If you are considering working abroad and are interested in, for example, working in Austria, the following information will certainly be useful to you.
Nowadays, many people are interested in working abroad, whether due to the prospect of a better salary, improving their language skills, gaining the necessary experience or making new contacts. Last but not least, experience gained abroad will also look good on a CV, which can be an advantage when looking for work after returning, thanks to the experience gained and knowledge of a foreign language.
So, if you are considering working abroad and Austria appeals to you, the following information will be helpful.
From the experience of many people, Austrians are generally very friendly towards foreigners, welcoming and have a strong team spirit. Therefore, here you can gain a lot of valuable experience, new friends and pleasant memories.
How to start your job search in Austria?
When looking for work in Austria, it is advisable to monitor job advertisements on specialised websites, use the services of various recruitment agencies, send CVs — in this case, of course, in German — or follow the portal:
www.jobeu.org
Residence permit and mandatory registration
As citizens of the European Union and the European Economic Area (EEA), you do not need a residence permit to live in Austria if your stay does not exceed 3 months, regardless of the purpose of your presence on Austrian territory. If you have sufficient means of subsistence and appropriate insurance, you have the right to settle anywhere on Austrian territory.
After arriving in Austria, all foreigners must register within three days at the competent municipal office — Gemeindeamt. There they must declare their address on the registration form — Meldezettel — and receive a registration confirmation — Meldebestätigung.
EU citizens do not need a residence permit, but if a stay of more than three months is anticipated, it is necessary to apply at the regional administrative authority for a residence document for citizens of the European Economic Area — Lichtbildausweis für EWR-Bürger. With this document you have the right to settle anywhere on Austrian territory.
Employment contract
Austrian law allows employment contracts to be concluded verbally. In this case, the employer issues an employment document — Dienstzettel — which serves as proof of the employment relationship.
The employee receives an insurance number, which is important for recording the total insurance period and earnings, which are decisive for calculating contributions.
Social insurance is compulsory for all persons employed in Austria.
Social insurance includes
- health insurance — Krankenversicherung
- accident insurance — Unfallversicherung
- pension insurance — Pensionsversicherung
- unemployment insurance — Arbeitslosenversicherung
In Austria there are social insurance institutions for various sectors of the economy, for example for farmers, railway employees, miners or self-employed persons.
For most employees, the competent social insurance institution is the Österreichische Gesundheitskasse (ÖGK).
The employee is assigned a social insurance institution. They cannot choose it themselves.
Registration procedure at the Gesundheitskasse
Registration with the competent social insurance institution must be carried out by the employer.
The employee is assigned a social insurance number — Sozialversicherungsnummer.
Subsequently, the employee receives an electronic card, the so-called e-card, which entitles them to use the services of social insurance.
Social insurance contributions
Contributions are deducted by the employer for all areas of social insurance — health, accident, pension and unemployment.
Persons who work part-time — the so-called low-income work "geringfügige Arbeit" — are only covered by accident insurance. They can voluntarily pay health and pension insurance.
Voluntary unemployment insurance is not possible.
Self-employed persons pay their own contributions.
Health insurance
Social health insurance services include:
- medical care, including dental services
- hospital care
- sickness benefits.
The e-card is more than just a bank-card-sized medical card for patients. It is the key to the healthcare system, serves as an identification document and provides access to e-government services. The e-card brings benefits for patients, doctors, employers, as well as for the social insurance system.
The fee for the e-card is automatically deducted from the salary.
In pharmacies, fees are paid for prescriptions ("Rezeptgebühr"), as well as for some medical devices, for example orthopaedic ones.
Under certain conditions, a family member can be insured together with the employed person.
Accident insurance
Social accident insurance services include:
- prevention of occupational accidents and diseases
- medical care for employees
- compensation after an occupational accident or disease, such as invalidity pension or retraining for other work, in the event of inability to carry out the previous activity.
Pension insurance
Social pension insurance services include:
- old-age pension
- early retirement
- rehabilitation.
Unemployment insurance
Information on unemployment insurance is provided by the competent employment service — Arbeitsamt / AMS.
Unemployment insurance services include:
- unemployment benefit
- financial support for job searching, provided only to the future employer.
More information about the social insurance system can be found on the website of the Austrian social insurance institution.
Healthcare and health insurance when working in Austria
European legislation stipulates that citizens are subject to health insurance rules in only one state, namely the state in which they carry out gainful employment. If the insured person does not fulfil their notification obligation, they may be subject to sanctions.
Before starting work in another European Union member state, you must notify the health insurance fund in your home country where you are registered and withdraw from the health insurance system of your home country from the date of commencement of gainful employment.
If you have already started gainful employment abroad, you must notify your health insurance fund immediately, within eight days.
In general, a person who travels to a European Union member state for the purpose of looking for work remains insured in their home country until they find work abroad. Until then, in the event of need, they can receive healthcare in the respective European Union or European Economic Area state on the basis of the European Health Insurance Card.
