Keyword overtime

Kocher: “In future, all overtime will be tax-free”

(Bild: krone.tv)

Economics and Labor Minister Martin Kocher comments on the current economic and labor market situation in an interview with krone.tv: "Unemployment has risen in the last twelve months, but at the same time there are also the most job vacancies since 2019. And even if the unemployment rate is rising, it is still the third lowest since 2008."

Currently, a remarkable fifty percent of all unemployed people only have a compulsory school-leaving qualification. However, there is also a fundamental structural problem in Austria, because for some time now it has mainly been the baby boomers who have been retiring, while only those with comparatively low birth rates have been joining the labor market. This is leading to a shortage of workers in many sectors. Kocher: "In an international comparison, we have a large number of part-time workers, but there should be even more full-time jobs."  

(Bild: krone.tv)

No more tax on overtime?
The minister then made a clear push towards taxing overtime in order to make longer working hours more attractive: "Currently, 18 hours of overtime are tax-privileged. But that is not enough. To create a better incentive to work longer hours, all overtime should be tax-free in future."

The trend in average weekly working hours is also interesting: whereas the average working week was still 35 hours in 2003, it is currently only 30 hours a week.

"There is no goal panic"
There is enough demand for workers, but well-paying sectors such as industry are currently in a difficult order situation. On the other hand, payment levels are rising in the service sector, for example in tourism. The number of seasonal workers would also increase in the future. The Home Office Act would also be amended before the elections in September. Kocher: "In the only three months left until the National Council elections, there will be numerous new laws. But there's no need to panic."