Read news from:
Austria
SHARE
COPY LINK
For members

READER INSIGHTS

‘Language more important than skills’: How hard is it to find a job in Austria?

Finding a job can sometimes be one of the main challenges when settling down in a new country, especially if you do not speak the language well. Here is what The Local's readers say about their personal experiences.

Published: 5 April 2024 13:56 CEST
'Language more important than skills': How hard is it to find a job in Austria?
People working together in an office. Photo by Arlington Research on Unsplash

In a poll a few weeks ago, our readers told us about their experiences with finding a job in Austria. The results showed that most of them think finding a job in Austria is challenging – and many were surprised by how the job market works here.

Most of our readers consider finding a job difficult but still possible. Another large group of readers says that it is extremely difficult.

‘My nationality could be a problem’

Alex experienced finding a job extremely difficult and thought that his nationality could be the problem. He said: “I have a bachelor’s degree a Vienna university. I applied for many entry-level jobs and student internships, but the instant answer was no. In addition to English, I also speak German, I have a C1 level certificate, and I am also a student in the master’s in Vienna. So I guess my nationality, even though I am an EU citizen, could be the problem.”

Another reader from Pakistan, Faisal, said that he found the job search very difficult and that he received frequent rejections without clear reasons. He thinks that having earlier experiences in the field might help in the process. “Bring some experience from top globally known firms, and this will help you.”

READ ALSO: ‘Geringfügige’: What you need to know about marginal employment in Austria

Mayara from Brazil mentioned the difficulties in receiving a visa to be able to work in Austria. “It is better to have some kind of visa. Most of the companies here don’t want to take care of it.”

Sachin, who is a software developer from India living in Vienna, said that he experienced problems with the recruitment process and the people in human resources. “The first interview is taken by HR, and it is decided whether it is worth taking a “real” interview with an actual job description with real managers. Usually, HRs don’t have any technical knowledge, and they reject good candidates.”

Three women in an office. Photo by Tim Gouw on Unsplash

The language barrier is the main challenge

Most other readers agreed on the importance of knowing German to succeed in the job market. One reader mentioned, “German language is required even for unqualified, non-customer service jobs.'”

Mayara, who lives in Tyrol but comes from Brazil, agreed: “The language is more important than your skills”. They were not alone, the language barrier was a huge issue with many of our readers. Xhoi A., a reader from Albania, mentioned the language barrier and said that they experienced the requirement process in Austria as not welcoming – plus, you need to know some basic German to be successful.

Dr. Tabata Bohlen, who comes from Brazil but holds German (EU) citizenship, said that knowing was one of the challenges she faced in the local job market: “even at international companies with branches in Austria”, she mentioned.

READ MORE: Digital nomads: Who can work remotely in Austria?

‘Look at international organisations’

Most advice from readers included learning some German and looking for jobs at international organisations.

US citizen Matt recommends that other foreigners look for opportunities in international companies – his recruitment was made by an international organisation.

Ed Recentes also said that it is a good idea to explore opportunities at international companies. The British national currently living in Graz added that he does not think German is necessary to secure a job, but it is beneficial. 

Sachin advised: “Speak some sentences in German. Show willingness to learn German. Don’t be afraid to be a technical person. Don’t be afraid to ask questions.”

Jimi from Australia said that it is a good idea to know at least a little bit of German. “Get your A2 certificate”, he suggested. The 32-year-old also had some practical advice: “Include photos in your CV”. 

There is no consensus on the level of German you should have. While some reader suggested you learn “the basics at least”, others were harsher: “Learn the language very well before coming to Austria.”

Guoliang Wang from Shanghai emphasised that language is important but that another good idea is to prepare well before starting the job search process. “Research the industry and define your goal first.”

Learning German is considered important. Photo by Annika Gordon on Unsplash
 

Member comments

  1. Typo:
    “ Dr. Tabata Bohlen, who comes from Brazil but holds German (EU) citizenship, said that knowing [………..German……….] was one of the challenges she faced in the local job market: “even at international companies with branches in Austria”, she mentioned.”

Log in here to leave a comment.
Become a Member to leave a comment.
For members

WORKING IN AUSTRIA

Why are people in Austria paying more taxes despite federal reforms?

