Austria's urge to reform: Denmark as a model for change!

Austria's urge to reform: Denmark as a model for change!

Österreich - The Industrial Association (IV) demands determined action for structural reforms in Austria after 100 days in the Federal Government's office. IV President Georg Knill emphasizes that Austria does not have to copy the Danish path, but urgently can learn from the reform approaches in the Scandinavian country. Denmark is considered a model in the implementation of reforms that are realized in a partnership -based model between the government and social partners. Denmark currently has a state debt rate of 28%, while Austria has more than 80%. A look at the Austrian administrative structure shows that Austria has over 2,000 municipalities and 94 districts, which leads to unclear responsibilities.

Knill expresses the need for more efficient administration and criticizes the slow evaluation of the existing structural reforms. Christoph Neumayer, General Secretary of the IV, emphasizes that Denmark has reduced the number of its communities to 98 and which of the regions to five, while Austria adheres to its complex structure. IV therefore calls for a rigorous efficiency test and a digitization offensive in the administration to increase performance.

pension system reform

A central point in the claims of IV is the reform of the pension system. The IV President is in favor of a retirement age of 70 years, while Denmark is already planning to increase up to 2040. The retirement age in Denmark is currently 67 years. The advantages of the Danish system are in a three-pillar model, while Austrian care is almost exclusively subject to affiliation. Denmark spends 9.3% of his GDP for pensions, in Austria it is significantly higher 13.3%.

A study by Ecoaustria on guest houses in Europe shows that Austria's pension expenses are above the EU average and will continue to increase. Without far -reaching reforms, not only will the average pension decrease in relation to the average wage, but also increase the risk of poverty in old age. The comparison shows that in Denmark the ratio of average pension to average wage is 61%, while it is only 56% in Austria.

strengthening the labor market opportunities

In order to increase working hours, the IV emphasizes the need for better childcare, since only 27% of children under the age of three are currently being looked after in Austria, compared to 67% in Denmark. In addition, 70% of the working mothers in Austria are part -time, while it is only 23% in Denmark. Knill appeals to the government of showing the courage to reform and adapting the best practices from Denmark to increase competitiveness and prosperity.

The IV sees a basic requirement for the implementation of far -reaching reforms in a stable majority in the National Council. The pressure on the government increases because the current challenges in administration and pension system require quick action to lay the basis for sustainable economic development.