Social and further training fund for temporary work in Austria
- Name of the instrument - Local language
- Sozial- und Weiterbildungsfonds der Arbeitskräfteüberlassung Österreichs
- Name of the instrument - English translation
- Social and further training fund for temporary work in Austria
- Type of instrument
- Training fund
- Type of entry
- Single instrument
- Short description
On 1 January 2014, the new law provided for the establishment of a ‘social and further training fund’. It is the first national training fund in Austria. A similar fund had already been established for blue-collar workers, but based on a collective agreement. The new fund is based on a national law and will apply to both white and blue-collar workers.
Agencies that offer temporary work are obliged by law to contribute a fixed share of their payroll costs (2014: 0.35%; by 2017: up to 0.8%) to a training fund and may receive partial reimbursement of their training costs such as course fees and wage costs. Agencies can receive subsidies up to 100% (occasionally 200%) of their contributions to the fund. Former temporary agency workers (currently unemployed) are also eligible for training subsidies (under specific conditions).
- Short description of the related instruments
- Level of operation
- Name of a part of the country
- Name of the region (for regional instruments)
- Name of the sector (for sectoral instruments)
- Temporary agency work
- Legal basis
§ 22a Arbeitskräfteüberlassungsgesetz - AÜG (Temporary Agency Work Act), of 23 March 1998
- Objective(s) and target(s)
It is the social and further training fund duty to support (former) employees of temporary work agencies in avoiding unemployment, stabilising their employment, additional qualification and improvement of their chances on the labour market and in the case of unemployment'.
- Year of implementation
The fund is managed by social partners (representatives of employers and employees). The Federal Ministry for Labour, Social Affairs and Consumer Protection plays supervisory role.
- Eligible group(s)
Temporary agency workers; temporary work agencies
- Group(s) with preferential treatment
- Education and training eligible
External training only
- Source of financing and collection mechanism
By law, agencies offering temporary work have to contribute a certain percentage of their total payroll costs to the fund. This contribution will increase to 0.8% by 2017 (2014: 0.35%; 2015: 0.60%).
Some EUR 1 million was added to the temporary agency work fund from the education fund. In addition, start-up funding of EUR 2-3 million a year was provided by PES (AMS) for the first 3 years.
- Financing formula and allocation mechanisms
The fund shows different ways of cost-sharing:
- for companies and temporary agency workers: full-coverage of training costs for general and expert training;
- for unemployed (former temporary agency workers): one-off payment of EUR 250 (in addition to unemployment benefit) to finance further training courses.
Companies may receive subsidies up to 100% (occasionally 200%) of their contributions to the fund; grants may not exceed EUR 200 000 within 3 years.
De minimis regulation is applied.
Allocation: Individual temporary workers and temporary work agencies receive grants for training (as reimbursment of the costs) after an application process.
Agencies are funded when their proposed training plans meet the defined criteria best. Funds are distributed by a first come, first served principle.
- Eligible costs
Fees and other costs related to training (such as material costs and personnel absence costs)
- Frequency of the use
- Volumes of funding
The average annual budget in the years 2014, 2015 and 2016 allocated to the fund is EUR 2 800 000.
- Beneficiaries/take up
In 2014, the fund provided funding for training to 125 temporary work agencies. Some 2 400 workers attended 710 training courses.
- Organisation responsible for monitoring/evaluation
The Federal Ministry for Labour, Social Affairs and Consumer Protection supervisory committee for the fund.
- Monitoring/evaluation reports available
- Most relevant webpage - in English
- Most relevant webpage - local language