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COVID-19 EU PolicyWatch

Database of national-level responses

Eurofound's COVID-19 EU PolicyWatch collates information on the responses of government and social partners to the crisis, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for case AT-2020-27/953 – measures in Austria

Lump-sum payments for unemployed and children

Einmalzahlung für Arbeitslose und Kinder

Country Austria , applies nationwide
Time period Temporary, 01 July 2020 – 30 September 2020
Type Legislations or other statutory regulations
Category Income protection beyond short-time work
– Support for parents and carers (financial or in kind)
Author Bernadette Allinger (Forba) and Eurofound
Case created 09 July 2020 (updated 04 October 2020)

Background information

Austria has experienced record numbers in unemployment as a consequence of the Corona crisis. In their two-day coalition government meeting on 15 and 16 June, the federal government (consisting of the conservative People's Party ÖVP and the Green Party) announced several measures targeted towards boosting the economy, among them one-off payments for unemployed persons and for parents, both in September. The latter are to be supported at the start of the new school year.

Content of measure

Unemployed persons will receive a one-off payment of €450 in autumn. The condition is that they have received unemployment benefit or emergency unemployment assistance for at least 60 days between May and August. Furthermore, a one-off payment of €360 for each child for whom family allowance is drawn, is paid (i.e. this applies generally to all children up to the year in which they turn 19 years and beyond up to 24 years if they are enrolled in education/training, and to 25 in special cases). Both payments will be made automatically (i.e. no application needed) in September.

The measure applies to all persons having been at least 60 days unemployed between May and August 2020 and to all children for whom family allowance is drawn.

Use of measure

According to the public employment service (AMS) data, only about half (i.e. 370,000) of the estimated 740,000 unemployed and training participants who received unemployment benefit or emergency unemployment assistance between April and August, received the one-off payment of €450. The rest was not eligible as they were either unemployed for less than 60 days, or their unemployment was (partially) before the calculation period between May and August or they were first on short-time work and became unemployed only later, also not meeting the criteria.

Target groups

Workers Businesses Citizens
Unemployed
Does not apply to businesses Children (minors)
Parents

Actors and funding

Actors Funding
National government
Public employment service
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Informed Informed
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Peak or cross-sectoral level

Involvement

This is a unilateral government measure, the social partners were informed but not consulted.

Views and reactions

Organised labour strongly opposed the one-off payment for unemployed persons, as they had opted for an increase of the unemployment benefit from currently 55% to 70%.

Sources

Citation

Eurofound (2020), Lump-sum payments for unemployed and children, case AT-2020-27/953 (measures in Austria), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch

Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.