New Rules for Freelance Contractors on the Way

This aims to make freelance contracts and the circumvention of labor law provisions less attractive.

"The repeatedly publicly known cases have highlighted the urgent need for action and underscored the necessity of minimum standards in working conditions, remuneration, and rights," writes the ministry. By allowing employee-like freelance workers to be included in the collective agreements, such minimum standards could be established for them in the future. The announcement by the food delivery service Lieferando to dismiss its employed staff and switch to freelance contracts recently caused a stir regarding the working conditions of freelance workers.

Four-week notice period planned

Under the new regulations, a notice period of four weeks will apply to freelance workers from 2026, increasing to six weeks from the second year of service. In the first month of employment, a probationary period can be agreed upon, during which the employment relationship can be terminated by either party at any time. "These provisions cannot be waived or restricted by the freelance contract," according to the ministry. However, more favorable regulations for the worker are permissible. Termination of the employment relationship is possible by both parties on the 15th of a month as well as at the end of the month.

"For the first time, employee-like freelance workers can be included in collective agreements. From January 1, 2026, freelance workers will have better working conditions, regulated minimum wages, and a safety net through clear notice periods," said Labor Minister Korinna Schumann (SPÖ) according to the release.

AK sees "important step"

The rules apply to service contracts concluded from January 1, 2026. The new rules have no impact on existing service contracts with existing contractual termination rules. Chamber of Labor President Renate Anderl sees the new rules as an "important step towards fairer working conditions." SPÖ federal manager Klaus Seltenheim and SPÖ labor spokesperson Josef Muchitsch also welcomed Schumann's plans on Monday. However, "it depends on the concrete implementation," noted Markus Petritsch, chairman of the road sector in the vida union.

(APA/Red)

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