Article

45a and Council Directive 98/59/EC

Description

The definition of collective dismissals covers employers with more than 20 employees, who dismiss, or make redundant, at least 5 persons within 30 days.

Employers are obliged to notify the Austrian public employment service (AMS) if they intend to dismiss (AMFG, §45a):

• at least 5 employees in companies with 21–99 employees,
• at least 5% of the workforce in companies with between 100 and 600 employees,
• at least 30 employees in companies with more than 600 employees,
• at least 5 employees aged 50+, irrespective of company size,

within 30 days. The notification to the AMS has to be submitted at least 30 days before the first dismissal. Similarly, employers are also required to notify their workforce and the affected employees of redundancies at least 30 days before the planned first dismissals.

In the notification notice to the AMS employers are not required to justify the redundancies. However, the employer has to indicate the grounds for dismissal and prove that the works council has been informed and consulted. Additionally, information on accompanying social support measures for affected workers are required to be included in the notice.

Commentary

The statutory notification deadline of 30 days can be extended by collective agreements. In practice, the collective agreements of major industries in Austria are limited to a recommendation to inform employees and the AMS as soon as possible (e.g. collective agreement for the food-manufacturing and beverage industries, the chemical industry, iron and metal goods industry.

The notification notice is also necessary in cases of insolvency.

Additional metadata

Cost covered by

None

Involved actors other than national government

Public employment service Works council

Involvement (others)

None

Thresholds

Affected employees: 5
Company size: 21
Additional information: No, applicable in all circumstances

Sources

• Ius Laboris (2009), Collective Redundancies Guide, Brussels
• Alpha Consulting (2003), Anticipating and Managing Change - A dynamic approach to the social aspects of corporate restructuring, European Commission, Brussels
• Arbeitsmarktförderungsgesetz § 45a
• Austrian Public Employment Service (AMS), 'Frühwarnsystem'
• Kollektivvertrag Angestellte der chemischen Industrie (2017)
• Rahmenkollektivvertrag für Angestellte der allgemeinen Nahrungs- und Genussmittelindustrie sowie der Süßwaren- und Futtermittelindustrie (2016)
• collective agreement for the food-manufacturing and beverage industries
• Chemical Industry