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YouthWiki

EACEA National Policies Platform
Austria

Austria

3. Employment & Entrepreneurship

3.6 Integration of young people in the labour market

Last update: 28 November 2023

Youth employment measures

Austria has been focusing on young people in its employment policy for years, gradually building on the Youth Guarantee introduced in 2014. In this context, several high-level institutions have worked together to promote the integration of young people into the labour market. Central to these efforts are ministries such as the Federal Ministry of Labour and Economy (BMAW) and the Federal Ministry of Social Affairs (BMSGPK). In particular, the Ministry of Labour and Economy contributes to the Austrian Youth Strategy through its youth-oriented objectives and activities to support the integration of young people into the labour market (Jugendziele des BMAW) (see chapter 1.3). The Public Employment Service (AMS) plays a crucial role in the implementation of actions and measures. Equally important are the contributions of the social partners, including the Chamber of Commerce (WKO) and the Chamber of Labour (Arbeiterkammer). These national efforts are further strengthened by cooperation with the different regions (Länder).

In addition to the measures already mentioned in the previous chapters, such as education and training guarantees (Ausbildungsgarantie) and apprenticeship support (see chapter 3.5.2), the Austrian government has introduced measures and actions directly aimed at supporting young people's access to and retention in the labour market. Many of these measures are implemented and supported by the Public Employment Service (AMS) and target NEETs (not in education, employment or training), young migrants or refugees, people with disabilities and socially excluded young people.

The Public Employment Service

The Public Employment Service (AMS) provides a range of support and incentives, as outlined in the Labour Market Service Act (Arbeitsmarktservicegesetz, §29 and §34), to help individuals, including young people, integrate into the labour market. Special attention is paid to young people who have difficulties in finding a job (Zielgruppen der Arbeitsmarktförderung). In addition to counselling and support services for job seekers or school leavers, the AMS provides support through job placement, training and financial assistance (i.e. Beihilfe für Arbeitserprobung oder Arbeitstraining). In addition, it provides support to companies hiring specific employees through wage subsidies (Förderung für die erste Arbeitskraft), apprenticeship subsidies and subsidies for the employment of people with disabilities (AMS-Förderungen für Unternehmen). The U25 Service Centre of AMS Vienna and the City of Vienna (U25 Servicezentrum) offers young people under the age of 25 services related to work, education and social affairs.

The AMS Entrepreneurship Programme (Unternehmensgründungs-Programm) also supports young jobseekers who want to start their own business. It is funded by the AMS in the respective federal states with the aim of increasing the participation of young people in the labour market and reducing youth unemployment. In addition, the Chamber of Commerce also supports people who are setting up or taking over a business for the first time (Jungunternehmerförderungen). This includes, for example, exemptions from certain taxes and fees, financial grants and loans.

Labour market integration of young migrants and refugees (Arbeitsmarktintegration junger Geflüchteter in Österreich)

The integration of migrants, especially young refugees, has long been a priority of Austrian policy, with the Federal Chancellery playing a central role since 2020, in line with the Austrian Youth Strategy (BKA – Förderung der Integration Jugendlicher mit Migrationshintergrund). This commitment extends to improving their integration into Austrian society and the labour market.

Various organisations offer different courses and programmes to support social and labour market integration, with the Austrian Integration Fund (ÖIF) and the Public Employment Service (AMS) being the main providers. Participation in these programmes can be obligatory, voluntary or part of AMS support services. The Austrian Federal Chancellery, in cooperation with the International Organisation for Migration (IOM), has developed a special youth guidebook to support ÖIF course trainers in the implementation of tailor-made values and orientation courses (Werte- und Orientierungskurse) for young refugees (UMF) as part of the integration strategy (see Integration Law - Integrationsgesetz, §5).

At the federal level, the Austrian Integration Fund (ÖIF), as a government institution, implements measures for the integration of young people with a migration of refugee background into the Austrian labour market. It provides support, funding, and programmes for individuals and organisations (Förderprogramme des ÖIF). Within the framework of the ÖIF initiative COMPASS (KOMPASS), it focuses on the labour market integration of women aged 18 and over.

In addition, provincial governments also promote labour market integration, such as the ‘effective housing, life skills and vocational training’ (Wohn-, Lebens- und Arbeitstraining) initiative in Styria. This initiative primarily targets young migrants aged 15-18, with exceptions up to 21 in specific cases, and focuses on improving their employability, skills and qualifications for sustainable and professional integration.

Labour market Inclusion of young people with disabilities and socially excluded youth

NEBA – Network for Vocational Assistance (Netzwerk Berufliche Assistenz) – is a comprehensive support programme for people with disabilities and socially excluded youth initiated by the Ministry of Social Affairs Service (Sozialministeriumservice), which offers various programmes to support young people in the labour market. In addition to programmes such as TrainingFit (AusbildungsFit) and Vocational training assistance (Berufsausbildungsassistenz) (see chapter 3.4.1), which aim to facilitate the successful completion of vocation training, Youth Coaching, Job Coaching and Work Assistance are programmes that provide direct support in the labour market.

  • Youth Coaching (Jugendcoaching), is aimed at different groups of young people, including those in the 9th year of school, out-of-school young people up to the age of 19, young people with disabilities or special educational needs up to the age 24, and young people in compulsory education. Voluntary and free, it focuses on guiding these young people around their strengths for a seamless transition into their future careers.
  • Job Coaching (Jobcoaching) provides personalised support in the workplace with a strong focus on enabling the sustainable inclusion of people with disabilities in the workforce. It focuses on improving the technical, communicative and social skills of employees, promoting their independent fulfilment of job requirements and raising awareness of the needs of disabled people in companies and among colleagues.
  • The Work Assistance (Arbeitsassistenz) programme has three main objectives: to keep people in work (preventive function), to help people find a get a job (integrative function), and to act as a central contact point for various actors in the labour market. Key aspects are the involvement of clients, companies and the environment, the provision of ongoing support and guidance in the workplace and the use of social support to overcome challenges.

