Agreement On New Minimum Wage

In the event of a cross-border transfer, special payments (for example. (b) leave and Christmas allowances must be paid in proportion to the salary period in question (i.e. as a general monthly rule), even if the current collective agreement provides for the payment of a total amount on another day. As of January 1, 2017, this provision will also apply to cross-border recruitment. The increase ends on 3 different dates for different price groups. See When my premium will go up to get details on when the new minimum wages will start in your premium. Any national minimum wage regulations, adopted as part of an annual wage review, will come into force on July 1 of the following fiscal year and come into force until the next national minimum wage scale comes into force. Minimum wages in the second group of premiums increase from 1 November. We have updated our payroll and salary calculator with the new minimum rates. The second price group includes construction, manufacturing and a number of other sectors. You will find a complete list of prices in this group in group 2. On 1 January 2017, the Austrian law against social and wage dumping (`LSD-BG`)1 came into force.

The provisions of the LSD-BG apply to workers who are transferred or hired from abroad to Austria. The LSD-BG aims to promote „fair pay conditions“ for workers. So far, these provisions have been governed by different laws. Only compensation items (which are „non-contributory“ under Article 49, paragraph 3 of the General Social Security Act (ASVG) are excluded from wage controls. In addition, compensation items that are due only under each employment contract or enterprise agreement are also excluded from minimum wage controls. While we work on updating our website and tools with the new Group 3 awards, you can subscribe to email updates and we`ll let you know when the new minimum prices will be available in our paid tools. The new minimum wages also apply to any work done by a worker during the „JobKeeper“ plan when he receives his salary from a bonus or the national minimum wage. For more information, see JobKeeper and the 2020 Annual Salary Review on our JobKeeper program page.

The new minimum wage starts in the following bonuses from the first full pay period from July 1, 2020. This GMS Flash Alert reports new wage, work and management requirements, in accordance with the provisions of the LSD-BG, which apply to employees seconded or hired from abroad to Austria. However, if the collective agreement does not include other rules, it would be advisable to agree on the due date no earlier than one month after the overrun has expired. The increase does not apply to workers who already receive more than their new minimum wage. „The labour market will be more competitive as workers will be able to switch employers and employers will be able to attract the best talent to the local market,“ says Pamela McDonald, senior partner at Pinsent Masons.

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