Hire employees in Austria, hassle-free

Quick Overview

Currency: Euro (EUR)

Capital: Vienna

Official language: German

Payroll Cycle: Monthly

Statutory Holidays

Paid Time Off

In Austria, full time and part time employees are entitled to 25 working days of paid time off.

Public Holidays

• New Year’s Day
• Epiphany
• Easter Monday
• State holiday Austria
• Ascension Day
• Whit-Monday
• Corpus Christi
• Assumption Day
• Austrian National Day
• All Saint’s Day
• Immaculate Conception
• Christmas
• St. Stephen’s Day

General Taxation

Individual Income Tax

The individual income tax average ranges up to 55% and depends on many variables, such as marital status, level of income, and others.

Employer Cost

The employer cost up to 31% of employee gross remuneration

Additional information

Employment Contract Details

Contracts must be in German and can be bilingual. They must be in writing and signed by both parties. Within the mandatory information that a contract must include: name, start date, contract termination conditions, classification of the collective agreement corresponding to the company. Also salary, including additional payments and the name of the pension fund.

‍Probation Period

Minimum probation period is 1 day and maximum probation period is 1 month. However, probation period is not mandatory.

Minimum Wage Requirements

Minimum wage in Austria is EUR 1,200. The salary will vary according to the collective agreement which is determined by the business of the employer. Deel is categorized as an IT business, therefore, the minimum wage is EUR 1,614.

Maximum working hours and overtime

The weekly working day in Austria is 40 hours. The standard is from Monday to Friday. The maximum working hours may vary according to the collective agreement and what is negotiated in the employment contract. According to Deel's collective agreement, the standard work schedule is 38.5 hours per week.

Bonus and expense payments

In Austria there are two mandatory bonuses that are paid every year in the form of 13 and 14 salary. These extra salaries will be taxed like any standard salary. The payment dates are June and November.

Parental Leave

• Maternity leave: employees are entitled to take up to 28 months of paid leave. However, is mandatory to take at least 8 weeks before and 8 weeks after the childbirth. The person will receive the average net income of the past 3 months before leave and the payment will be done by the Social Insurance Agency.
• Paternity leave: employees are entitled to take up to 28 months of paid leave. However, is mandatory to take at least 8 weeks before and 8 weeks after the childbirth. The person will receive the average net income of the past 3 months before leave and the payment will be done by the Social Insurance Agency.

Parents are entitled to take a minimum of 3 months of unpaid parental leave between childbirth and the child’s second birthday. They can also take up to 1 month at the same time and decide who will take the remaining month.

Sick Leave

In Austria, employees are entitled to unlimited sick leave. For the first 10 days of sickness it will be paid by the employer. Starting the 11th day, the Social Insurance Agency will be responsible of 50% of the salary. Upon 4 weeks, 100% will be paid by the authority.

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Termination requirements for employees in

Work contracts can be terminated by both parties and for most cases, a justification for the termination of the contract is not necessary. However, both parties must comply with the notice periods agreed by law and established in the employment contract.

Throughout employment, employers contribute 1.53% of the employee’s gross salary to a severance fund. On termination, the employee can choose to be paid out the accrued amount or simply transfer the fund to a new employer who will continue to contribute.

Terminations are effective at the end of the calendar quarter or, when stipulated in the employment agreement.

Notice Period

The minimum notice period is 6 weeks, regardless of the category of the employee. Notice period can be increased up to 6 months.