The hotel and catering industry in Austria has seen significant updates with the conclusion of the new collective agreement for 2024. Effective from November 1, 2024, this agreement brings various changes aimed at improving working conditions and addressing the unique needs of the industry. Below, we highlight the key aspects of this agreement.
Key Highlights of the New Collective Agreement
- Flexible Working Hours: A major feature of the new agreement is the introduction of flexible working hours for both full-time and part-time employees. Part-time employees can now have a calculation period of up to 26 weeks, similar to their full-time counterparts. For those with fixed-term contracts, this period can extend up to 9 months. This flexibility allows employers to manage increased workloads more effectively without incurring overtime premiums. Any overtime that cannot be compensated within the averaging period will attract a 50% surcharge.
- Extension of Fixed-term Employment Contracts: The agreement allows for the extension of fixed-term employment contracts by up to four weeks, ensuring continuity in operations without interrupting the averaging period. This extension is particularly beneficial for seasonal businesses where the end of a season can be unpredictable.
- Observation Period for Maximum Working Time: The observation period for the average maximum working time has been extended from 17 to 26 weeks. This change is designed to help businesses with longer seasons better manage periods of extended working hours.
- Flexibility for Young Workers: To support the training of future skilled workers, companies can now arrange 14-day calculation periods with young employees through individual contracts. Additionally, Sunday work can be more flexibly organized, ensuring that, on average, half of the Sundays remain free, as per legal requirements. Apprentices are guaranteed the first eight Sundays of their apprenticeship free from work.
- Apprenticeship Completion Bonus: Apprentices who pass their final examinations with excellent or good results on the first attempt will receive a bonus of €250 or €200 respectively.
- Wage Group 4 Regulation: Effective from May 1, 2025, completed apprentices will be classified into a higher wage group immediately. Additionally, assistants without a final apprenticeship examination will be included in this group after 10 years of industry experience or relevant training without qualification.
- Night Work Allowance: Employees working after midnight will receive a night work allowance divided into three sections with a €9 surcharge per section. There are exceptions for early morning starts with reduced or no surcharges.
- Free Sundays: Employees are entitled to 12 guaranteed free Sundays per year, which must be paired with a free Monday or preceding Saturday. Exceptions include businesses with fixed closing days or those operating exclusively on weekends.
- Holiday and Christmas Bonuses: Most employees will see an increase in their holiday and Christmas bonuses, with overpayments being considered across all federal states. The waiting period for these bonuses has also been reduced from two months to one.
- Trial Month: The first month of employment is now universally recognized as a trial month, during which either party can terminate the employment without reason.
Wage Settlements for 2024 and 2025
The agreement stipulates a wage increase averaging 8% in 2024, split into two steps: +6% from May 1, 2024, and an additional +2% from November 1, 2024. For 2025, wages will increase by the annual inflation rate of 2024 plus 1%. The minimum gross wage will be €2,000 from May 1, 2025. Apprentice wages will also increase, with specified amounts for each year of apprenticeship.
- Apprentice Income from May 2024
Starting from May 1, 2024:
€1,000 in the 1st year of apprenticeship
€1,120 in the 2nd year
€1,320 in the 3rd year
€1,420 in the 4th year
From May 1, 2025:
€1,050 in the 1st year of training
€1,180 in the 2nd year
€1,400 in the 3rd year
€1,500 in the 4th year
These changes reflect a commitment to enhancing the working conditions and benefits for employees in the hotel and catering industry, ensuring fair compensation and flexibility to meet the industry's unique demands.
For more detailed information, you can download the official agreement and the updated salary list for the sector.
