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WORKING IN AUSTRIA

REVEALED: The different ways of terminating a job contract in Austria

Whether a probationary period is unsuccessful or you're taking time out to start a family, there are very specific terms for ending a work contract in Austria. These are the key ones to know and how they can affect your rights.

A person signs a contract.
A person signs a contract. Photo by Scott Graham on Unsplash

Even if you work in an English-speaking job in Austria, you’re still likely to have to navigate some bureaucracy in German from time to time. That can start with understanding your initial employment contract and end with handing in your notice – or in worse situations, being laid off.

While Austria has some of the strongest employment rights in the world, it’s important to know the lingo, especially as a foreigner. That’s because different ways of quitting your job – or being fired – could have a big impact on your rights and what you’re entitled to, for example, how soon you are able to claim employment benefits. 

So if you’re wondering about the different ways to terminate a job contract, these are the key terms to know and what they mean for you and your employer. 

Termination during the probationary period (Auflösung während Probezeit)

New employees hired by a company in Austria can be given a probationary period of up to a month in order to test whether they are a good fit. During this time, either the employer or the employee can decide to terminate the contract without giving a specific reason.

It’s worth noting that longer probations are sometimes set out in your employment contract – but the two parties can only terminate the employment without providing a reason within the first month of this, as set out by law.

Even during the probationary period, as well, there are illegal grounds for letting someone go. If you suspect that the termination was discriminatory – i.e. if it was due to prejudice against your race, religion or sexuality – then you have grounds to either contest the termination or claim for damages. 

Termination by mutual consent (Einvernehmliche Auflösung) 

The mutual termination of the work contract – otherwise described as an ‘amicable solution’ – involves both you and your employer determining a date when your employment contract will end.

This can be initiated by the employer or by you, and doesn’t generally need to be put in writing – although it’s advisable to do so in order to make sure there aren’t any misunderstandings and you have concrete evidence of what has been agreed.

It can also be worth discussing this with the Arbeiterkammer, or Chamber of Workers, in order to make sure you aren’t put at a disadvantage by what you agree to. For example, your boss may try to use the agreement to lower the notice period required, which could make it difficult to make other arrangements before your job ends. 

It’s also worth noting that there are some special carve-outs for certain type of workers, including mothers, fathers and pregnant women and those under the age of 18. In these cases, agreements often have to be put in writing or checked over by labour representatives before they are valid, so if you think this may apply to you, be sure to seek advice from your works council or union. 

READ ALSO: EXPLAINED: How long can you stay in Austria if you lose your job?

Quitting or Dismissal (Kündigung)

If you decide that the job just isn’t for you, you may want to hand in your notice in a process known as a Kündigung. On your employer’s side, they can also decide to terminate the employment relationship without a special reason, though they will have to observe certain deadlines and notice periods. These can range from six weeks to five months, depending on how long you have been with your employer. 

In most cases, employees can get away with simply giving a month’s notice. Though this can be extended, it shouldn’t ever be longer than the notice period for your employer. 

Unless something else has been agreed in your contract – or you’re entitled to special protection – a Kündigung can be made in written form or verbally. Some contracts may specify that written notice is required, however. 

Some labour rights experts also recommend putting your resignation in writing in order to have proof of when it was submitted. 

A worker uses his laptop on a desk in a cafe.

A worker uses his laptop on a desk in a cafe. Photo: Anna Shvets/Pexels

Getting fired (Vorzeitige Entlassung)

In the case of very serious offences, your employer can choose to terminate your contract with immediate effect – but this has to be proportionate to the offence committed.

There are a range of reasons an employer can fire an employee in Austria, including:

  • Repeated refusal to permit their duties without a good reason (i.e. illness)
  • Moral or ethical offences like theft, bodily harm or embezzlement against the employer or colleagues
  • Setting up a rival commercial enterprise without the employer’s permission
  • Falsifying documents or knowingly deceiving the employer during the hiring or employment process 
  • Serving a prison sentence of longer than 14 days 

In companies with a works council, your boss will need to inform the council of any dismissal immediately. This would then be checked over by labour rights experts to check everything is above board.

In a fair dismissal, the employer will also need to calculate a final financial entitlement, which will include any wages until the end of the employment relationship, holiday time, etc. In the case of an unfair dismissal, you would be entitled to compensation, though any claim will need to be made within a specific time frame. 

READ ALSO: EXPLAINED: When can I get a day off work in Austria?

