Employer of Record in Austria

EOR in Austria: hire employees without your own local entity

Build your Austrian team with an Employer of Record arrangement suited to the role and local requirements. TXM Solutions coordinates the available employment route, contracts, payroll and HR administration while you direct your team’s daily work.

Discuss your Austria hiring plan →
The short answer

What is an Employer of Record in Austria?

An Employer of Record in Austria is an arrangement in which an appropriate employing organisation becomes the employee’s legal employer while the client company directs their day-to-day work. The agreed service can cover employment documentation, payroll, tax deductions, social insurance and employee administration.

For a suitable hire, this can allow a foreign company to employ someone in Austria without establishing its own Austrian subsidiary. The arrangement must be assessed against Austrian employment and employee-leasing rules before onboarding.

An EOR does not automatically remove the client’s workplace responsibilities or resolve corporate tax and business licensing questions.

Explore our UAE Employer of Record services for your wider hiring plans.

Plan your first hire

When can an Austria EOR arrangement help?

  • Making your first Austrian hire before committing to a subsidiary.
  • Employing a professional who already lives and has permission to work in Austria.
  • Building a small sales, technology or customer support team.
  • Retaining an employee moving to Austria, subject to employment and immigration review.
  • Testing local business opportunities with a suitable employment structure.

If your company already has an Austrian employing entity, payroll or HR support may be more suitable. TXM Solutions can help you assess which route to explore.

Local employment support

What TXM Solutions’ Austria EOR support can cover

Local employment review

Review the job duties, employee’s work location, applicable collective agreements, salary classification and suitable employing structure.

Contracts and onboarding

Coordinate employment documentation through the confirmed legal employer, including remuneration, working hours, leave, work location and relevant contract terms.

Payroll in EUR

Coordinate payroll calculations, payslips, applicable wage tax withholding and payroll reporting under the agreed scope.

Social insurance and employer costs

Account for employee registration, employer contributions, employee deductions and applicable payroll levies through the local employer.

Leave and employee benefits

Administer applicable annual leave, public holidays, sickness-related entitlements and contractual benefits. Include holiday and Christmas payments where required.

Ongoing HR administration

Coordinate salary changes, employee questions, leave records and locally reviewed offboarding. The precise scope is confirmed before the engagement begins.

A practical hiring route

How to hire employees in Austria through an EOR

1. Share your hiring requirements

Tell us the job title, duties, Austrian work location, proposed gross salary in EUR, working hours, nationality, work rights and target start date.

2. Review the employment route

Assess the legal employer, employee-leasing requirements, collective agreement coverage, pay classification and work authorisation.

3. Approve the employment budget

Review an itemised estimate covering salary, applicable extra salary payments, employer contributions, benefits and the EOR service fee.

4. Complete onboarding

Once the route and documents are confirmed, the legal employer coordinates employment documentation and required registrations. Your team then manages the employee’s daily duties and objectives.

Austrian employment requirements

What should employers check before hiring in Austria?

Collective agreements and minimum salary

Austria does not have one universal statutory minimum wage covering all roles. Minimum remuneration is generally determined by the relevant collective agreement. Job duties, classification and recognised experience can affect the required pay.

For employee-leasing arrangements, rules connected to the receiving business may also affect remuneration and working time. Review the actual arrangement rather than relying only on the client company’s industry.

Working hours and overtime

Normal working time is generally eight hours per day and 40 hours per week. Collective agreements can provide shorter weekly hours, often 38.5 hours. Overtime, working-time limits, rest periods and recording obligations must be checked for the role.

Paid annual leave

Employees generally receive five weeks of paid annual leave each leave year. This equals 25 working days for someone working five days a week. Entitlement can increase to six weeks after the required recognised service. Part-time employees retain the entitlement measured in weeks, with days calculated from their work pattern.

13th and 14th salary payments

Holiday and Christmas payments are common in Austria and are often described as the 13th and 14th salaries. The entitlement, amount and payment dates depend on the applicable collective agreement or employment contract. They are not a universal statutory entitlement for every private-sector employee.

Social insurance and payroll deductions

The employer must register the employee with the relevant social insurance institution before work begins. Payroll administration includes applicable wage tax withholding, employee deductions and employer contributions. The budget should also account for relevant payroll levies and employee provision fund obligations.

Work rights and immigration

EU, EEA and Swiss citizens generally have free access to the Austrian labour market, although residence registration obligations may apply. Other nationals need an appropriate right to work. A Red-White-Red Card or another route may be relevant depending on the person and role.

An EOR agreement itself does not grant immigration permission. Confirm whether the proposed employing arrangement is compatible with the required immigration route before agreeing a start date.

