Image Source: Wikimedia Commons / Public Domain
1. Country Overview
Austria is a wealthy, highly industrialized European Union member state characterized by strong social partnership, social security, and skilled engineering.
2. Geography
Landlocked central European nation bordered by Germany, Czechia, Slovakia, Hungary, Slovenia, Italy, Switzerland, and Liechtenstein.
3. Culture & Languages
Formal and punctual German-speaking business etiquette with emphasis on professional qualifications. Monday to Friday workweek.
4. History
Federal republic with a historic role at the heart of Central European commerce, politics, and culture.
5. Labour & Employment Law History
Employment is heavily shaped by Collective Bargaining Agreements (Kollektivverträge), which cover over 95% of all employees in Austria.
6. Currency, Capital & Key Facts
7. Employment Snapshot
Standard working time is 40 hours per week (or 38.5 hours under many collective agreements). Customary 13th and 14th month salaries (Urlaubsgeld and Weihnachtsgeld) mandated by CBAs.
8. Payroll & Tax
Progressive income tax up to 55%. Total social security contributions are ~21% employer and ~18% employee.
9. Benefits & Leave
Minimum 25 working days (5 weeks) of paid annual leave per year, increasing to 30 days after 25 years of service. 13 paid public holidays.
10. Contractors & Worker Classification
Free service contracts (freier Dienstvertrag) are closely monitored by the Austrian Social Insurance Authority (ÖGK) to prevent hidden employment.
11. Immigration & Work Permits
Non-EU skilled nationals require the Red-White-Red Card (Rot-Weiß-Rot-Karte) based on points-based criteria.
12. Employer of Record (EOR) & PEO Capabilities
Direct EOR solutions in Austria must comply with the Austrian Staff Leasing Act (Arbeitskräfteüberlassungsgesetz - AÜG) and mandatory CBA salary bands.
13. Matched Verified Providers for Austria
Providers below are cross-referenced with EOR.one's global provider intelligence registry:
14. Related Global Expansion Services
15. Official Sources Reviewed
- Austria Ministry of Labour & Employment / Official Gazette ↗ Government / Regulatory Authority · Accessed 2026-09-01
- International Labour Organization (ILO) — Austria Country Profile ↗ International Organization · Accessed 2026-09-01
- The World Bank Group — Austria Economic & Labour Market Data ↗ Global Development Institution · Accessed 2026-09-01
- National Statistical Authority & Tax Administration of Austria ↗ Official Statistics / Tax Authority · Accessed 2026-09-01
16–18. Next Steps for Hiring in Austria
Choose the appropriate route for your hiring requirements in Austria: