Chambers of Labour under renewed discussion

As Austria's Chamber of Labour held elections in spring 2000, a new debate about their finances and possible reforms was initiated by the populist Freedom Party, which forms part of the new coalition government. The Chambers' leadership now fears that their organisational rights might come under severe pressure at a time of substantive reform in the country's economic and social system.

In the Austrian "social partnership" system, the Federal Chamber of Labour (Bundesarbeitskammer, BAK) and its regional organisations in the nine federal states (Länder), the Chambers of Labour (Arbeiterkammern, AK s) represent labour – along with the Austrian Trade Union Federation (Österreichischer Gewerkschaftsbund, ÖGB).

Organisation, membership and finances

BAK is the umbrella organisation of the regional Chambers of Labour, performing general representative functions, while the regional Chambers are responsible for most service functions (see below). BAK is entitled to advise state authorities on all matters affecting employees' interests and serves as a "think-tank" for ÖGB, while the latter enjoys a de facto monopoly of representation in collective bargaining. BAK and ÖGB represent the interests of employees in a cooperative manner, and their complementary relationship is manifested in the fact that the organisational structure of the Chambers is regional, whereas ÖGB's is primarily sectoral.

In spring 2000, elections are to be held to the Chambers' general assemblies at both the federal level (Hauptversammlung) and the regional level (Vollversammlungen), according to the Chambers' statute. Following an amendment of the law regulating Chamber of Labour procedures (Arbeiterkammergesetz) in 1998, several changes will come into effect in this election. The amendment simplifies the election procedure by allowing a longer period for elections, voting in companies and postal voting. On the employers' side, similar elections are also being held in the Chamber of the Economy (Wirtschaftskammer Österreichs, WKÖ), which started in March (AT0004217N). Representatives of both sets of Chambers are elected every five years.

In the Chamber of Labour elections, the competing factions maintain close ties with the political parties in parliament. The leadership and administration of BAK and the AKs are traditionally dominated by the faction affiliated to the Social Democratic Party (Sozialdemokratische Partei Österreichs, SPÖ), which has formed a highly influential group in the Chambers. However, the Chambers in the western Länder, Vorarlberg and Tirol, are dominated by the Österreichischer Arbeiter- und Angestelltenbund (ÖAAB), the affiliate of the conservative Volkspartei (ÖVP).

Unlike ÖGB, the Chambers of Labour were established by law and membership is also specified by law, being obligatory for all employees, apprentices, persons occupied with childcare and unemployed people. However, several distinct groups of employees are exempted from AK membership, such as "leading employees" (eg managers or members of company boards) or certain professions practised on a self-employment basis (eg lawyers and pharmacists), with the latter being represented by specific Chambers. Furthermore, employees of various institutions and administrative bodies in the public sector are also exempted from AK membership.

In general, the AK represents about 87% of all 3.1 million employed persons in Austria - see the table below. As indicated by the table, the largest regional AK is that in Vienna, with some 700,000 members and a budget of more than ATS 1 billion. It can be seen as the most influential Chamber, and its president is traditionally also the elected president of BAK. In order to finance their expenditure, all regional Chambers are authorised to levy contributions (Kammerumlage) from their members, though unemployed persons and those in training are exempted. The amount of contributions is determined by the general meeting (Hauptversammlung) of the BAK, and may vary up to 0.5% of gross pay, with a fixed maximum ceiling. Thus the level of contribution payments is limited and an individual member need pay no more than about ATS 130 per month, while the average monthly contribution is currently ATS 60 . As shown by the budget figures in the table below, about 90% of the total expenditures of all Chambers together are covered by the Kammerumlage. Except the Burgenland AK, where revenues from the Kammerumlage cover 83.5% of the total budget, members' contributions account for more than 90% of the budget in all other individual Chambers. Other income comes from interest payments and various other sources. At total of 2,600 people are employed by the AKs.