Crocs and Birkenstock
You are provided with a lockable drawer. All employees are required to be
When you leave your desk unattended, you appropriately dressed in business or
should lock any personal items. business casual attire (i.e. dress as the
Morgan Stanley will not take liability for the clients dress) for client meetings whether at
loss of any personal items which are Morgan Stanley or at the client location.
brought to the office or left unattended. Employees who may be required to attend
unscheduled or unexpected client meetings
MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 19
 should ensure they have some business If you are a Department Manager or
attire available at the office. It is not supervisor of other employees you should:
acceptable for anyone to attend such • familiarise yourself with Morgan
meetings dressed in inappropriate clothing Stanley’s prevailing health and safety
or to be unavailable because of improper rules
attire.
• report any risk of accidents to Corporate
We expect all employees to use their Services in writing in order to eliminate
discretion and good judgement in adhering risk of accidents;
to the guidelines as outlined above. If
• report any accidents which occur at the
employees report to work improperly
workplace, even if the employees
dressed or groomed, Department Managers
impacted are well and continue working.
may instruct them to return home and
Reports should be made in writing
change clothes. Other appropriate
according to the instructions of Corporate
corrective actions may also be taken, up to
Services,
and including termination of employment.
• be familiar with who the designated First
Within the above guidelines, there will be
aiders and the Fire Marshals are on the
accommodation for specific dress
floor, and ensure that they are not absent
requirements stipulated by recognised
at the same time, provide time to
religions and beliefs.
participate at mandatory trainings and
32. Expenses examination related to their duty; and
Morgan Stanley has a comprehensive • Report to Corporate Services if the
Travel and Expense Policy and guidelines required resting times or safe working
for reimbursement of business related environment cannot be provided.
expense. This will be made available to you Under Act XCIII of 1993 on labour safety
on joining the firm and this is available on (the Labour Safety Act) employees have
the Morgan Stanley Policy Portal the right to elect one or more labour safety
([Link] representatives to represent their rights and
You are required to comply with any rules interests in relation to a healthy working
relating to expenses in force from time to environment and labour safety (labour
time within your Department. Any breach of safety representatives). If the election of
these rules may amount to a disciplinary labour safety representatives is initiated by
offence. the employees, Morgan Stanley will
facilitate such election. For any further
33. Health and Safety at Work information on the election process or the
On your first day of work you are required to requirements relating to labour safety
participate in Morgan Stanley’s Health and representatives, please refer to Corporate
Safety training. You will be given a copy of Services.
Morgan Stanley’s Health and Safety at
Work Policy on starting work with Morgan 34. Suspension
Stanley. This policy forms part of your terms Morgan Stanley reserves the right to
and conditions of employment and you are suspend you, on full pay and with full
required to familiarise yourself with it. entitlement to all other benefits to which you
You are required to complete a recurrent are entitled; where a complaint of
mandatory Occupational Health Screening misconduct has been made against you;
annually. Failing to fulfil this requirement where there is evidence of misconduct on
until the expiry date of your screening can your behalf; and where relationships have
lead to disciplinary action up to and broken down and/or where it is considered
including suspension from work. that there are risks to Morgan Stanley’s

