CMNT_TITLE

Minimum Wage-Fixing Machinery Convention, 1928 (No. 26) - Austria (RATIFICATION: 1974)

Other comments on C026

Observation

Direct Request

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Articles 1 and 4 of the Convention. Minimum wage fixing machinery. System of supervision and sanctions. The Committee notes the introduction as from 1 January 2009 of a cross-sectoral minimum wage of €1,000 per month (payable 14 times a year) following an agreement to this effect by national social partner organizations reached in July 2007. The aim behind this minimum wage floor for all employees was to tackle the incidence of the “working poor”, contain pay inequalities, but also resist any statutory pay regulation. In addition, the Committee notes the adoption of the Wages and Prevention of Social Dumping Act of 28 April 2011, which introduced for the first time a mechanism of supervision of the payment of wages by all employers operating in the country, in particular through the obligation of employers to maintain wage records in the German language (for instance, employment contracts, wage slips and bank transfer notices) and the strengthening of monetary sanctions imposed in case of underpayment of wages and failure to keep payroll records. The Committee requests the Government to keep the Office informed of any further developments in minimum wage policy and the scope of minimum wage protection, especially in the context of the global economic and financial crisis. The Committee also requests the Government to refer to the comments concerning the application of the Minimum Wage Fixing Machinery (Agriculture) Convention, 1951 (No. 99).