Harald Mahrer resigns "soon" as OeNB President

He will still initiate the process for an orderly handover, but the resignation will occur "sooner rather than later," Mahrer said to journalists on Monday. Mahrer will remain the President of the Chamber of Commerce and head of the ÖVP sub-organization Wirtschaftsbund. In the chamber, he now plans to restructure the salary increases for employees and have the Court of Audit review the compensation of officials.

His departure from the OeNB is not about the salary, even though the accumulation of salaries was heavily criticized, but rather about focusing on his role in the WKÖ, where his attention "is most urgently needed." He wants to "do things properly" and be a strong voice for the economy. Mahrer faced heavy criticism because, in addition to his salaries as President of the Austrian Chamber of Commerce (15,158 euros/month) and head of the Wirtschaftsbund (6,000 euros/month), he also received an expense allowance as OeNB President (7,330 euros/month). In his first term in this position, he had waived this allowance.

Chamber Levy May Be Reduced Later

In response to questions about reducing the chamber levy, Mahrer pointed to a reduction of 30 million euros starting in 2024. It is not ruled out "that we will take such a step again," but the previous reform is still being processed. The repeatedly criticized reserves in the billions are partially earmarked, "this is not money that can just be spent freely."

Mahrer had invited the presidents of the nine regional chambers to a crisis meeting on Sunday afternoon, at his request, as Mahrer emphasized. There, he asked who expressed confidence in him and "went through the list, and people said yes," he described the decision-making process. However, the attendees demanded certain reforms.

Salaries, Functional Allowances, Services, and Structures Under Review

Specifically, in collaboration with employee representatives, the system for increasing employee salaries is to be revised "to ensure a realistic representation" of the situation in member companies. The goal is to apply the new calculation for the 2027 salary increase as early as next year. The currently used formula, which led to a 4.2 percent increase this year while many companies agreed on salary increases below inflation, has proven to be "not crisis-resistant."

Secondly, the Court of Audit, which has already announced an audit of the WKÖ, is to specifically examine the structure of official compensations. Increases of up to 60 percent this year caused discontent, with the chamber citing a "structural adjustment" as the trigger for the increases.

Finally, the chamber wants to "put structures and services to the test with external guidance." How the process should run is still open. With this, the chamber wants to show that it does not shy away from comparisons and seeks ways to become "better, closer to members, and more effective." He himself wants to remain "loud" and "uncomfortable" as the president of the WKÖ.

Mahrer Gives Up Job and Refers to "Error Culture in Business"

(By Philip Stotter/APA)

Whenever there was an economic policy job to be filled in Austria, the ÖVP always liked to rely on Harald Mahrer. The president of the Chamber of Commerce, who always emphasizes that he "comes from the business world," is now giving up a top job. After the former PR entrepreneur was unable to avert a PR disaster in the WKÖ over the past week, he is resigning from his position as president of the National Bank. He referred to an "error culture in business."

The timing for the departure from the National Bank is ideal anyway, Mahrer pointed out the new personnel in the National Bank (OeNB) when he explained himself to the press on Monday. He did not mention any pressure from his own ranks, which is said to exist.

Recently, Mahrer had just appointed the former moderator, ÖVP municipal politician, and turquoise event whip Peter L. Eppinger as a "real communications professional" to the position of creative director in the Chamber of Commerce's strategy department. But last week, the communication regarding the salary increase in the chamber, his own earnings in the chamber, and in the National Bank went off the rails communication-wise.

Mahrer will now really have to do a lot to regain trust in "his" and within "his" chamber. But observers note that it was never as much "his" chamber as it was that of his predecessor Christoph Leitl. Leitl was always considered one of their own by entrepreneurs, as he ran a medium-sized company himself. Mahrer repeatedly and especially now encounters skepticism within parts of the business community. Criticism of Mahrer also came over the weekend from party friends as well as state chamber presidents.

Mahrer Refers to Error Culture in Business

"In our business world, there is something that is very pronounced. It is called error culture," said the former Minister of Economy and president of the ÖVP Economic Association on Monday. "Responsible action begins with oneself." Therefore, processes in the chamber will be put to the test, and he himself will fully concentrate on "ensuring that the economy in this country has the highest priority." In the National Bank, he ensures "an orderly handover."

He himself has become "uncomfortable," but anyone who believes he will now be quieter is mistaken: He, Mahrer, will "continue to point out what is going wrong."

Mahrer's Party Career

Mahrer started his career after studying business administration in a political field, namely as chairman of the student union at the Vienna University of Economics and Business. Subsequently, the Vienna native, born on March 27, 1973, dedicated himself primarily to the consulting and PR industry. He founded the legend Consulting GmbH and led the Austrian communications consultancy Pleon Publico for several years.

Mahrer made the leap into top politics in September 2014 as State Secretary in the Federal Ministry of Education, Science and Research. With the resignation of Reinhold Mitterlehner (ÖVP) in May 2017, he rose to become Minister of Economy and Science for a little more than half a year.

Mahrer is considered economically and socially liberal and is described by supporters as ambitious. Critics, on the other hand, accuse him of producing too many "hot air" and "headlines."

In December 2017, Mahrer was elected as the only successor candidate to Christoph Leitl as President of the Austrian Economic Association with 95.21 percent of the votes. In the following year, 2018, Leitl also resigned from his position as President of the WKÖ, and Mahrer took over.

(APA/Red)

This article has been automatically translated, read the original article here.