7. Terms and Conditions of Employment - Arbeitsmarktservice ...

Living & Working in Austria 2006
and pension insurance are possible; any person receiving remuneration below the aforesaid
limit have to apply themselves at the competent regional health insurance fund.
More details are available at:
http://wien.arbeiterkammer.at/www-397-IP-841-AD-839.html
7.3.3 Contract for Work and Labour
Pursuant to the Austrian General Civil Code (Allgemeines Bürgerliches Gesetzbuch
(ABGB)), in a contract for work and labour (Werkvertrag), a contractor undertakes to carry
out a particular service or work and the customer promises to pay for the service or work. In
contrast to the employment contract, in the contract for work and labour the result of the
services rendered is decisive. The contractor is responsible for successfully performing the
services (i.e. the specified service) or achieving a specific result.
New self-employed persons (so called “new freelancers”) perform any type of commercial
services not requiring a business license (Gewerbeschein).
Basically the major characteristics of the “new” free-lancers and contractors performing a
contract for work and labour who have a business license are practically the same. These
include:
• personal and economic independence from the customer
• no obligation to perform the work or service personally (sub-contracting is allowed)
• a contractor is not subject to instructions from the customer when executing the
contract
• the contractor has appropriate means available (an office, working materials etc.)
The contract for work and labour is deemed fulfilled with the performance of the contractual
services. The completion of the agreed services and/or achievement of the result are
deemed as automatic satisfaction of the obligation.
New self-employed persons are required to report their activities to the Social Security
Institution for Trade and Industry (Sozialversicherung der Gewerblichen Wirtschaft, SVA) if:
• yearly earnings exceed € 6,453.36
• they have additionally concluded another employment contract or contract for work
and labour and the gross annual income exceeds the amount of € 3,997.92 in the
year 2006.
New self-employed persons/freelancers enjoy health, pension and accident insurance.
More details are available at:
http://wien.arbeiterkammer.at/www-397-IP-842-AD-839.html (Contract for Work and Labour)
General Employment Terms & Conditions Information:
http://www.arbeiterkammer.at
http://www.oegb.at
http://www.sozialversicherung.at
http://www.help.gv.at/Content.Node/88/Seite.880003.html (independent employed
contractors)
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