Working Abroad Career Guide: Austria

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Country Profile
Under Hapsburg rule, Austria was the central power of the large Austro-Hungarian Empire, but following its defeat in the first World War, the country was reduced to a small republic. After annexation by Nazi Germany in 1938 and subsequent occupation by the victorious Allies, Austria's 1955 State Treaty declared the country "permanently neutral" as a condition of Soviet military withdrawal. One of the world's richest countries, Austria is well-known for its winter playgrounds, stunning architecture, classical music and Sigmund Freud. The country supports industries in steel and iron, tourism, dairy products, textiles, and some agricultural crops (corn, wheat, fruit). The Republic of Austria joined the European Union in 1995 and the euro monetary system in 1999.

Although Austria has only about eight million people, the population is concentrated in the eastern lowlands because of the steep slopes, poor soils, and low temperatures to the west and south. Ethnically, the Austrian population is very homogenous; only about three percent of the country's inhabitants are of non-Germanic ethnicity
(about two percent Slovene and Croat and one percent Turkish).

Austria has a well-developed social market economy with a high standard of living in which the government has played an important role. Many of the country's largest firms were nationalized in the early post-war period to protect them from Soviet takeover as war reparations. For many years, the government and its state-owned industries conglomerate played a very important role in the Austrian economy. However, starting in the early 1990s, the group was broken apart, state-owned firms started to operate largely as private businesses, and a great number of these firms were wholly or partially privatized.

Professional Resources
There are a number of professional organizations, websites and other resources available to the newcomer to Austria. Job-seekers should log on to CallNow.com, a global telecommunications company that provides an online telephone directory through Teldir.com. Teldir.com offers directory information for over 170 countries worldwide. The Austrian Yellow Pages, called Herold Gelbe Seiten, provides names, addresses, phone numbers, fax numbers, and industry sectors for 285,000 Austrian firms.

Major trade publications include Das Osterreichische Industriemagazin (Austrian Industry Magazine), a German language magazine covering various subjects related to the industrial sector. Some of these include management, technological and economic developments, resources, and company information. Job-seekers can also check out Die Wirtschaft (The Economy), a monthly German language publication aimed at industrial and company managers and financial institutions. The magazine covers topics about the overall financial and economic environment, major business activities, and industry resources and services.

Various networking associations are available to women job-seekers in Austria, including the International Women's Association of Graz, which has members representing more then 15 nationalities.

Job Resources
Unlike many other industrialized European nations, Austria's job market is still rather traditional. Although there is an obvious trend toward using Internet employment services, online job sites are not universally popular among Austrian employers and job-seekers. The two main sources of job advertisements and announcements in Austria are newspapers and the state-sponsored employment agency, Arbeitsmarktservice (AMS), which translates to Labor Market Service.

Many employers also publish job openings on the internet, listing them on company homepages. Due to Austria's lack of native specialized labor and high export rates, it is not unusual for Austrian firms to recruit employees from foreign countries. Candidates do not necessarily have to be residents of Austria or work in an international industry to qualify.

While online job and career research websites still play a minor role in the employment market, they continue to grow and will soon be serious competition for the AMS. Compared to the size of the country, the number of job websites is quite high, and most employers publish their advertisements on only a fraction of these web pages.

Austrian newspapers are great resources for job-seekers. Der Standard is Austria's leading liberal newspaper, and all of its articles are available online. It contains advertisements for most of the top jobs in Austria, which are usually included in the Friday issue. Each print issue also contains a Karriere (career) section, which offers practical advice on employment in the Austrian and international job markets.

Financial Considerations
The Austrian cost of living is slightly higher than the European and North American averages, but it is still less expensive than the neighboring countries of Switzerland's and Great Britain's. Rural regions offer cheaper rent and food than urban centers, but transportation is more expensive.

In Austrian cities and urban areas, rental rates are highly dependent on the quality of the neighborhood and the furnishing of the apartment. The rental rates in rural areas are mainly influenced by the year the building was built and by the type of facility that is being rented, either an apartment or a house. Apartments are priced by the square meter. Typical prices in one of the better neighborhoods in Vienna, Austria's capital, are 60 to 120 ATS ($4.00 to $8.00 USD) per square meter. An unfurnished one-bedroom apartment in a central Vienna district, with an equipped kitchen and bathroom, would cost between 10,000 and 15,000 ATS ($650-$975 USD) per month.

