Austria

• New Year’s Day
• Epiphany
• Easter Monday
• Labour Day
• Ascension Day
• Whit Monday
• Corpus Christi
• Assumption Day
• National Day
• All Saints Day
• Immaculate Conception Day
• Christmas Day
• St Stephen’s Day

Working Hours

Employees can work up to 8 hours a day, or ten hours including overtime. The maximum working week is 40 hours (or 50 hours with overtime).

Minimum Wage

There is no statutory minimum wage in Austria, though unions can establish minimum wages in specific sectors through collective bargaining agreements.

Employee Tax

Annual income	Tax rate
Up to EUR 11,000	0%
EUR 11,001 - 18,000	20%
EUR 18,001 - 31,000	30%
EUR 31,001 - 60,000	40%
EUR 60,001 - 90,000	48%
EUR 90,001 - 1,000,000	50%
More than EUR 1,000,001	55%
Health insurance contribution	3.87%
Old age pension insurance contribution	10.25%
Unemployment insurance	3%

Bonuses

Employers must pay a 13th and 14th month salary to all employees. The 13th month salary represents a holiday bonus, and is usually paid in June. The 14th month salary is a Christmas bonus, which is usually paid in November.

There is no specific form requirement for an employment contract in Austria. It can be concluded orally, in writing, or through conclusive action.

If no written contract is drawn up, employers must provide a Dienstzettel, which is a written record of the employee's key duties.

Fixed-term contracts are allowed up to five years.

Annual Leave

Minimum of 25 days' paid holiday per year, rising to 30 days after 25 years of service.

Sick Leave

6-12 weeks' sick leave on full pay. Employees are entitled to a further four weeks' sick leave on half pay.

Parental Leave

• Maternity leave: 16 weeks' paid leave in total, with 8 taken before and eight after the birth.
• Paternity leave: same entitlement as mothers, though this can't be taken at the same time.
• Parental leave: either parent can also apply for up to 36 months' additional paid parental leave.

Termination Process

Employers in Austria can terminate a contract provided they give notice in line with legal requirements.

Additional grounds for termination include:

• Severe breach of trust and confidence
• Acting against the employer's instructions
• Incapacity to perform the agreed services

Employees can also give notice of termination in line with their contract terms.

Severance Pay

On redundancy, employees with at least 36 monthly contributions to their employee income provision fund can choose to receive severance payment from the fund, or save the entitlement towards a future pension.

Under a Mauve Group Employer of Record solution, clients and workers can reap the benefits of Mauve’s Global Master Insurance Programme – a market-leading unified corporate insurance programme that connects all Mauve entities to its two preferred providers.

The insurance provides coverage in overseas locations through a combination of the master policy and its linked local policies, where required by law in certain jurisdictions. The policies include:

• Employer’s Liability and Public Liability - £10,000,000 combined limit.
• Professional Indemnity - £5,000,000 limit.
• Worker’s Compensation – Limit is dependent on location of work.

For specific information about statutory and recommended insurances in your chosen country, get in touch with Mauve.