With the introduction of a new regulation in 2024, the government will expand employment opportunities for young people with disabilities by delaying disability assessments until the age of 25. This will ensure comprehensive support from the Public Employment Service (AMS) before this age and make unemployment benefits available based on specific criteria regardless of disability (see chapter 3.11 for details).

Flexicurity measures focusing on young people

In Austria, the social partners (Sozialpartner) play an important role in shaping the labour market. They ensure a harmonious balance between the flexibility sought by employers and the security needed by employees. However, there's no youth-specific flexible employment.

Austrian labour law provides consistent flexibility and security for all (Arbeitsschutz – Allgemeines), with specific provisions for young people. These include limited working hours and additional protection against unfair dismissal for apprentices (FAQ zur Beschäftigung von Kindern und Jugendlichen). While fixed-term contracts, flexitime and teleworking are allowed, chain contracts are not. Employment contracts may include a one-month probationary period, which allows for termination without cause. Austria attaches great importance to the security of workers, with strong protective legislation and support for young jobseekers, such as 'Youth Coaching' (Jugendcoaching)  and 'Training Guarantee' (Ausbildungsgarantie) (see also chapter 3.5.2).

The Austrian Public Employment Service (Arbeitsmarktservice, AMS) emphasises the early use of its services to prevent potential job losses and supports the unemployed in their commitment to lifelong learning. One example of this commitment is the ‘Education leave’ (Bildungskarenz) initiative, which allows employees to take a break of up to 12 months for further training without jeopardising their employment. During this break, they receive an allowance similar to unemployment benefit and are protected against dismissal. For young people, a joint approach between the employment and education sectors ensures accurate acer guidance. There is an increased focus on guiding young women into promising careers, supported by initiatives such as the Career Centres for Young Women (youngFBZ).

Reconciliation of private and working life for young people

There are no specific top-level programmes on work-life balance for young people in Austria, but the country emphasises a balanced approach to work and family life.

Age-Specific Regulations

Regulations on work-life balance for young people differ according to their age. The Children and Youth Employment Act (Kinder und Jugendlichen-Beschäftigungsgesetz) sets out provisions for those aged 15-18 who have completed compulsory schooling, and regulates their employment and training conditions.

Apprentices under the age of 18 are subject to special working time and youth protection regulations (Arbeitsbedingungen für Lehrlinge). Their working week, including time at vocational school, is limited to 40 hours, with restrictions on night and Sunday shifts. However, there are exceptions in sectors such as hotels and restaurants. Overtime is subject to age limits and is compensated either with a premium or with additional time off. From the age of 18, apprentices are subject to standard working time rules and are entitled to 30 days' annual leave, with any unused days being compensated at the end of the apprenticeship.

Flexible Work Arrangements

Young people benefit from flexible working (Gleitende Arbeitszeit) hours and the opportunity to work from home (Telearbeit). These are particularly beneficial for young parents and carers, helping them to combine work with other responsibilities.

Leave Entitlements

Employees, including apprentices, are entitled to leave, depending on the type and duration of the job, with unused leave being paid when the employee leaves the company. Parental leave or part-time leave can be agreed or taken for a variety of reasons, such as to fulfil caring responsibilities (parental leave), to participate in training (training leave) or to care for close relatives (carer's leave or family hospice leave). The Leave Act (Urlaubsgesetz), for example, regulates rights such as leave to care for relatives. The Maternity Protection Act (Mutterschutzgesetz, MSchG) and the Fathers' Care Act (Väter-Karenzgesetz, VKG) regulate parental leave (Elternkarenz) and ensure job security for both parents after the birth or adoption of a child. The government's commitment to quality childcare facilities helps parents, especially mothers, to return to work.

Employee Well-being

In addition, Austrian companies are increasingly prioritising the well-being of their employees by integrating health, wellness and mental health initiatives into their corporate culture (Betriebliche Gesundheitsförderung).

Funding of existing schemes/initiatives

In Austria, youth employment programmes are largely funded by the national budget, which supports initiatives such as vocational training. In addition, the European Social Fund Plus (2021-2027) contributes to structural reforms for youth employment and training (ESF+ in Österreich). Provinces also contribute with localised funding, and specific employment-related taxes or levies further support these efforts.

The Youth Wiki chapter on Employment & Entrepreneurship elaborates on the funding strategies for initiatives such as career guidance and counselling (chapter 3.4.2), and traineeships and apprenticeships (chapter 3.5.4).

Quality assurance

Austria's labour market policy, which aims at full employment, has long been a model for its innovative and high-quality approach. To ensure high quality, benchmarks and standards are set to make results measurable. Resources are strategically invested in high-quality labour market measures, which are regularly evaluated.

The Public Employment Service (Arbeitsmartkservice, AMS) oversees the transparent exchange of best practice, develops quality standards and ensures that the objectives of Austrian labour market policy are met. It adapts monitoring indicators and emphasises the importance of reintegration as a key measure of success. However, reintegration rates vary between different target groups, so the AMS sets specific integration quotas based on evaluation research.

For example, data from the AMS and the data warehouse DHW were analysed to evaluate quality-focused subsidies in the apprenticeship system. In addition, support measures for at-risk vocational school students are monitored at school level.

Further insights into quality assurance practices are provided in Chapter 3.5.5 on traineeships and apprenticeships