Workers in Austria are still among those with the highest tax burdens in the world, with the taxes and contributions taking more than 40 percent of wages even as the country introduced sweeping tax reforms.

Published: 26 April 2024 12:21 CEST
Why are people in Austria paying more taxes despite federal reforms?

It’s often said that Austria is a country with high quality of living and high taxes, but a new OECD study shows just how high the tax burden is here compared to other OECD countries.

According to the report, Austria has the third-highest tax burden on workers and the so-called “tax wedge”, how much of a worker’s wage is taken by the government,  increased as well.

According to the OECD, in most countries, the increase in labour taxation was primarily driven by increases in personal income tax.

This is because nominal wages increased in 37 out of 38 OECD countries as inflation remained above historic levels. However, since most of these countries do not have automatic indexation of tax systems, high inflation tends to increase workers’ tax liabilities by pushing them into higher tax brackets. 

However, Austria’s federal tax reforms removed this in the country in 2023. This means that once inflation rises, the tax brackets that define how much taxes you will pay on your income will also rise – and they have risen in 2023 and in 2024 since the change. 

The measure was known as the “end of the cold progression” in Austria and should have protected workers’ incomes from inflation losses.

READ ALSO: The tax benefits that parents and families receive in Austria

What is the tax ‘wedge’?

The OECD defines a tax wedge as “income tax plus employee and employer social security contributions, minus cash benefits.” 

In other words, if an employer has a labour cost of €100, how much will they actually see in their pockets, and how much of this goes to the state? According to the organisation, the percentage is the tax wedge.

In Austria, €100 earned by a single employee without children was taxed at an average of €47.2 last year. The amount was only smaller than in Germany (47.9 percent) and Belgium (52.7 percent) and it rose compared to the previous year when it was still at 46.9 percent.

The average of the 38 OECD countries was 34.8 percent.

Married single-earner couples with two children also have high tax burdens, with a tax wedge of 32.8 percent (OECD average: 25.7 percent), which is the eleventh-highest tax and contribution burden within the OECD for this group (2022: 13th place). For married dual-earner couples, the wedge was 40.6 percent.

The tax wedge for individuals or households with children is generally lower than those without children, as many OECD countries grant households with children a tax advantage or cash benefits.

READ ALSO: Why it’s worth filling in your annual tax return in Austria

Why is Austria’s tax burden higher this year?

Despite the tax reform presented by the government, Austria’s tax wedge has increased compared to the year before. 

The reason is the relief granted in Austria in 2022 in the form of one-off state payments. With the rising cost of living, the federal government released several temporary measures to help people in the country cushion the effects, including the popular €500 Klimabonus payment every person who had been a resident of Austria for at least six months was entitled to. 

These payments and increases in family allowances reduced the tax burden in 2022 – but they no longer exist or were drastically cut in 2023. Because of that, the tax burden is rising again. 

“The abolition of cold progression and the other measures have merely prevented the tax burden from rising more sharply,” Wifo economist Margit Schratzenstaller told Der Standard.

The report said the increased tax issues show that there is still a need for action. Compared to other industrialised countries, Austria’s tax burden on work for a single person without children is ten percentage points higher. Of course, the expert noted, the fact that many industrialised countries have a different social system with fewer publicly funded benefits also plays a role here. However, labour is also expensive in Austria compared to the EU average.

READ ALSO: What foreign residents in Austria should know about taxes

“The fact that the tax burden on the middle classes has increased is due to the government’s failure. Instead of structural relief, there have been one-off payments that have evaporated,” said Lukas Sustala, head of Neos-Lab, the think tank of the liberal opposition party.

NEOS representatives have urgently called for a ‘comprehensive tax reform’ to alleviate the heavy labour burden, with a significant reduction in non-wage labour costs, according to an ORF report.

In addition, NEOS proposes the creation of ‘tax incentives for full-time work’ – including a full-time bonus and tax exemption for overtime pay. Simultaneously, NEOS aims to eliminate ‘part-time incentives of any kind’, offering a potential boost to the economy and workers’ incomes.

Economist Schratzenstaller also recommends action: She suggests reducing social insurance contributions, for example, for health insurance companies. However, it’s important to note that intervening in this area could affect the largely autonomous financing of Austria’s healthcare system, which is funded mainly through workers’ and companies’ payments via social insurance contributions. 

SHOW COMMENTS