In general, only persons employed in Austria are covered by public health insurance. Persons receiving a pension from the Austrian Social Security Administration and who are residing in Austria are also covered by public health insurance. After establishing residence in Austria, a small portion of the pension is withheld for this purpose. Special regulations apply to self-employed persons. Persons not covered by health insurance can obtain coverage from private health insurance companies in Austria.

Employment Trends
Despite the general economic slowdown in Europe, Austria is still anticipating continued expansion of its own economy. Experts at the Institut für Wirtschaftsforschung (WIFO-the Institute for Economical Research) predict that Austrian economic growth will hit 2.2 percent in the year 2001 and 2.1 percent in 2002. Austria is currently enjoying the largest reduction in its unemployment rate since the 1950s; according to the Ministry of Commerce and Labor, the current unemployment rate is 3.3 percent. The country's growth is mainly due to the expansion of the service industries.

Because of the magnificent landscape and a large offering of cultural activities (such as the famous Wiener Opernball) tourism has become one of Austria's primary industries. From mid-December to late March, winter sports are in full swing, peaking during Christmas, New Year and February. While there has been a slight decrease in tourism recently, the industry is expected grow by five percent in the next few years.

Resume/CV's
The job application in Austria is similar to those in other European countries, and basically consists of the cover letter, the curriculum vitae, diploma and references.

The cover letter should be short (one page preferred), informative, and well written in English or in correct German. It should name the position, the source of information about the job, and qualifications for it-without simply repeating what is in the CV. The letter should end with a request for an interview.

The resume may be one or two pages, depending on experience, and should include:
• Contact information: name, address, phone, fax, e-mail
• Personal data: date and place of birth, parents names and
occupations, marital status and number of children
• The desired position
• Education: starting with elementary school, and giving location,
and dates of attendance, degrees, and specialized training
• Employment history (title, responsibilities, dates of employment)
• Other skills, such as languages spoken, and computer knowledge
• Personal interests and hobbies
• Passport photo in upper right hand corner

Proof of employment from all previous employers should be enclosed with the CV, as well as a copy of your highest diploma and a list of references.

Information Technology
While it is not readily apparent, Austria is Europe's fastest growing mobile phone market. Although the country is most often recognized as the home of the Alps and Mozart, the IT and telecommunications industries are growing so quickly that there is currently a labor shortage. Austria's universities are not able to satisfy the country's need for IT experts, which has forced the Austrian government to start a campaign to recruit foreign specialists.

Due to the pressing need for IT experts, it is not necessary to complete a course of study at a university to obtain work. The completion of a degree program is an advantage, but an employer's primary requirement is practical experience. Most major universities offer a Computer Science program, which is a major requirement for leading jobs in the IT industry. Foreign degrees are usually accepted without any objections. An alternative to pursuing a Computer Science degree is to work in the IT industry, gaining experience and skills through continued training. Gulp is an Internet portal focussing on the IT industry

Interviewing Advice
While a job interview in Austria is much the same as in the other countries of Europe, one difference is the emphasis on business titles. They are so important that the use of an incorrect title may mean the end of an interview in some of the more traditional firms. You should know the professional titles of your interviewers, and use them upon introduction and in later conversation. Newer companies are often less formal.

Dress for an interview in Austria is formal also-conservative suits for the men, and tailored suits or dresses, and expensive accessories for the women. Punctuality is important, so arrive on time.

Although German is the official language of Austria, English is common in some sectors of business and the government. Fluency in German is a great asset, and Austrians do appreciate even limited use of German by foreigners.

Typically, an interview will begin with a handshake, and then with introductions of everyone in the group, including the secretary. There is little small talk before getting down to business. During an interview, answers to questions should be direct, precise, to the point, and courteous. Salaries are usually discussed at a later stage.

