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1. Main challenges to social inclusion

2. Definitions and concept

Main challenges to social inclusion

Austria’s robust welfare system (Sozialstaat Österreich) provides broad protection for its residents, including children and young people. It guarantees access to healthcare, education and training, and supports families through benefits and childcare services. It also promotes social inclusion through specialised initiatives, such as youth centres and programmes for at-risk youth. These measures help reduce inequality and social exclusion and have been shown to lower poverty rates and promote social inclusion, even during challenging times such as the pandemic.

The Austrian Youth Strategy builds on this foundation, working towards a more inclusive society for all young people. It focuses on education, employment, participation and quality of life, all of which align with the European Youth Goal #3 of Inclusive Society (#3 Inklusive Gesellschaften) (see Chapter 1.3 National Youth Strategy). 

However, such as many other European countries, Austria has faced major challenges in recent years, including an economic downturn, rising youth unemployment, persistent inflation, global trade tensions and the growing impacts of climate change. These pressures particularly affect vulnerable groups such as children and young people, by limiting their access to education, employment, and stable housing. The risk of poverty and social exclusion is even higher when factors such as disability, illness, migrant background, political views, religious beliefs, sexual or gender identity, or difficult family situation overlap. 

Many young people now feel uncertain about their future, worrying about finding stable employment, affording housing, and achieving the same level of security as previous generations (Statistics Austria 2025). In order to counteract these negative trends and preserve hope for the future, it is crucial that young people have access to quality education, stable housing and meaningful opportunities for social participation and personal development. Such measures are vital not only for safeguarding their futures, but also for building resilience against ongoing and future crises, and for reducing the risk of societal exclusion.

National surveys and data addressing youth inclusion

A variety of surveys in Austria collect data on social inclusion. While these surveys generally cover broad aspects of societal participation—such as poverty, living conditions, housing, labour market access, educational opportunities, and health— young people are often specifically highlighted. The findings provide valuable insights into the challenges and barriers to inclusion that young people face, supporting the development of targeted policies and interventions. 

• Austrian Youth Report

  The Austrian Youth Report (Jugendbericht Österreich) regularly examines the social inclusion of young people, analysing key areas such as demographics, education and employment, participation and engagement, and quality of life and health. It identifies risks and challenges, particularly for vulnerable groups, and offers data-driven policy recommendations. In this way, the report promotes evidence-based strategies that encourage the inclusion and engagement of all young people in Austria, and ensure equal opportunities for all.

• Social Report and Social Policy Study Series

  The Austrian Social Report (Sozialbericht Österreich) is a publication of the Ministry of Social Affairs that has been produced on a regular basis since 1967. It provides comprehensive insights into developments and policies in the social sector. Among others, it focuses on improving living conditions, reducing social inequality, and promoting participation and equal opportunities for young people. Accordingly, the report stresses the need for targeted support measures and an inclusive welfare state that prioritises the need of young people. 

• Austrian Survey of income and living conditions by Statics Austria (based on EU-SILC data)

  The risk-of-poverty rate for young people in Austria is calculated based on data from the annual European Union Statistics on Income and Living Conditions (EU-SILC) survey, conducted by Statistics Austria for the Ministry of Social Affairs. This survey offers detailed insights into the living conditions, income, and social inclusion of all population groups, with a particular focus on children and adolescents, revealing the specific risks and barriers they encounter. These findings are essential for shaping targeted social policies that promote inclusion and equal opportunities for young people in Austria

• National poverty indicators

  To provide a more accurate assessment of poverty and social inclusion in Austria, Statistics Austria collaborated with the Federal Ministry of Social Affairs and the Austrian Platform Against Poverty and Social Exclusion to develop a set of comprehensive indicators originally called 'Inclusion Indicators'. These indicators cover areas such as standard of living, housing, working life, education, and health. They are crucial for analysing social policy and identifying key areas for intervention, particularly for vulnerable groups such as young people. By complementing EU poverty reporting, this framework enables ongoing monitoring of poverty and inclusion trends across Austria. The latest results are available in the publication 'Key figures on living conditions 2023' (Kennzahlen zu Lebensbedingungen 2023).

The following sections discuss these national surveys and report data on the social inclusion of young people in Austria, with attention to issues such as economic vulnerability, housing, insecurity, labour market participation, and the integration of migrant youth. 

Poverty and young people at risk of poverty

In Austria, children and adolescents under 18 are more vulnerable to poverty and social exclusion than the general population. According to the 2025 EU-SILC Study (data from 2024), nearly one in four people at risk of poverty or social exclusion are under 18. By comparison, 16% of 18-34-year-olds face similar risks (Statistics Austria 2025). 

Around 143,000 children and young people under 18 (about 5% of this age group) experienced material and social deprivation in 2024, meaning their families could not afford essentials such as rent, heating or an annual holiday (EU-SILC-Study 2025). Among young adults aged 18-34, the rate was lower at 2% (Statistics Austria 2025). 