20 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

 property or third parties. Typically, • Become the subject of any judgment,
suspension, if required, will occur whilst an debt order or bankruptcy proceeding, or
investigation is carried out to ascertain the enter into a compromise with creditors
facts and/or until a disciplinary hearing is regarding the payment of any debt
held. The duration of the suspension will • Receive a subpoena, inquiry or request
depend upon the length of time required to from a governmental, regulatory, self-
carry out a proper investigation but the Firm regulatory, or administrative agency, or a
will endeavour to keep any suspension to as claimant, plaintiff or outside attorney, that
short a time as reasonably possible. Any involves or has the potential to involve
decision to suspend you will be made by Morgan Stanley
your Department Manager in consultation
• Plan to file a lawsuit or make any
with Human Resources.
voluntary regulatory filing in connection
For the duration of a suspension or any
with a Morgan Stanley-related matter or
periods when you are released from work
business (excluding matters related to
for any reasons, Morgan Stanley reserves
your employment relationship with
the rights to block your building access and
Morgan Stanley)
system access at any time.
• Receive a complaint from a customer or
Suspension is not regarded as a disciplinary
another third party in relation to the
action and you are assured that it will not be
Firm’s activities, whether made orally or
taken as an indication of any guilt on your
in writing
part.
Do not take any action concerning the
35. Notification Relating to Litigation, above matters or any other matter you
Investigations, Inquiries and believe may be a reportable event without
Complaints first contacting your supervisor and a
member of LCD. If you are a registered
Promptly notify your direct supervisor and a
person, you may have additional reporting
member of the Legal and Compliance
obligations, which are outlined in your
Division (LCD) if you:
business unit or regional policies. Please
• Are arrested, charged, indicted or refer to the Registration and Licensing
otherwise become the subject of a Infopage on the LCD Portal for more
criminal matter, including if you enter a information.
plea or are convicted of or settle the
matter (excluding minor traffic violations) During litigation, internal investigations, or
governmental, regulatory or administrative
• Become involved in any regulatory, self-
inquiries or examinations involving the Firm,
regulatory, or professional organisation
we may ask you to provide information
inquiry, investigation or proceeding,
including being subject to a finding, fine, (including documents, statements or
penalty, administrative action or testimony) or to meet with members of LCD,
conviction by any of these organisations our outside counsel, auditors or other
• Become involved in any civil litigation or authorities. You must cooperate fully and
arbitration regarding Morgan Stanley or provide truthful, accurate and complete
you in your professional capacity either information in connection with any such
at Morgan Stanley or elsewhere request. We may provide information about
• Become involved in any investigation into you to these authorities or in response to
allegations of misconduct or malpractice subpoenas or discovery requests.
by you in connection with any business
activity

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 21

Part 2: Policies and Procedures

Global Internet and Electronic Global Data Protection and

Communications Usage Policy Privacy Policy
You are required to familiarise yourself and to
The Global Internet and Electronic
comply with the Global Data Protection and
Communications Usage and Supervision Policy
Privacy Policy and its International Data and
establishes standards and principles governing the
Protection Supplement, which apply globally to all
use and supervision of Internet and Electronic
Morgan Stanley employees and constitute an
Communications to meet regulatory requirements
integral part of the Hungarian Employee
and to mitigate operational risk. Please refer to the
Handbook. The latest version this policy is
Global Internet and Electronic Communications
available on the Morgan Stanley Policy Portal
Usage and Supervision Policy, which is available
([Link]
on the Firm’s Policy Portal accessed via MSToday.

Global Information Security International Data Protection

Program Policy Employee Notification
Morgan Stanley recognises its obligations in
You are required to familiarise yourself and to
relation to the processing of its employees
comply with the Global Information Security
personal data under applicable data protection
Program Policy which applies globally to all
and privacy laws. The International Data
Morgan Stanley employees and constitutes
Protection Employee Notification ( “Notification”)
integral part of the Hungary Employee Handbook.
provides information in relation to the collection,
The latest version of this policy is available on the
storage, access, use, and disclosure
Morgan Stanley Policy Portal ([Link]
(“processing”) of your personal data by Morgan
22 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK
Stanley entities that you are employed by (the This policy covers all employees, consultants,
“Firm”), including: contractors, visitors, interns, and agency /
• Types of personal data the Firm processes; contingent workers.

• How the Firm collects your personal data; POLICY

• The purposes for which the Firm processes Controlled substances
your personal data; A “controlled substance” includes illegal drugs,
• Legal basis for processing your personal data; psychoactive or mind-altering substances and the
misuse of prescribed or over-the-counter
• The monitoring the Firm conducts;
medication.
• When the Firm discloses your personal data;
This policy prohibits only the non-prescriptive
• How the Firm protects your personal data; purchase, sale, supply, use or possession of
• How the Firm retains your personal data; controlled substances and does not encompass
• Personal details relating to your family the legal and proper possession and use of
members and other individuals controlled substances prescribed by a physician,
dentist or other person licensed to sell or distribute
• What marketing the Firm does; and
controlled substances. The abusive use of
• Your rights under applicable laws. prescribed controlled substances or over-the-
The latest version of the Notification is available on counter medication, however, is prohibited under
the Morgan Stanley Policy Portal ([Link] this policy.
Selling, purchasing, using, supplying, possessing,
or being under the influence of any controlled
Global Monitoring Notice substance or having any controlled substance in
You are required to familiarise yourself and to
your system in any detectable manner, without
comply with the Global Monitoring Notice which
medical authorisation during the working day, on
applies globally to all Morgan Stanley employees
Morgan Stanley’s premises or while conducting
and constitutes integral part of the Hungary
Firm business or Firm-related activities (including
Employee Handbook. The latest version of the
social activities), is inconsistent with Morgan
Global Monitoring Notice policy is available on the
Stanley’s business interests and will be grounds
Morgan Stanley Policy Portal ([Link]
for disciplinary action under the Firm’s disciplinary
procedure and may include termination for a first
Substance Abuse Policy offence.