Early resignation (Vorzeitige Austritt)

An early resignation takes place when the employee unilaterally decides to resign with immediate effect and notifies their employer of this. Much like employers must have a good reason for firing an employee, an employee must also have a good reason for resigning immediately and bypassing the normal deadlines and notice periods.

This can include, but isn’t limited to, the following reasons:

  • The employee is unable to continue working and cannot do without endangering their health 
  • The employer refuses to pay the employee or is unable to do so 
  • The employer physically assaults the employee
  • The employer breaches the fundamental terms of the contract, i.e. by docking their worker’s salary
  • The employer tries to incite the employee to commit a crime 

If you’re unsure if you have the right to resign early, seek advice from your union, works council or HR department – and make sure you keep a record of anything that could justify an immediate resignation.

Employees in an office space.

Employees in an office space. Photo: Studio Republic / Unsplash

Expiry of contract period (Zeitablauf)

If you have a contract that specifies a specific end date – for instance, because you are covering for another employee during their maternity leave or conducting seasonal work – the employment relationship simply ends through the expiry of the contract, or Zeitablauf.

It’s important to note that Austrian employment law has clauses that protect workers from abuse of this rule. For example, if your boss repeatedly gives you fixed-term contracts for no good reason (known as Kettenarbeitsverhältnisse or chain employment relationships), the contract automatically becomes unlimited and the usual legal notice periods apply once again. 

READ ALSO: Can I work for my foreign employer as a self-employed person in Austria?

Termination during maternity or parental leave (Beendigung während Mutterschutz und Karenz)

Workers in Austria have a special set of protections when they are pregnant or on parental leave. This includes Kündigungsschutz – or protection from dismissal – during the entirety of the pregnancy and for at least four months following the birth.

This prevents employers from trying to avoid paying maternity and parental leave by simply dismissing pregnant workers. 

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For members

VIENNA

COMPARE: The best commuter towns if you work in Vienna

Just because you work in Austria's capital Vienna, it does not mean that you have to live there. There are many beautiful and affordable towns just a short commute away.

COMPARE: The best commuter towns if you work in Vienna

Public transport works well in Austria, and over the past few years, especially after the Covid pandemic, most companies have become more flexible when it comes to allowing their employees to work from other places than the office.

This means that living outside Vienna has become more possible than earlier. If you work in the capital, there are many nearby towns and cities within reach.

Baden bei Wien

Baden bei Wien, a cute spa town in Lower Austria, is listed as one of UNESCO’s World Heritage sites.

You can reach Baden from Vienna in about 30 minutes by train. If you drive, it will take you around 40 minutes.

As a place to live, Baden bei Wien offers a great mix of beautiful nature and culture. The town is located in the forested areas known as Vienna Woods where you can enjoy different hiking and biking trails just outside of town. There are also many forests to explore and wineries to visit.

Baden has a rich cultural heritage, and one of its highlights is The Kurpark, a beautiful park in centre of the town, with gardens, fountains, and historic buildings. It is also where the famous spa, Römertherme, is located.

Throughout the year, the town offers various festivals and events such as the Badener Sommernacht and the Beethoven Festival.

Unfortunately, property prices in Baden bei Wien are not cheap and the town has some of the most expensive real estate in Lower Austria. It is still cheaper to rent something in Baden than in Vienna though, as rent prices in the capital are 8.7 percent higher, according to Numbeo.

Kurpark in Baden bei Wien. Photo by Roman Vasilovski on Unsplash

Korneuburg 

Korneuburg is a historic town in Lower Austria, located on the banks of the Danube River.

Because it only takes about 30 minutes to reach the town from Vienna, it is a popular place to live if you work in the capital. 

Korneuburg offers quiet living near beautiful nature and water. It is a popular alternative to the more stressful and crowded Vienna.

The town has many parks, and in the surrounding area, you will find great nature spots like the hill Bisamberg, where you can enjoy marked hiking and cycling trails.

Korneuburg is known for its rich history, and some of the town’s highlights are Korneuburg Castle, which was built in the 12th century, and the cute and small old town with its narrow streets and historic buildings.

In Korneuburg, The Local found one bedroom apartments to rent for less than €700 per month.

READ ALSO: Train travel in Austria: The best day trips from Vienna

Mödling 

Mödling, located around 14 kilometres south of Vienna in Lower Austria, is known for its closeness to nature and rich cultural heritage.

It only takes 15 minutes of train travel to reach Mödling from Vienna. If you travel by car, it will take you 30 minutes.

