Tough negotiations

“There is leeway for civil servants’ salaries”

The last major demonstration by civil servants took place in 2013.

(Bild: APA/Helmut Fohringer (Archivbild))

The debate about zero pay for civil servants is causing tempers to flare. Civil servants and contract staff have no sympathy for the fact that they "have to take the rap for the failure of politics", as police unionist Hermann Greylinger put it to the "Krone" newspaper. Economists, on the other hand, see "room for maneuver".

The salaries of more than 550,000 civil servants are at stake. 230,000 of these are federal employees and state teachers. Indirectly, there are also 324,000 state and municipal employees. However, they do not have to take over the federal agreement. The final decision is made by the respective local authority.

Trade union: "Don't want to pay for political mistakes"
Greylinger points out the difficult working conditions that police officers, teachers and those who work in the healthcare sector often have. "Anyone who talks about privileges is doing so thoughtlessly. Many have an opinion, few have a clue! Therefore, let's put an end to such unspeakable debates, public sector employees also deserve a fair pay deal."

Hermann Greylinger, Deputy Chairman of the FSG police union

(Bild: Reinhard Holl)

The economist Denes Kucsera from Agenda Austria also emphasizes that the jobs of a teacher and a police officer have become more stressful. Nevertheless, he sees room for maneuver when it comes to salaries. After all, every percentage point costs the state 180 million euros. In the collective bargaining negotiations that started this week, an inflation rate of 3.8 percent was agreed. Compensation would cost 700 million euros. Last year, politicians granted civil servants over 9 percent! This outraged many entrepreneurs at the time because they felt under pressure. This salary increase costs the state a staggering 1.5 billion euros every year.

Economist Denes Kucsera from Agenda Austria

(Bild: Agenda Austria/Elke Mayr)

Wage settlements above inflation in the last ten years
The discussion about a zero wage round is also justified "because the incomes of civil servants have always been raised above the relevant inflation rate in the last ten years, with the exception of 2021", says Kucsera. "And it must also be said that civil servants do not have to worry about their jobs in these difficult economic times. Whereas the industrial sector, for example, has been hit very hard, such as KTM at the moment."

(Bild: Krone KREATIV)

Comparing salary levels with white-collar and blue-collar workers and comparing the increase in salaries in the past shows that there is "a lot of potential for suspending the inflation adjustment in the coming year". Problem areas with particularly difficult working conditions could be exempted. If politicians had increased salaries by five instead of nine percent last year, it would be easier for them to grant another increase this year.

The union is already prepared for industrial action. A large demonstration has been announced for next Tuesday. The employee representatives are also angry with the politicians for delaying the salary negotiations by 13 weeks. Former Finance Minister Magnus Brunner and Civil Service Minister Werner Kogler are now blaming each other.