Business location Austria
Austria is internationally renowned as a popular tourist destination, as well as for its classical music, Sisi (Empress Elisabeth), Sacher cake and several other stereotypes. However, in addition to its being a modern industrial nation with a dynamic foreign trade, it is also one of Europe’s most innovative countries. In relation to its population, Austria’s performance of 261 patent applications per million inhabitants is considerably above the EU average of 139. Moreover, Austria has one of the highest densities of hidden champions.
Advantages of working for Austrian companies
Numerous local and international companies and organisations, a strong export industry, more than 400 market leaders and an innovative research landscape offer the best career opportunities to talented international employees.
In addition to providing good salaries, which are generally paid fourteen times annually in Austria, many Austrian companies offer additional benefits:
- Ongoing further education and professional development opportunities
- In-house career centre
- Company kindergarten
- Occupational physicians and psychologists
- Staff canteens
- Works councils
- Favourable rates for club memberships and public transportation
- Sporting activities or even in-house sports facilities
- Relaxation rooms
Why there are so many innovative companies in Austria
There are good reasons why the business location Austria has a disproportionately high share of innovative companies in relation to its total land area and population. These include:
The fourteen percent research tax credit
At the beginning of 2018, the research tax credit, which had already been well established for many years as a funding tool for research-intensive innovative companies, was once again raised to fourteen percent. According to a survey, about three-quarters of all companies conducting research, also international companies in Austria, take advantage of the research tax credit. The same study concludes that this incentive leads to investments in the necessary infrastructure, promotes firms taking greater technological risks and accelerates project implementation. Above all, internationally operating and research-intensive firms consider the research tax credit to be a relevant factor in their business location decisions. The research tax credit gives business location Austria a major competitive advantage.
Business funding in Austria
Austria offers companies a broad-based funding programme, encompassing funding for small and medium-sized enterprises, research and development and start-ups as well as investment and technology funding. The services range from cash grants and interest subsidies to assuming guarantees. This extraordinarily extensive offering enables companies to benefit from funding programmes tailored to their specific requirements.
Central geographical location
Due to its central geographical location, companies in Austria are optimally networked and particularly well connected. This makes the country a lively business interface between East and West. 377 international companies have set up their European head office or production headquarters in Austria.
Austria is not only located in the heart of the new Europe from a geographical perspective. It also holds a central position thanks to its infrastructure. Austria serves as a distribution centre and logistics interface between West and East.
In addition to providing optimal transport and traffic connections via roads, railways, the Danube and with regard to air traffic, Austria has also significantly expanded its access to the data highway in recent years. In an EU comparison, business location Austria invests large amounts in expanding its telecommunications infrastructure, offering companies high-performance, state-of-the-art networks.
Austria ranks among the richest countries in the European Union. Its economic policies not only serve as the basis for a market boasting high purchasing power but the corresponding consumer infrastructure. For international companies in Austria, the country is a lucrative market in spite of its relatively small size and population.
According to Eurostat, the European Statistical Office, Austria’s economic output is 27 percent higher than the EU average. Austria’s GDP per capita is the fourth highest in the EU, behind Luxembourg, Ireland and the Netherlands.
Security and stability
Austria provides an outstanding environment for both foreign and domestic companies. Social services such as minimum benefits as well as the social insurance and state pension systems contribute to a very high level of social security.
Very good foreign language skills
About 20 percent of the Austrian population has a migration background. For this reason, a large share of employees boasts foreign language skills, especially Eastern European languages. This is a key reason why Austria is the number one business location when it comes to building up business ties to South East and Eastern Europe.
The historically related cultural and linguistic diversity of the country comprises a major strength in the international exchange of material goods, know-how and experience.
An excellent educational system
Austria’s dual education system combining theoretical instruction and practical training is applied both in terms of apprenticeship occupations as well as higher vocational schools. Curricula in schools or educational priorities are adapted to the needs of the business community. Apprentices are given specialised training in firms or take part in internships.
Highest quality of life
The high quality of life in Austria is reflected in the low crime rate, the high level of social security and an attractive business location. In 2019, Austria was rated second in the entire world with respect to its quality of life (IMD WCY). Moreover, according to the latest “Quality of Living Survey 2019” compiled by the Mercer Group, Vienna offers the best quality of life of any city across the globe for the tenth straight year and is thus the world’s most liveable city.
Download info brochure
Concise information about living and working in Austria and the services of ABA - Work in Austria can be found in our info brochure for skilled workers.