INTRODUCTION Where the controlled substance is an illegal drug,

any infringement of this policy may be notified to
Morgan Stanley is committed to providing a safe,
the police.
healthy and productive working environment. This
includes ensuring that all staff are fit to carry out If you are prescribed medication you must seek
their jobs safely and effectively in an environment advice from your GP or pharmacist about the
which is free from alcohol and drug misuse. possible effect on your ability to carry out your job.
If so you must tell your line manager or your
The purpose of this policy is to increase
Human Resources Business Partner without
awareness of the effects of alcohol and drug
delay.
misuse and its likely symptoms and to ensure that:
Alcohol
• All staff are aware of their responsibilities
Drinking alcohol while at work without
regarding alcohol and drug misuse and related
authorisation or working under the influence of
problems.
alcohol may be considered serious misconduct
• Staff who have an alcohol or drug-related and may be grounds for disciplinary action up to
problem are encouraged to seek help, in and including termination. The Firm expects you to
confidence, at an early stage. demonstrate responsible behaviour at work, work-
related functions and work-related social events

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 23

and to act in a way that will not have a detrimental behaviour is suffering as a result of an alcohol or
effect on the Firm’s reputation. If engaging in client drug-related problem.
entertainment or representing the Firm at external If you believe that you have an alcohol or drug-
events where alcohol is served, personnel are related problem you should seek specialist advice
considered to be "at work" regardless of whether and support as soon as possible. The Human
such events take place outside normal working Resources Department can assist you and will,
hours. Consequently, the Firm expects personnel where possible, do so in confidence.
to remain professional and fit for work at all times.
The Firm will aim to ensure that the confidentiality
Managers should act to prevent excessive of any member of staff experiencing alcohol or
consumption of alcohol by any member of staff drug-related problems is maintained appropriately.
and should take steps to deal with any However, it needs to be recognised that, in
unacceptable conduct. supporting staff, some degree of information
Neither over-consumption of alcohol nor conduct sharing is likely to be necessary.
that is inconsistent with Firm standards of If you seek help with an alcohol or drug-related
professionalism and behaviour will be tolerated problem directly from Human Resources and you
and may be grounds for disciplinary action up to wish to keep matters confidential from your
and including termination. manager and colleagues, this will be respected
Screening and searches unless there is reason to believe that this could put
Morgan Stanley reserves the right to take you, your colleagues or anyone else at risk or
appropriate action to investigate or ensure carries some other material risk for the business.
compliance with this policy in accordance with In those circumstances Human Resources will
applicable laws. encourage you to inform your manager and will
The Firm reserves the right to conduct searches give you sufficient time to do so before discussing
for alcohol or drugs on its premises, including, but the matter with them.
not limited to, searches of lockers, filing cabinets Failure of an employee to comply with this policy
and desks, bags, clothing and packages. may result in disciplinary action being taken, up to
At the Firm’s discretion, employees may be and including termination of employment. The
subject to alcohol and/or drug testing where failure of a contingent worker to comply with this
reasonable suspicion exists. policy may result in the termination of engagement
by the Firm.
Failure to submit an alcohol or drug test at
specified locations and times, or the finding of Provision of References
positive results, may result in disciplinary action up When giving references in respect of former
to and including termination. employees, Morgan Stanley has a duty of care
Providing support and confidentiality both to the subject of the reference and to the
Alcohol and drug-related problems may develop recipient of that reference. It is extremely important
for a variety of reasons and over a considerable that all information in a reference is accurate and
period of time. The Firm will, as far as possible, in compliance with any regulatory requirement, as
provide support for employees who are suffering failure to provide accurate information may result
from drug or alcohol related problems where in legal action being taken against both Morgan
employees are willing to cooperate with the Firm to Stanley and/or the giver of the reference. In
