Term used to refer to the function of establishing contact between employers and job-seekers for the purpose of creating ermployment relationships. In Austria, the provision of this function is in principle reserved to the local branches (Geschäftsstellen) within the Employment Service, which are governed by the principles that they must be impartial and must provide the service free of charge. In particular, there is no obligation on employers to recruit employees exclusively through the Service.
For some years now it has also been possible for commercial agencies to carry on job placement as a business, provided they are licensed to do so. It is classed as a licensed trade (gebundenes Gewerbe), i.e. one of the trades for which licences are required and issued only to persons able to furnish proof of their competence. However, this private form of job placement is strictly regulated by law: only the potential employer may be charged a fee; only jobs for which information can be provided on specific requirements may be handled; and such agencies may employ only properly qualified staff. In addition, these private agencies are required to notify the Federal Welfare and Disabled Persons Agency at regular intervals of the placements they have arranged.
Before the introduction of this general licensing procedure, a restricted form of private job placement was already allowed for concert performers, performing artistes, stage actors, film actors and musicians. Also, charities and the Economic Chambers and Chambers of Labour were, and still are, permitted to operate placement services for their members.