AUSTRIA: Annual Update – Expected Labour Law Changes in 2017

Salary

Salary and Social Dumping Prevention Act:  The provisions regarding salary and social dumping will be bundled and systemized in a separate act, the LSD-BG. There are only minor material changes to the existing provisions, in particular regarding the construction sector and the enforceability.

Effective date: January 1, 2017

Action required: none at present.

Daily maximum salary for minor employment:  The daily maximum salary for minor employment has been abolished. The effect of this change of this will be evaluated until June 30, 2019.

Effective date: January 1, 2017

Action required: none at present.

Employment notification

Social security notification obligation:  There are changes in the obligation to notify employment relationships to the Austrian Social Security Authority as well as changes regarding contribution surcharges, default interest and new late payment fines.

Effective date: January 1, 2017

Action required: Check with your payroll provider that the existing notification process is compliant.

Employee re-integration

Reintegration Part-Time Act:  A new right to part time re-integration for employees returning after long term sickness absence is planned to be introduced.

This measure is expected to come into force on July 1, 2017.

Action required: None at present, but keep abreast of the situation.

Immigration

Alien Employment Act:  It is intended to amend the Alien Employment Act to Implement the EU Seasonal Worker Guideline to reflect EU law on the cross-border leasing of employees.

This measure is expected to come into force on January 1, 2017.

Action required: None at present, but keep abreast of the situation.