access such support. accordance with the Financial Services and
Markets Act (2000), the Firm may have an
If you notice a change in a colleague's pattern of
obligation in certain circumstances to provide a
behaviour you should encourage them to seek
confidential regulated reference to fulfill specific
assistance through their manager or the Human
criteria and you understand and acknowledge that
Resources Department. If they will not seek help
this provision will apply to you if you perform a
themselves you should draw the matter to the
regulated or certified role. If you receive a request
attention of your manager. You should not attempt
to give a reference on behalf of Morgan Stanley,
to cover up for a colleague whose work or
whether written or oral, for a current or past
24 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK
employee, you should always refer this request communications across all media platforms
immediately to HR, who will provide a reference in globally and has a legal responsibility to
accordance with Firm policy. Please note that communicate effectively so that the media and the
Morgan Stanley does not provide references for public are provided with full and accurate
current or former non Morgan Stanley employees information in all material respects. To this end, all
(i.e. contractors, agency temps, etc.). If you are communication with the media or public must be
asked to give a personal character reference for truthful, accurate and complete. Please refer to the
either a current or past employee (or a current or Global Media Policy, which is available on the
past non Morgan Stanley employee such as Firm’s Policy Portal accessed via MSToday. The
contractors, agency temps, etc.), whether written latest version of this policy is available on the
or oral, and agree to do so, you should make it Morgan Stanley Policy Portal ([Link]
clear that you are giving the reference in your Social Media
personal capacity and that the contents of the At Morgan Stanley, social media is considered a
reference do NOT reflect the views of Morgan form of electronic communication and all electronic
Stanley. Where the reference is written, you must communications relating to Firm business must
not use Firm stationery. The above guidance also take place only on Firm-approved messaging
applies to references provided via less formal systems (browser shortcut: fams/). However, the
means such as socially, via email, social Firm has made some exceptions for certain Firm
networking sites and other web based media. related content as described in the resources
Failure to follow these guidelines may expose both below.
you and the Firm to the risk of legal action and
Here is guidance on how to interact with content
may lead to disciplinary action being taken against
related to Morgan Stanley on personal social
you.
media.
Employee Referral Policy • Acceptable Content for Personal Social Media
The firm operates an award program to employees (browser shortcut: PersonalSocialMedia/)
who introduce talented individuals who • FAQs: What Firm Content Can I Share on My
subsequently accept employment with Morgan Personal Social Media? (browser shortcut:
Stanley The Firm operates an award programme SocialMediaFAQs/)
to employees who introduce talented individuals
• Social Media Rules of the Road Training Video
who subsequently accept employment (or re-
(browser shortcut: SocialMediaTraining/)
introduce) with Morgan Stanley. Existing
These resources can also be found in the Social
employees, who introduce new employees to the
Media Governance Portal (browser shortcut:
Firm, may receive a payment, which is non-
SocialMedia/), a one-stop-shop for all information
pensionable and subject to income tax and
about social media.
national insurance and paid through payroll in the
normal way. Dignity at Work Policy
Please refer to the Employee Referral Policy which Morgan Stanley supports fully the rights and
can be accessed on HR Policies via MSToday for opportunities of all people to seek, obtain and to
further programme details including: enjoy employment opportunities without suffering
discrimination, bullying, harassment or
• Payment Amounts and Payment
victimisation, subject to local laws in the location in
Information
which you spend the majority of your working time.
• Eligibility
The Firm’s EMEA Dignity at Work Policy aims to
• Conversion of Temporary Staff to
draw attention to, and therefore prevent, all forms
Permanent Employees
of unacceptable behaviour and to ensure all staff
• Additional Guidelines. are treated with dignity and respect.
Global Media Policy You must refer to the EMEA Dignity at Work Policy
Morgan Stanley’s reputation is one of its most (which will include any applicable policy addendum
valuable assets. The Firm actively manages its applicable in the location in which you work),