Mödling is known for its surrounding nature and offers many hiking, jogging, and mountain biking trails. It is also famous for having one of the region’s best via ferratas (klettersteig) for beginner climbers, Mödlinger Klettersteig.

The town also has a rich cultural heritage. For example, Beethoven dedicated the music Mödlinger Tänze (Mödling Dances) to the town, and there is also a Beethoven museum where you can go and learn more about the famous composer.

Furthermore, Mödling is famous for The Mödling Wine Festival, which is held annually in the historic town centre. Here you can go to try local wines, culinary dishes, and listen to traditional music.

The Local found property prices per square meter for Mödling to cost around €3,986.

City centre of Mödling. Photo by Roman Vasilovski on Unsplash

Neusiedl am See

If you want to live near a big lake, settling down in Neusiedl am See in Burgenland might be a great idea.

This town is surrounded by Austria’s most famous wine regions, and it only takes you 40 minutes to travel there from Vienna by train, and a similar time by car.

The town is a popular summer and spring day trip destination for people living in Vienna who want to escape the city to spend some time at the lake. The town centre offers a mixture of modern and traditional cafes, restaurants and bars.

The lake is a great place for enjoying sports such as kite surfing, cycling, hiking, and swimming. Many people also visit the area for birdwatching since it is home to a diversity of birds.

Property is generally considered to be quite affordable in Burgenland, but Neusiedl am See is one of most expensive district in the province.

If you want to buy a house, the average price per square meter is €3.623.Prices for apartments are expected to be similar.

A boat of a sailing school sails in front of the marina in Neusiedl am See. (Photo by Alex HALADA / AFP)

READ MORE: 6 great alternatives to Austria’s overcrowded tourists hotspots

Klosterneuburg 

Klosterneuburg, located in the Vienna Woods in Lower Austria, is home to a population of 27,500.

If you are coming from Vienna, you can reach Klosterneuburg in about 40 minutes by train, while driving takes around 30 minutes via the B14 and the B227.

The town is known for its historic Klosterneuburg Monastery that was built in the 12th century and is described by Wienerwald Tourismus as “one of the most beautiful and charming forest communities in the Vienna Woods”.

Klosterneuburg has a historical city centre where you can meet up with your friends, eat at one of the restaurants, do your groceries or maybe visit some of the museums to check out an exhibition.

Since the town is located in the Vienna Woods, nature is easy accessible and you can reach many hiking trails just by walking from the city centre.  

According to Numbeo, rent prices in Klosterneuburg are 50.4 percent lower than in Vienna. To rent a one bedroom apartment you have to pay around €715 in Klosterneuburg, according to Numbeo.

 
 
 
 
 
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Wiener Neustadt

Wiener Neustadt is a city located in Lower Austria, and a more affordable and quieter alternative to living in the capital.

The city is one of the largest rail transport hubs in Austria and is well connected to the capital, which you can reach in about 30 minutes by train. Driving takes around 50 minutes if you go via the S Autobahn/E59.

This city is also a great alternative to Vienna if you love nature since it is surrounded by it. Wiener Neustadt offers bicycle lanes and trails, including the EuroVelo 9 – a long-distance cycle path connecting the Czech Republic, Austria, and Slovenia.

Schneeberg is also located nearby, which is the highest mountain in the area and a great place to go if you want to enjoy hiking, ski touring, and some great views.

The price for buying an apartment in the centre of Wiener Neustadt is around €3,500 per square meter. Rent prices are in general 37 percent lower than in Vienna, according to Numbeo.

Woman biking through a park in Wiener Neustadt. Photo by Michael Pointner on Unsplash

St. Pölten 

St. Pölten is the capital of Lower Austria and it is known for having both an entrepreneurial and an art scene.

From Vienna, you can take a direct train and reach St. Pölten in about 20 to 30 minutes, whereas driving takes you one hour. Using the train is very convenient since the train station is centrally located in the old town of St.Pölten.

The city has a cute historical town, with small streets and historical buildings like the church, The Diocese of Sankt Pölten. And if you feel like enjoying some cultural performances, you can visit the famous Festspielhaus.

St. Pölten offers affordable living in a city near nature. The mountain Schneeberg is very nearby and it does not take you long to get there if you want to enjoy hiking, climbing or skiing.

The Local found one bedroom apartments to rent in the city for less than €600 per month.

City centre of St.Pölten. Photo by Leonhard Niederwimmer on Unsplash

READ NEXT: 8 exciting events taking place in Vienna this May

Do you have better options for commuter towns near Vienna that have not been included on this list? Let us know in the comments section below.

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