Engineering
Austrian engineers are trained in mechanical engineering, electronic engineering, civil engineering, chemistry and biology, and agrarian engineering. Mechanical engineering is an important sector of the Austrian engineering industry, and the Austrian government heavily supports mechanical engineering initiatives. Because some of the leading car producers operate out of Austria, the primary emphasis is on engine production. There is a growing need for skilled and experienced engineers, leading to an increased demand for foreign experts. Most of the engineers in Austria are employed by foreign companies or by companies with a foreign affiliation.

Engineering degrees may be obtained from Fachhochschulen (FH), a state financed school, or technical university. A high school diploma, or the equivalent, is necessary to attend a university or FH. To be a state certified engineer, it is necessary to complete a course of study in engineering and have three years of experience in the field. Only Austrian citizens can receive this certification. Due to Austria's membership in the EU, foreign engineering degrees are accepted as equal to Austrian engineering degrees. At the moment, there are efforts to promote the use of the title Eur Ing (European Engineer) in order to standardize the certifications and eliminate the differences in requirements between European countries. The VOI trade association has useful information on its website

Work Permits
There are no work restrictions in Austria for citizens of the European Union (EU), Switzerland, or Lichtenstein. For non-EU citizens, the laws are rather strict. In Austria, residence and employment legislation and requirements are regulated separately.

A Visa (type D) is needed to live in Austria for three to six months. The Visa may be extended at the end of the six months. The Visa application must be filed before employment begins, preferably at an Austrian Embassy or General Consulate before arrival in Austria.

There are three kinds of work permits in Austria: a restricted work permit (RWP), a general work permit (GWP), and an unrestricted work permit (UWP). The RWP is valid for one year and is applied for by the employer. It permits an employee to work for a single company in a specific position. There are several restrictions to the RWP. First, a visa is needed. Second, a foreign employee may only hold the position if there is no Austrian citizen willing and able to perform the work. Lastly, the quota of foreign employees to Austrian employees must not exceed a certain ratio. This ratio is set by the government (currently 8% in most industries). For key positions crucial to the operation of the company there are some exemptions.

Accounting & Finance
Austria's financial services industry only has a minor impact on the international marketplace. The introduction of the euro and the globalization of the financial market have caused widespread economic insecurity throughout Europe, making it difficult to predict general industry trends in financial services and accounting. The merger of Austria's largest bank, "Bank Austria," with the German Hypo-Vereinsbank, is indicative of the sweeping changes taking place in the Austrian financial market. Leading Austrian economists predict similar mergers in many of the larger finance companies in the future. These changes create a demand for financial experts who can analyze potential market opportunities and assist in executing mergers and acquisitions.

Many Austrian firms specifically look for candidates with experience in international finance and accounting to support their expansion into the international market. To obtain a position in finance or accounting, students must complete a degree or course of study in finance. Austrian employers prefer business management and political management degrees. It is possible to begin working for a company before finishing a degree and be promoted once the degree is completed. No license or certification is required to obtain a finance or accounting position in Austria. Wirtschaftsblatt is a daily economic paper with detailed coverage on the stock market and the Austrian
economy.

Cultural Advice
Known for its fantastic skiing, flying buttresses, strudel and Wiener Schnitzel, Austria sits at the crossroads of Italy, Germany, and Switzerland, serving as Western Europe's gateway to the Eastern countries of Slovenia, Croatia and the Czech Republic. Before you make the move to Mozart's home, keep these cultural tips in mind:

• Austrians greet each other with lots of handshaking, even with children. Close friends may often kiss on the cheek when greeting and departing. Women are shown deference by men in the Austrian culture. If a woman extends her hand, an Austrian man may raise it to his mouth, but will not actually kiss it.

• Austrians appreciate good food and drink, and business lunches are quite popular with Austrians. Guests should not pick up the check, but can reciprocate with a like invitation.