When this person starts to carry out gainful employment in another EU or EEA member state, they come under the legislation of that state. From that moment, they are no longer insured in their home country and can no longer claim rights on the basis of the European Health Insurance Card.
The health insurance funds of the respective countries issue their own health insurance cards.
After the termination of activity in another member state, it is necessary to re-register without delay at the health insurance fund in your home country. The health insurance fund may request a document concerning the period of health insurance in the European Union member state.
Social insurance when working in Austria
Currently, almost all employees in Austria have social insurance. The amount of social insurance contributions depends on the level of income. This insurance is compulsory, and insured persons have a legal right to certain benefits if the conditions for their provision are met.
The social insurance system is financed from employer and employee contributions, as well as from government funds.
Social insurance includes:
- sickness insurance
- accident insurance
- pension insurance
- unemployment insurance.
With the exception of accident insurance, which is paid entirely by the employer, both employees and employers contribute to the other contributions.
Social assistance when working in Austria
The competent administrative authorities are responsible for providing social assistance. Applications for social assistance benefits must be submitted to the municipal office — Gemeindeamt — depending on the place of residence, or to the social assistance department — Magistratisches Bezirksamt.
In this context, it should be borne in mind that benefits granted from the social assistance system are not subject to European Union legislation on the coordination of social security systems. Therefore, the decision on granting these benefits belongs entirely to the competent local authorities.
Temporary incapacity for work
Temporary incapacity for work must be reported within 7 days of its occurrence. If the incapacity lasts more than 14 days, after 14 days its continuation must be notified again.
At the beginning of sick leave, you must complete the form and send it within 7 days of the start of incapacity. In the case of incapacity lasting more than 14 days, the form must be sent every 14 days. The end of sick leave must be communicated as soon as possible after its conclusion.
Always send the original with the doctor's stamp and signature.
If your incapacity for work lasts more than 42 days, you will be entitled to social support in the case of long-term incapacity. If you wish to apply for this support, complete the second part of the form. Do not forget to enter your bank account number; this does not have to be an Austrian account.
Sickness benefits
Anyone who falls ill must continue to receive wage compensation from the employer. Wage compensation does not refer only to salary or wages. It also includes regular overtime or bonuses calculated on the basis of an average.
You are entitled to cash sickness benefit (Krankengeld) if, due to illness, you are unable to work and you are:
- employed in a paid employment relationship
- an unemployed person receiving unemployment insurance benefits
- a participant in retraining courses.
The entitlement to benefits arises through the issuance of a certificate of incapacity for work by a doctor.
What does the insurance cover?
From the start of incapacity for work, a three-day waiting period begins. Sickness benefits usually start to be paid from the fourth day.
If you do not report the incapacity for work within one week, sickness benefits will only be paid from the day of notification.
The daily amount of the sickness benefit is calculated on the basis of the last salary. From the 43rd day, the amount of the benefit is 50% – 60% of the salary.
If the statutes of the health insurance fund allow, these percentages may be increased for a spouse and/or other dependent family members. The increased benefit may not exceed 75% of the salary.
In the case of persons whose salary does not exceed the minimum level for compulsory insurance and who are at the same time voluntarily insured, the amount is determined separately.
Amount of the benefit
The amount depends on the income from the last month before the illness and on the duration of the continued payment of salary.
The employer must initially pay the full amount, then half. During the period when the employer continues to pay half the salary, you also receive half of the sickness benefit from the ÖGK — Österreichische Gesundheitskasse, i.e. the Austrian health insurance fund.
After the partial payment by the employer ceases, the ÖGK takes over the process and the employee receives the full sickness benefit.
Part-time employees, self-insured under § 19a ASVG — the General Social Insurance Act — receive a benefit of 5.51 EUR per day, i.e. 165.44 EUR per month.
How long are benefits paid?
Sickness benefits are paid for a maximum period of 1 year. Anyone who is able to work again for at least 13 weeks acquires a new entitlement to benefits.
The Austrian health insurance fund — ÖGK
The employee must apply to the ÖGK for both the half and the full sickness benefit — this is not granted "automatically".
The duration and amount of the basic entitlement to benefits, as well as the subsequent entitlement, depend on the number of years worked. Apprentices receive full apprenticeship compensation for 8 weeks and partial salary for a further 4 weeks.
Sickness benefit in the case of an occupational accident
Employees are additionally entitled to full salary payment in the case of an occupational accident for 8 weeks or 10 weeks after 15 years of work.
Amount of continued payment in the case of an occupational accident
During incapacity for work, employees must not be financially disadvantaged. They must receive the salary they would have received had the accident not occurred (Ausfallsprinzip — the principle of loss compensation).
