Compensation and benefits can make a difference in what kind of employees you attract to your open positions. Providing statutory as well as additional benefits as a part of your Austria benefit management plan will attract top talent to your jobs and encourage them to stay with your company long-term. Plus, meeting or exceeding Austria’s compensation laws will keep your employees happy and your company compliant.
Austria compensation and benefits outsourcing from Globalization Partners will make a difference throughout your expansion. We’ll use our Employer of Record solution to handle everything from hiring to payroll to giving out benefits and compensation. When you work with us, you can have peace of mind knowing your company will stay compliant while you run day-to-day operations.
Austria Compensation Laws
Austria does not have a national or regional minimum wage because of the presence of collective bargaining agreements (CBAs). A CBA should stipulate a minimum wage for your respective industry. If there is no CBA, the employment contract should outline the appropriate remuneration.
Employees in Austria typically work eight hours a day and 38 or 40 hours a week. Any additional hours should get compensated at 50% the employee’s normal rate, and 100% for night and weekend shifts. Keep in mind that a CBA could outline different overtime rates than Austria’s compensation laws depending on the industry.
Guaranteed Benefits in Austria
All employees must receive guaranteed benefits required by Austria’s laws. You can start your Austria benefit management plan by providing time off for the country’s 13 holidays. Employees who have worked for six continuous months are also eligible for five weeks or 25 days of vacation each year. After the employee works for 26 years, their time off will increase to 30 working days or six weeks of paid vacation.
Austria also requires employers to provide pregnant employees a protection period of 16 weeks of leave split evenly before and after birth. Employees should make the same amount during this leave as they do during normal working hours. Mothers and fathers also get a minimum of two months of parental leave — during which wages are suspended — until their child reaches two-years-old.
Austria Benefits Management
Dispersing your Austria benefit management plan means providing supplemental benefits that employees may expect. A market-norm benefit is a 13th- or 14th-month bonus equal to one month’s salary typically paid at Christmas and again in the summer before the employee uses their vacation time.
Restrictions for Benefits and Compensation
The biggest restriction for compensation and benefits is the incorporation process. You have to set up a subsidiary before you can hire employees and add them to your payroll. Globalization Partners offers Austria compensation and benefits outsourcing to help you start working faster without the worry of establishing a subsidiary. We’ll use our existing Austria subsidiary to help you start working faster, and we’ll take on the compliance on your behalf.
Choose Globalization Partners Today
Globalization Partners is the team you need on your side for a successful expansion to Austria. Contact us today to learn more about Austria compensation and benefits outsourcing.