The aim is to significantly increase starting salaries and flatten the salary curve, as the Kogler office confirmed on Friday. The “Salzburger Nachrichten” had previously reported on the plans. Discussions are currently underway with the coalition partner ÖVP and the union, it was said. However, it is unclear whether the reform will take place before the election.
Up to 9 percent more starting salary
The planned reform is intended to modernize the pay system for contract staff and civil servants. Specifically, a significant increase in starting salaries of up to nine percent and a flatter increase later in the career are planned. In addition, the different professional groups should be reflected in a common salary scheme, it was said.
According to Kogler’s plans, the new service law should apply to all newcomers to the public service. Existing employees should be free to opt into the new system or stay in the old one. According to estimates by the ministry, 30,000 employees might take advantage of the opportunity and switch to the new salary scale. In addition, there are likely to be around 15,000 to 20,000 people who will be recruited over the next five years. The ministry did not want to provide any information regarding the costs of the reform, citing the ongoing discussions.
Part of the government program
The Green-led ministry pointed out that the creation of a uniform, modern and transparent service law for all new employees with a flattened salary curve and a constant lifetime income is part of the government program. Due to the ongoing wave of retirements by the baby boomer generation, the federal administration is faced with the challenge of filling numerous positions, it said. More than 40,000 people in the executive and military will retire in the next five years, and in the administrative service it is expected to be a quarter of the employees.
As of December 31, 2022, there were a total of 135,357 full-time positions in the public service. A third of federal employees are teachers and more than a quarter are police officers. The third largest personnel item is the Federal Army at around 15 percent.