Major risk factors include low educational attainment, unskilled or insecure employment, non-Austrian citizenship (particularly from outside the EU-27 or EFTA), unemployment, family difficulties (e.g. addiction or domestic violence) and disability. When several of these risks combine, vulnerability increases sharply. In 2024, around 27,000 children and young people lived in households affected by poverty, severe deprivation and minimal or no employment simultaneously. Additionally, 146,000 young people were persistently at risk of poverty, having lived in such conditions for at least three consecutive years (down from 194,000 in 2023) (EU-SILC-Study 2025).

Social welfare programmes, particularly family allowances and targeted income support, remain vital for reducing child poverty. In 2021, 36% of children and adolescents lived in households receiving minimum income support or social assistance, covering 34% of couples with children and 23% of single-parent households (Youth Report 2023, p.128). 

Homelessness and young people at risk of homelesness

Youth homelessness is primarily linked to structural factors such as family poverty, high housing costs and limited social mobility. Young people without stable family or social support face particular disadvantages, including restricted access to housing, employment and training. Care leavers, who exit residential care at the age of 18, are especially vulnerable, as the loss of welfare support and housing significantly increases their risk of homelessness.

In 2021, around 2,500 young people aged 14–24 in Austria were registered as homeless or at risk of homelessness. The majority of these were male (60.6%), with nearly half of them living in Vienna. The country addresses youth homelessness through targeted welfare measures, including minimum income support, housing subsidies and improved access to social housing. In addition, specific housing initiatives for young people, such as ‘Young Living’ (Junges Wohnen) aim to provide affordable accommodation and support a transition to independent living.

Barriers to participate in the Austrian labour market

Although Austria’s youth unemployment rate was well below the EU average (10.4% compared to 14.5%) in 2023, entering the labour market remains challenging for many young people, particularly during economic downturns ('Youth and Work 2023' report, p. 5). Structural barriers such as low educational attainment, migrant status and disadvantaged family circumstances continue to limit access to employment. Early school leavers and young people not in education, employment or training (NEETs) are at an increased risk of long-term social and economic exclusion. 

Although there are no significant gender differences in youth unemployment or NEET rates among 15-24-year-olds (with youth unemployment standing at 9.5% in 2022), young people without Austrian citizenship are significantly more likely to be unemployed than their Austrian peers. A migrant background and socioeconomic disadvantage are also associated with a higher risk of early school leaving (2023 Youth Report, p.85). To address these challenges, Austria has implemented targeted measures, including the Austrian Youth Strategy and the Education and Training Guarantee (Ausbildungsgarantie), as well as support schemes for apprentices (Unterstützung und Förderungen für Lehrlinge). These initiatives are aimed at improving access to employment and supporting labour market integration for vulnerable groups (see Chapter 4.4)

Young Non-EU/EFTA Migrants at Risk of Social Exclusion

Through the Austrian Integration Fund (ÖIF), Austria has expanded targeted education, language and employment programmes for migrants. Nevertheless, young people from non-EU/EFTA migrant backgrounds remain at an increased risk of social exclusion, particularly if they come from families with low educational attainment and limited social networks, or if they live in urban centres such as Vienna (Integration Report 2024, p.3ff.). 

Within the education system, the proportion of pupils whose first language is not German has continued to rise, resulting in measurable deficits in skills and higher rates of early school leaving. In 2022, around one-third of pupils in compulsory education in Vienna spoke a language other than German at home. Young people with a migrant background are significantly underrepresented in academic secondary schools, apprenticeships and higher education. Meanwhile, non-Austrian youth are almost twice as likely to be unemployed as their Austrian peers. These structural disadvantages considerably limit labour market integration and increase the risk of long-term social and economic marginalisation (Integration Report 2024, p.3; 23-39). 

The Impact of COVID-19 on Youth Vulnerability

Following the pandemic, many young people in Austria are still struggling with the aftermath of the crisis. The restrictions on social life disrupted regular contact with peers and limited opportunities to practise and develop social skills, with far-reaching consequences for mental health. According to the 2023 Youth Report (p. 211), family and friends are a vital source of support, offering protection against social isolation, particularly in times of crisis. Consequently, young people with limited social connections, or those facing challenging family circumstances, are particularly vulnerable to the ongoing effects of the pandemic, remaining at an increased risk of social exclusion.

Definitions and concepts

Austria does not have a single, concrete definition of 'social inclusion', nor a specific concept for youth inclusion. Instead, it is considered a broad, multi-layered issue addressed at various levels of society. In essence, this means that all individuals, regardless of their background, abilities, or circumstances, are entitled to equal rights and opportunities to participate fully in society. For young people, this involves tackling the risk of individual exclusion, such as unemployment, disability or discrimination, as well as providing support to those from disadvantaged families or facing other life challenges. Ultimately, inclusion in Austria is understood as a multidimensional effort to eliminate any obstacles that could prevent young people from participating in economic, social, and cultural life (see also Information sheet ‘Social Inclusion of Youth’ in Austria, 2014).