Austrian Hotel Association announces new hospitality collective agreement

The Austrian Hotel Association (ÖHV) has welcomed a new collective agreement for the hospitality and gastronomy sectors. The agreement, reached by social partners, aims to provide planning security for businesses and clarity for employees amidst a challenging economic climate.

Starting in October, minimum wages and salaries will increase by an average of 3.02%, with higher percentage increases designated for apprentices and lower wage groups. Additionally, the agreement includes a tax-free employee bonus: 275 euros gross for full-time employees (pro-rated for part-time) and 175 euros for apprentices.

Walter Veit, President of the ÖHV, described the deal as a “reasonable balance” that ensures fair pay while remaining manageable for companies. However, the association continues to call for political action to reduce high non-wage labor costs and taxes to help businesses attract and retain staff.