Termination and offboarding

Review statutory rules, collective agreement terms, contract provisions and any special protections before ending employment. Notice, final salary, unused leave and employee provision fund requirements depend on the individual case.

Confirm the employing structure

Is EOR in Austria legal?

EOR arrangements can operate within Austria’s legal framework, but the actual structure matters. Where the arrangement constitutes employee leasing, Austrian employee-leasing legislation and relevant trade authorisation requirements must be met.

Before proceeding, confirm the employing organisation, applicable authorisation, contract structure and division of responsibilities. Cross-border arrangements may have additional requirements. TXM Solutions reviews the available route for the proposed hire before confirming onboarding.

Choose a suitable structure

EOR in Austria vs setting up your own entity

Decision factorEOR arrangementYour Austrian employing entity
Legal employerConfirmed employing organisationYour entity
Your own Austrian subsidiaryGenerally unnecessary for a suitable EOR hire Entity establishment required if choosing a subsidiary
Payroll and HRCoordinated through the agreed serviceManaged by your team and chosen providers
Typical useFirst hire, small team or market assessmentBroader, sustained local operations
Cost structureEmployment costs plus EOR fees Entity setup and administration plus employment costs
Day-to-day directionYour companyYour company

An EOR arrangement does not automatically eliminate permanent establishment exposure, corporate tax obligations or business licensing requirements arising from your activities.

Plan the complete budget

How much does an EOR in Austria cost?

The EOR fee is only one part of the hiring budget. A complete estimate should cover:

  • Gross salary in EUR.
  • Applicable holiday and Christmas payments.
  • Employer social insurance contributions and payroll levies.
  • Employee provision fund contributions where applicable.
  • Agreed benefits, allowances and work equipment arrangements.
  • EOR service fees and any clearly identified onboarding or offboarding charges.

The total depends on the salary, work location, role, collective agreement and employment terms. TXM Solutions can prepare a tailored estimate after reviewing your requirements and confirming the available employing route.

Request an itemised quote →

What to include in your enquiry

  • Austrian city and work location
  • Role, industry and day-to-day duties
  • Headcount and gross salary in EUR
  • Working hours and preferred benefits
  • Nationality and current right-to-work status
  • Target start date and expected duration
One point of contact

Why discuss Austria EOR hiring with TXM Solutions?

International hiring starts with understanding the role and choosing an appropriate structure. TXM Solutions gives your business one point of contact to discuss Austrian employment requirements, coordinate the available route and prepare a role-specific hiring estimate.

You receive a clear view of the next steps, the proposed legal employer and the agreed service scope before onboarding moves ahead.

Frequently asked questions

EOR in Austria FAQs

Can a foreign company hire in Austria without opening a local entity?

A suitable EOR arrangement can allow a confirmed employing organisation to hire the employee while the foreign company directs daily work. Eligibility depends on the activities, work location, employing structure and applicable Austrian rules.

Who is the employee’s legal employer?

The employing organisation named in the employment documentation is the legal employer. Its identity and responsibilities should be confirmed before onboarding.

Does an Austria EOR handle payroll and taxes?

The agreed scope can include payroll in EUR, payslips, wage tax withholding, social insurance administration and applicable reporting. Check the service agreement for the precise responsibilities.

Are 13th and 14th salaries mandatory in Austria?

They are commonly required by collective agreements or employment contracts. They are not a universal statutory entitlement for every private-sector employee. Check the applicable terms when calculating annual employment costs.

How long does EOR onboarding take in Austria?

Timing depends on the employment structure, collective agreement review, documents, payroll cut-off and work authorisation. TXM Solutions confirms an achievable start date after reviewing those factors.

Can an EOR arrange an Austrian work permit?

Immigration support and eligibility require a separate assessment. Do not assume that every EOR arrangement can support every permit category. The person, role and employing organisation must qualify for the applicable route.

Can I hire a remote employee based in Austria?

Potentially, subject to the employment structure and work rights. Review the telework agreement, equipment arrangements, working hours, workplace responsibilities and any cross-border tax or social insurance implications.

Is an EOR the same as a payroll provider?

No. A payroll provider administers payroll for an existing employer. Under an EOR arrangement, the confirmed employing organisation enters the employment relationship. Service descriptions and responsibilities should be checked carefully.

Can I use a contractor agreement instead?

Only where the working relationship genuinely qualifies as independent contracting. The actual duties, control and working arrangements determine the classification; the contract label alone does not.

Employment information reviewed October 2026. Requirements depend on the role, employing structure and individual circumstances.

Build your Austrian team

Tell us who you need to hire

Send TXM Solutions your Austrian work location, role, salary and target start date. We will review the available EOR route and prepare a tailored hiring proposal.

Discuss Austria EOR hiring →