• Austrians value their privacy, and it is rare for someone to be invited to their home early in a relationship. It is also impolite to drop in on a friend uninvited. If invited to an Austrian home, one should always arrive on time and shake the host's hand. Women may kiss on the check three times, alternating cheeks. Upon arrival, a small, nicely wrapped gift of flowers or candy is appreciated. If giving flowers, remember to give an odd number; an even number is considered unlucky. Also, avoid roses and carnations, which signify romance and funerals, respectively. Gifts are given to the woman, never the man.

• The host will escort a guest to his or her seat, which is usually the place of honor. A toast will be offered, to which one should reply Mahlzeit, which is a blessing. Only those closely acquainted offer to help with preparing the meal.

Sales & Marketing
The future expansion of the Austrian marketing and sales industry greatly depends upon the industrial development of Eastern Europe. With expanding market opportunities in this region, Austrian marketing and sales teams are focusing increasingly on Eastern Europe, and many firms are seeking experts with knowledge of its countries and familiarity with Russian, Czech and other languages.

Austria exports about half of its products to Italy, Germany, and Switzerland, and employers value candidates who are familiar with Italian, German and/or French. Marketing and sales candidates should have completed a degree in either business administration or political economics. Both of these courses of study are offered at Austrian FH and universities. During the course of study, students are expected to gain as much practical experience as possible, because many companies look for applicants with more training than an academic degree.Marketing and sales work does not require a special license or certification. Foreign degrees are accepted as equivalent to Austrian degrees.

Bestseller and Horizont are the two of the leading newspapers for this industry. Horizont has a website featuring a discussion forum and a job placement service.

General Business
Since Austria sustains little international influence on the global economy, there is no clear trend in general business, management and consulting. However, Eastern European markets are growing more important and many Austrian market leaders are merging with large international companies, leading economists to believe that the Austrian economy will soon undergo substantial changes. This trend is creating more job opportunities for managers and consultants with experience in mergers, acquisitions, and international business.

Generally, employers expect that business and consulting applicants will have completed a course of study in business economics or political economics, preferably with some experience in another country. While only a few have taken this path, it is not uncommon for business applicants to study social sciences with a concentration in economics, going on to become consultants. There is no certification process for managers and consultants.

Job-seekers should check out Das Industriemagazin (The IndustryMagazine), which targets managers and leading employers in the Austrian economy. It provides readers with information on current trends in management, changes in law, and developments in economic policy. The publication also provides information on technical issues, including telecommunication, logistics and automation techniques that are of importance to executive processors.

This is only a small part of the information packed in the 75+ pages of the Going Global Career Guide for Austria. About Going Global Career Guides:

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Country Career Guides Table of Contents

I. COUNTRY PROFILE

II. JOB-SEARCH RESOURCES
1.Online Job Sites
2.Government-Sponsored Employment Offices
3.Job Fairs/Career Events
4.Staffing Agencies/Temporary Help Firms
5.Newspapers that Publish Job Advertisements
6.Other Resources

III. EMPLOYMENT TRENDS AND OPPORTUNITIES

General Trends
Information Technology
1. Certification/Education Requirements
2. Organizations/Trade Associations
3. Publications
4. Other Resources
Engineering
1. Certification/Education Requirements
2. Organizations/Trade Associations
3. Publications
4. Other Resources
Accounting and Finance
1. Certification/Education Requirements
2. Organizations/Trade Associations
3. Publications
4. Other Resources
Sales and Marketing
1. Certification/Education Requirements
2. Organizations/Trade Associations
3. Publications
4. Other Resources
General Business
1. Certification/Education Requirements
2. Organizations/Trade Associations
3. Publications
4. Other Resources

IV. PROFESSIONAL ORGANIZATIONS AND RESOURCES
1.Business Organizations/Trade Councils
2.Chambers of Commerce
3.Telephone Directories
4.Publications
5.Other Resources

VI. FINANCIAL CONSIDERATIONS ( Cost of living, salaries, health insurance, taxes, vacation/leave, benefits, etc)

VII. WORK PERMITS/VISAS

VIII. JOB APPLICATION GUIDELINES
1.Cover Letter Guidelines and Sample
2.Resume/CV Guidelines and Samples

IX. INTERVIEWING ADVICE

X. CULTURAL ADVICE

XI. COUNTRY RESOURCE BOOKS