Your right to cash sickness benefits when moving within Europe
In general, cash sickness benefits, i.e. benefits intended to compensate for income lost due to illness, are always paid in accordance with the legislation of the country in which you are insured, regardless of where you are or where you reside.
When acquiring entitlement to sickness benefits in the case of moving to another country — the European Union, Iceland, Liechtenstein, Norway or Switzerland — the competent institution, i.e. the institution of the country in which you are insured, must take into account insurance, residence or employment periods completed under the legislation of each of these countries. This ensures that people do not lose their health insurance when changing jobs or moving to another state.
Entitlement to unemployment benefit
If you are an EU citizen and have permanent or temporary residence in Austria, after the termination of employment in Austria you can register electronically with the AMS employment service.
If you have lost your job and wish to register as unemployed, use the eAMS account as a priority. If you do not have such an account or do not know how it works, you can register online, send an email to the local AMS branch or contact AMS by telephone. The application form for unemployment benefit will subsequently be sent to you.
Conditions of entitlement
The first entitlement to benefit from the unemployment insurance fund requires 52 weeks of legal employment with compulsory insurance, including unemployment fund insurance, in the last 2 years before the application.
Repeated entitlement requires 28 weeks of legal employment with compulsory unemployment insurance in the last 12 months.
For persons who become unemployed before the age of 25, a period of 26 weeks of legal employment with compulsory unemployment insurance in the last 12 months is required.
Each person registered with the employment service receives an agreement on rights and obligations towards that institution (Betreuungsvereinbarung).
Types of financial benefits
From unemployment insurance:
- unemployment benefit (Arbeitslosengeld)
- emergency assistance in cases of material need (Notstandshilfe).
Benefits supporting employment:
- support for continuing professional training (Weiterbildungsgeld)
- benefit for reduced working hours before retirement (Altersteilzeitgeld).
Special benefits for older persons:
- pension advance (Pensionsvorschuss)
- transitional benefit (Übergangsgeld).
Special benefits for persons with health problems:
- support for retraining (Umschulungsgeld)
- unemployment benefit (Arbeitslosengeld).
Entitlement to unemployment benefit
The right to unemployment benefit belongs to any person who can prove the minimum period of employment with compulsory insurance, including contributions to the unemployment fund, and who is prepared to accept a job during the period of receiving the benefit, provided that the payment period has not been exhausted.
Application for unemployment benefit
Information on how to apply for unemployment benefit is provided by the Austrian employment service AMS.
If you are an EU citizen and do not have permanent or temporary residence in Austria, after the termination of employment in Austria you can register with the competent employment service in your home country.
You can apply for unemployment benefit using form U1, which can be obtained through the website of the Austrian employment service AMS. The competent institution will send the completed U1 form to your home address, and you will subsequently present it to the competent branch of the social insurance institution.
Amount of unemployment benefit
The basic amount of the benefit is 55% of net daily income. With family benefits it can reach a maximum of 80%, and without family benefits a maximum of 60% of net daily income.
After the age of 45, the amount of unemployment benefit may not be lower than that received before reaching this age.
Resignation by the employee
In the case of termination of the employment relationship at the initiative of the employee or as a result of their own fault, unemployment benefit or emergency assistance is not paid in the first 4 weeks. Nevertheless, the duration of entitlement to benefit is not reduced.
Persons receiving benefits from the employment service are covered by health and accident insurance under the General Social Insurance Act (ASVG).
European forms
Among the important documents concerning the free movement of workers within the European Union, EEA and Switzerland are the so-called European forms, through which institutions in different countries communicate with each other. These forms are not issued automatically. Their issuance must be requested either by the worker or by the responsible institution.
European forms have a uniform format and are available in all languages of the European Union. They are designed so that in any member state, the officials of the competent institution can obtain the necessary information.
Citizens who travel to another member state for the purposes of work, study, etc. should, before departure, find out whether they need these forms. European forms are issued by the competent institutions, usually employment services or health insurance funds.
Overview of European forms
Forms in the E 100 series — relate to applicable legislation and health insurance.
Forms in the E 200 series — relate to social and pension insurance.
Forms in the E 300 series — are intended for the area of employment and unemployment.
Forms in the E 400 series — relate to family benefits.
Form E 106
Form E 106 serves to secure entitlement to comprehensive healthcare in your home country for citizens who work in another European Union member state but continue to live in their home country.
The worker requests this form from the foreign institution where they are insured. The issued E 106 form is then submitted to the health insurance fund in their home country where the person was insured before departure.
On the basis of this form, the person is entitled to comprehensive medical care in both countries.
Minimum wage in Austria
In Austria there is no single minimum wage officially set by law. The level of wages is usually stipulated in collective agreements. Wages in Austria differ, of course, as everywhere, depending on the field of activity.
Annual leave when working in Austria
Employees are entitled to leave of 25 to 30 working days during the calendar year. After 25 years of work, the duration of leave increases to 36 working days.