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 25

which is available on the Firm’s Policy Portal. A another person’s body, inappropriate staring,
breach of the EMEA Dignity at Work Policy may assault, coercing sexual activity, insulting or
lead to disciplinary action being taken against Firm abusive behaviour or gestures, or social isolation.
employees, under the Firm’s Disciplinary The display, or distribution of material or
Procedure. Please speak to your local Human messages that are pornographic, explicit or
Resources Business Partner for details. sexually suggestive or that some people (not
Disciplinary Procedure necessarily the direct recipient) may find offensive
or other discriminatory, bullying or harassing, or
Morgan Stanley’s aim is to encourage all
otherwise inappropriate material (including but not
employees to meet appropriate standards of
limited to material of this nature downloaded from
conduct, capability, and performance at all times.
the Internet and stored and/or transmitted over the
Where an employee fails to meet (either through
Morgan Stanley network such as email, instant
repeat behaviour or through a single incident) the
messages or Skype messages, text messages,
appropriate standards of conduct, capability, or
photographs, video clips and images sent by
performance in accordance with the expectations
mobile phone or posted on the internet), male and
set out in the Firm’s Code of Conduct and other
female pin-ups, offensive objects or written
policies and procedures, the Firm will take steps to
materials, abusive, insensitive or offensive
address the matter either informally or formally in
gestures, the organising of kiss-o-grams, strip-o-
line with the procedures and legislative
grams or any other services that could be
requirements applicable to the EMEA jurisdiction
considered potentially offensive to some people,
in which they spend most of their time. For more
deliberately socially isolating or excluding
information on the Firm’s procedures, please
someone from a workplace activity (including
contact your HR Business Partner.
social activities) for non-business reasons.
Grievance Procedure
The Firm is committed to providing a positive and VERBAL CONDUCT AND/OR WRITTEN
COMMUNICATION
productive work environment for all employees of
Conduct, whether written or verbal, that involves
Morgan Stanley; however, it recognises that
belittling a person intellectually, accusing him or
workplace conflicts and misunderstandings cannot
her of wrongdoing without justification, blaming
always be avoided. If employees have a work-
him or her for another’s errors or deliberately
related concern, they are encouraged to speak to
setting him or her up to make a mistake,
their direct manager or, if the matter cannot be
unwelcome advances or threats (sexual or
resolved with the immediate manager, to a more
otherwise), propositions or pressure for sexual
senior manager or their HR Business Partner. If
activity, continued suggestions for social activity
the issue cannot be resolved informally,
outside the work place after it has been made
employees may wish to raise a work-related
clear that such suggestions are unwelcome,
grievance. If an employee chooses to do so, the
offensive flirtations, innuendo, offensive,
Firm will ensure that such grievances are treated
insensitive or lewd comments or abusive
in a fair and equitable manner at all times, in line
language, language that denigrates or ridicules,
with the procedures applicable to the EMEA
insensitive jokes or pranks, insults or stereotypes
jurisdiction in which they spend most of their time.
that are based on sex, gender reassignment, age,
For more information on the Firm’s procedures,
marital/civil partnership status, sexual orientation,
please contact your HR Business Partner.
pregnancy or maternity, colour, race, religion,
Appendix 1 belief, nationality, ethnic or national origins or
disability and offensive comments about dress,
NON-EXHAUSTIVE EXAMPLES OF appearance or physique. The sending or
UNACCEPTABLE BEHAVIOUR
distribution of written material, images or
NON-VERBAL OR WRITTEN CONDUCT messages that are pornographic, explicit or
Unwanted physical contact including: unnecessary sexually suggestive or that some people (not
touching, patting, pinching or brushing against necessarily the direct recipient) may find offensive

26 MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK

or other discriminatory, bullying or harassing or up when in the course of our employment we are
otherwise inappropriate material (including but not faced with conduct or situations that raise legal or
limited to material of this nature down-loaded from ethical concerns. You must familiarise yourself
the Internet and stored and/or transmitted over the with the Firm’s Global Speaking Up and Reporting
Morgan Stanley network such as email, instant Concerns Policy, which are available in the Firm’s
messages or Skype messages, text messages, Policy Portal here.
photographs, video clips and images sent by If you are aware of a Reportable Concern (as
mobile phone or posted on the internet). defined under the Global Speaking Up and
Reporting Concerns Policy), you are encouraged
to speak up in accordance with the Global
Flexible Working Arrangements Speaking Up and Reporting Concerns Policy,
Morgan Stanley wants to empower employees to which sets out the various avenues for speaking
have greater freedom of choice in work-life up and raising Reportable Concerns.
balance decisions.
The Budapest office operates a flexible working
hours scheme, please refer to section 3.1 of the Personal Relationships in the
Employee Handbook for details. Workplace
Homeworking opportunities are also available for Morgan Stanley is committed to providing a
employees, please refer to the Budapest professional work environment which includes
Homeworking Policy available on bphomeworking minimizing the risk of conflict that can occur on
for further details. account of personal relationships impacting the
workplace.
If you require additional flexibility in work (e.g. part-
time, consistently altered working hours) a A Personal Relationship for purposes of this policy
separate Flexible Working Arrangement (FWA) includes familial relationships as well as other
needs to be set up between you and the Firm. intimate relationships and personal friendships.
Details of these FWAs, together with eligibility For the latest version of this policy please refer to
criteria and guidelines on how to apply are Relationships at Work Policy.
available with your HR representative. The If you have any questions or are unsure whether a
decision to grant such a FWA will depend on each conflict of interest has arisen or might do so, you
employee’s circumstances and remain at the should consult Human Resources at the earliest
discretion of the Firm. opportunity.

