The ongoing economic slowdown is putting continued pressure on the Austrian labor market. According to figures released today, around 397,100 people were registered as unemployed or in training with the Public Employment Service (AMS) at the end of March. Of those, 316,300 were unemployed and approximately 80,700 were participating in AMS training programs. Compared to the same month last year, the number of unemployed and trainees increased by 7.4 percent, or 27,400 people.

The unemployment rate at the end of March rose by 0.5 percentage points to 7.4 percent. However, AMS director Johannes Kopf noted that unemployment “is not rising as sharply as one might expect given the strained economic situation.” He added that “the industrial and retail sectors continue to be particularly affected by the economic downturn.”

Unemployment figures in Austria have been on the rise since April 2023. Economic research institutes Wifo and IHS expect an economic recovery starting in the summer, though unemployment figures typically improve only after a delay following an upswing.