“The Austrian economy is under enormous pressure. Hardly a day passes without alarming news,” warned Harald Mahrer, President of the Chamber of Commerce, during his speech on Thursday at the Economic Parliament. He once again identified an increase in bureaucratic hurdles and highlighted the availability of labor, high labor costs, and affordable energy as further “location-political survival issues that we must address immediately.”
Mahrer, who is also a member of the ÖVP team in the ongoing government negotiations, emphasized: “We are pricing ourselves out of the market. This has now become a pan-European problem, as seen in the United States.” He pointed out that in the U.S., the focus of any administration is on ensuring the economy works. “No matter who sits in the White House, whether Democrat or Republican, the focus is always on the economy. The Inflation Reduction Act, which has led to massive investments in the U.S. — and unfortunately to the relocation of companies from Europe — is the latest example. The conditions there are simply more attractive than in the European economic area,” explained Mahrer.
Mahrer: We Need Different Conditions Than We Have Now
This development should be a “dramatic wake-up call” for the EU. However, so far, this has not happened. “Let us keep in mind: It is exports on which so much depends. The export engine is our lifeblood,” said Mahrer, President of the Chamber of Commerce.
Austria needs suitable conditions — “and they must be different from what we have now,” he said. It is crucial to highlight this now, during the ongoing coalition negotiations.
Chamber of Commerce President Sees Part-Time Work as a Matter of Justice
Mahrer also addressed what he believes to be the very high number of open positions. The labor shortage cannot be solved by more part-time work or fewer working hours. “This is the central issue of justice and destiny of our time: How do we ensure there is a clear distinction between those who can work, want to work, and do work — and those who could but don’t want to, even though they have no childcare or caregiving responsibilities?” Mahrer said.
In conclusion, Mahrer appealed to all parliamentary factions to work together and utilize all opportunities to make it clear that change is needed now. Otherwise, in five years, Austria might no longer be referred to as a “competitive business location,” but rather as “business was there in Austria,” Mahrer warned.
The Economic Federation Presents Three Proposals
The Economic Federation today brought forward three proposals on location, health, and AI, all of which were adopted. Secretary-General Kurt Egger called for tax relief, “affordable” energy prices, less bureaucracy, and incentives for full-time employment. Health and telemedicine centers should be expanded, and support for AI solutions should be introduced.
Matznetter: Welfare State Is a Competitive Advantage
Christoph Matznetter from the Social Democratic Economic Association (SWV) emphasized the importance of the social and welfare state as a competitive advantage. He also called for more direct sales outside traditional markets. “Reducing labor-related costs is crucial, but we also need to address the financing,” Matznetter said. “Parts of the value-added processes that currently contribute nothing must be brought into the fold,” he added.
The Freedom Party Criticizes Government’s Economic Policy
The Freedom Party of Austria today criticized the government’s economic policy and the EU’s stance. They presented their demands: no inheritance and wealth taxes, no new consumption taxes, the repeal of the ORF household fee for companies, the immediate abolition of the CO2 tax, and the retention of the diesel privilege. Additionally, the tax and contribution rate must be reduced to below 40 percent, and the road toll increase should be canceled.
UNOS and Greens Call for Changes in the Chamber of Commerce Fee
Michael Schuster from UNOS remarked: “Contrary to popular belief, we do not want to abolish the Chamber of Commerce, but we want to improve it.” He called for the Chamber of Commerce to lead by example by abolishing the Chamber Fee 2 and reducing complexity, thus lowering bureaucracy.
Sabine Jungwirth from the Green Economy wished for a “fair election campaign” and higher participation in the upcoming Chamber of Commerce elections. Austria’s weak economic situation shows that the “growth narrative” is reaching its limits, and a decades-long failed energy policy has contributed to the cost explosion. Jungwirth supports reducing labor-related costs, including Chamber Fee 2 in the reduction.
