In comparison with the identical month final 12 months, the variety of unemployed and AMS coaching members rose by 9.9 p.c or 30,319 individuals. The unemployment charge rose by 0.5 share factors to six.2 p.c. So long as financial momentum doesn’t enhance, the labor market might be underneath stress, mentioned Economics and Labor Minister Martin Kocher (ÖVP) at a press convention in Vienna on Monday. It would “take a while” for the financial upturn anticipated within the fall to turn into noticeable within the labor market. Kocher identified, nevertheless, that the nation presently has “the third lowest unemployment charge within the final ten years on June 30” and that there are “a number of vacancies.” “Solely in 2022 and 2023 was the unemployment charge even decrease resulting from catch-up results following the corona pandemic.”
Weakening financial growth impacts on job market
On the finish of June, the most important enhance in unemployed individuals and other people in AMS coaching in comparison with the identical month final 12 months was in items manufacturing/trade (+16.4 p.c), development (+16.2 p.c), transport and warehousing (+12.5 p.c), commerce (+12 p.c) and catering and lodging (+11.2 p.c). The rise in unemployment was barely decrease, however nonetheless sturdy, in short-term employment (+8.1 p.c) and in well being and social companies (+7.6 p.c).
Essentially the most important enhance in unemployment and coaching members was recorded within the industrial state of Higher Austria (+18.2 p.c), adopted by Tyrol (+13.9 p.c) and Salzburg (+12.5 p.c) and Styria (+12.4 p.c). The smallest enhance was in Vienna (+7.1 p.c) and Carinthia (6.7 p.c). By far the best unemployment charge among the many federal states was recorded in Vienna at 10.7 p.c. The unemployment charge is decrease in Burgenland (5.8 p.c), Decrease Austria (5.7 p.c), Carinthia (5.5 p.c), Styria (5.2 p.c), Vorarlberg (5.1 p.c), Higher Austria (4.2 p.c), Tyrol (3.4 p.c) and Salzburg (3.3 p.c). The variety of unemployed Austrians, together with coaching members, rose by 6.9 p.c to round 192,000 and the variety of unemployed foreigners rose by 14 p.c to 146,000.
Opposition events categorical criticism
The opposition events voiced clear criticism of the federal government’s labor market coverage. “The federal government’s failure to fight file inflation is having a serious impression on the labor market and the economic system,” mentioned SPÖ social affairs spokesman Josef Muchitsch in a press launch. “The excessive unemployment charge amongst foreigners remains to be an enormous downside that’s placing an rising pressure on Austria’s welfare state – all additional immigration should lastly be stopped,” demanded FPÖ social affairs spokeswoman Dagmar Belakowitsch. “The federal authorities’s failure to reform the labor market is having penalties,” mentioned NEOS financial and social affairs spokesman Gerald Loacker.
The Chamber of Labor and the commerce union criticized the deliberate discount of the AMS funding finances for energetic labor market coverage within the coming 12 months. “Though the financial forecasts are altering, unemployment is rising and apparently additionally changing into extra entrenched, as the present labor market information exhibits, the federal authorities is slicing the AMS finances by virtually 95 million euros,” mentioned ÖGB Federal Director Ingrid Reischl. “Energetic labor market coverage have to be expanded fairly than diminished as a way to qualify individuals and to have the ability to place them in focused positions,” demanded AK President Renate Anderl. “I’d assume that the following authorities, as quickly as it’s in place and has a brand new finances, will in all probability give us extra,” mentioned AMS board member Kopf on Ö1 radio. The Common Secretary of the Federation of Austrian Industries, Christoph Neumayer, once more referred to the “excessive non-wage labor prices burden” that’s having a destructive impact on the labor market and referred to as for a deal with strengthening areas.
Hope for optimistic psychological impact via EM success
AMS board member Johannes Kopf hopes that the success of the home soccer staff on the European Championships might have a optimistic psychological impact on Austria’s economic system. Since there may be “presently no silver lining on the horizon” within the AMS figures and “the economic system has so much to do with psychology”, they’re “greedy at straws”: “Could additional successes by our nationwide staff create the euphoria that firms and households regain confidence,” mentioned the AMS boss in an announcement. Kopf is “presently involved in a number of methods” concerning the growth of the home trade. Along with the worldwide financial and demand weak point, Austria is experiencing a “important deterioration in unit labor prices – relative to different nations” and the European vehicle trade is scuffling with rising e-car competitors from China, mentioned the AMS board member on Monday within the Ö1 “Mittagsjournal” on ORF radio.
AMS board member Johannes Kopf hopes that the success of the home soccer staff on the European Championships might have a optimistic psychological impact on Austria’s economic system. Since there may be “presently no silver lining on the horizon” within the AMS figures and “the economic system has so much to do with psychology”, they’re “greedy at straws”: “Could additional successes by our nationwide staff create the euphoria that firms and households regain confidence,” mentioned the AMS boss in an announcement. Kopf is “presently involved in a number of methods” concerning the growth of the home trade. Along with the worldwide financial and demand weak point, Austria is experiencing a “important deterioration in unit labor prices – relative to different nations” and the European vehicle trade is scuffling with rising e-car competitors from China, mentioned the AMS board member on Monday within the Ö1 “Mittagsjournal” on ORF radio.
Monetary police requested fines of round 4.4 million euros
Finance Minister Magnus Brunner (ÖVP) and Labor Minister Kocher offered figures on wage and social dumping at a joint press convention on Monday. In 2023, the monetary police inspected 1,402 firms underneath the Wage and Social Dumping Act that had “labored” into Austria from overseas. Of the businesses inspected, 3,443 posted or short-term employees had been inspected, and 233 individuals had been affected by underpayment. On this context, the monetary police filed 399 legal complaints with the accountable district administrative authorities for failure to supply reporting or wage paperwork and requested fines totaling round EUR 4.4 million. An inspection plan is drawn up yearly as a part of the Wage and Social Dumping Act. In 2024, “there might be a selected deal with the lodge, catering and tourism sectors, the development and construction-related trades, and the safety and occasion trade,” mentioned Finance Minister Brunner.
This text was up to date on July 1, 2024 at 3:53 p.m.