Global Speaking Up and Mental Health Policies and

Reporting Concerns Policy Procedures
Morgan Stanley (including its subsidiaries and its Morgan Stanley is committed to protecting the
affiliates) is committed to conducting its affairs with health, safety and wellness or its employees. The
integrity, and to maintaining the highest standard Firm has extensive support resources available
of ethical behaviour in our dealings with our that can be accessed by typing
clients, communities and one another in ‘mentalhealthemea’ into a Firm-supported
accordance with our core values. Every employee browser. Employees are encouraged to contact
is responsible for preserving and protecting their HR Business Partner for further support.
Morgan Stanley’s reputation for integrity and
excellence. We each have an obligation to speak

MORGAN STANLEY | HUNGARY EMPLOYEE HANDBOOK 27

Index

A L
Annual Vacation ....................................................... 16
Leave........................................................................ 14

B M
Benefits .................................................................... 14
Mandatory Vacation ................................................. 16
Maternity and Childcare Leave ................................. 15
C
Media Policy, Global ................................................. 25
Clean Desk Policy .................................................... 19
Morgan Stanley Policy Portal ................................... 23
Code of Conduct ................................................ 11, 18
Morgan Stanley Property and Searches ................... 19
Collective Agreements.............................................. 17
Commencement and Previous Employment ............ 11 N
Computer Use, E-Mail and Internet .......................... 18
Notice of Termination of Employment ...................... 12
Confidentiality ........................................................... 17
Notification.................................................... 21, 22, 23
Core hours.................................................................. 6
O
D
On-Call ....................................................................... 9
Data Protection................................................... 18, 22
Other Leave.............................................................. 15
Deductions from Salary ............................................ 14
Outside Business Interests ....................................... 11
Dignity at Work Policy............................................... 25
Overtime and On-call ........................................... 6, 10
Dress Code .............................................................. 19
Overtime Work ....................................................... 6, 7
Duration of Employment ........................................... 11
Overtime/On-Call Compensation ................................ 9
Duties ......................................................................... 4
P
E
Paternity Leave ........................................................ 15
Employee Referral Policy ......................................... 25
Place of Work ............................................................. 4
Expenses.................................................................. 20
Protection of Personal Property................................ 19
Provision of References ........................................... 24
F
Firm Systems ........................................................... 18 R
Flexible Working Arrangements ............................... 27
Relationships at Work .............................................. 27
Remuneration ........................................................... 13
H
Retirement ................................................................ 13
Health and Safety at Work........................................ 20
Return of Morgan Stanley Property .......................... 13
Homeworking Policy ................................................. 27
Hours of Work ............................................................ 5 S
Human Resources .................................. 11, 13, 17, 21
Salary ....................................................................... 13
Security .................................................................... 19
I
Sick Leave ................................................................ 14
Information Security Program Policy, Global ............ 22
Sick Pay ................................................................... 14
Intellectual Property .................................................. 18
Smoking ................................................................... 19
Speaking Up and Reporting Concerns Policy, Global
............................................................................. 27

© 2021 Morgan Stanley 28

Study Leave ............................................................. 15 U
Substance Abuse ............................................... 19, 23
Unpaid Leave ........................................................... 15
Suspension............................................................... 20

V
T
Vacation ................................................................... 16
Termination of Employment................................ 12, 13
By Morgan Stanley ............................................... 12
By the Employee .................................................. 12 W
With Immediate Effect .......................................... 12 work schedule .............................................. 6, 7, 9, 10
Time recording system ........................... 5, 8, 9, 10, 16 Work Time Cycle .................................................... 5, 6

© 2021 Morgan Stanley 29