Strikes

The opportunity of workers to lay down their work is the most powerful means they have in case of a conflict. A strike can just be set up if negotiations with the representatives of employer organisations do not come to a satisfying result and if a democratic strike resolution is set up by the trade union.

The OeGB rejects legal regulation of strikes as this would be an infringement of union autonomy. That's why the right to strike, the right of workers to stage an industrial dispute, is not guaranteed by specific regulations. However, the general principle prevails that a strike is not liable to punishment.

Solidarity Fund

The OeGB's unions have a joint solidarity fund (strike fund). Due to the existence of this solidarity fund there is no problem as to whether a small or large, weak or strong union should enter into an industrial dispute. Providing that the strike is recognised by the OeGB, the union on strike is backed by the full financial power of the OeGB's solidarity fund.

Additionally, the OeGB grants the following benefits to its members: strike benefit, compensation for fines, etc. incurred during union strike activities, unemployment benefit, death benefit and legal protection.

Negotiation instead of confrontation

Austria has always been a model of harmonious industrial relations. Due to the co-operation between workers, industrial leaders and government (the Parity Commission), the strength of the OeGB and the common strike fund, strikes are very rare in Austria. Among developed nations, only Japan has fewer strikes than Austria. The countries with the highest strike rates are Spain, Greece and Finland.

2003 - biggest strikes since World War II

However, May and June of the year 2003 marked a turning point. The biggest strike actions since World War II were staged as a protest against the planned pension reform of the ruling conservative-far-right coalition.

May 6th 2003 was a historic day for Austria. For the first time in decades the OeGB called for a national day of action, including strikes. About 500,000 workers participated all over Austria in about 10,000 activities, such as workplace meetings, rallies, strikes, blockades and demonstrations.

On May 13th the OeGB organised further protest actions and called for a big demonstration which finally ended with a major manifestation on "Heldenplatz" in Vienna's inner city.

On June 3rd more than one million workers, which is around a third of the country's total workforce, in 18.000 workplaces all over Austria heeded the strike call and took industrial action. This was the country's biggest strike since World War II. 

The length of the strike action varied from complete 24-hour stoppages to more limited strike actions in some workplaces. On the front line of the struggle were public transport and railway workers, as well as the major formerly nationalised chemical and steel industries in Linz. Likewise, 250.000 public sector workers, including workers in schools, kindergartens and universities, hospital staff and council workers, joined the strikes. Airport, bank and postal workers as well as the police also took action, as did employees from the social and pension insurance. In the major cities demonstrations, road blockades and protests were organised.

The protests came amid other strikes in Europe over pension reform, notably in France, at a time when governments are trying to cope with the reality of an aging population that requires more pension cash and a low birth rate, meaning fewer workers to pay contributions.

Pension Reform Law

After three round table talks between the government, the coalition and the trade unions, no consensus could be reached in key points. Disregarding all further protest actions, Conservative Chancellor Wolfgang Schuessel presented the bill to parliament on June 4th and the so-called "pension reform" law was passed.

This reform will prolong the period of pension contributions from 40 to 45 years and raise the retirement age to 65 years. Before that most Austrian men retired at 59 and women at 57 years. It will also decrease payouts as it changed the way in which pension payouts are calculated by 2028. Now a monthly sum is worked out by taking an average of contributions over 40 years and not only the 15 last or most advantageous years.

The failure of the rounds of negotiation was caused by the government´ s refusal to make concessions on two major issues: while the union representatives demanded to maintain the existing "freedom of choice" for early retirement, the government wants to stage an abolition of the current early retirement scheme under the planned pension reform until the year 2013. In addition to that, no concession could be achieved regarding cuts in pension benefits. The government together with the trade unions are currently working on a reform model that would harmonise pension systems in Austria.