Linz (OTS) – The world of work and the economy are changing rapidly. Topics such as artificial intelligence and socio-ecological transformation are becoming increasingly important. What is essential here is, on the one hand, a well-trained workforce and, on the other hand, a well-positioned, future-proof employment service (AMS). However, instead of finally giving labor market policy an innovation boost, the labor market budget is being cut by the Minister of Labor and the Minister of Finance. With consequences for the AMS. Young people and economically disadvantaged groups in particular suffer from the lack of resources. “In my opinion, the AMS budget cuts that are being discussed are forgot about the future. We don’t support the budget planning like this
“, says AK President Andreas Stangl.
The AMS’s task is to place workers in vacancies and to support the initiative of job seekers. It thus helps to eliminate unemployment in Austria and should ensure full employment. However, the AMS’s offerings and the quality of the work of the consultants at the AMS and the trainers in the training measures and transit work companies are under acute threat. “For years, the federal government has failed to secure the labor market budget in the long term
“, says AK President Stangl.
Budget cuts instead of inflation compensation in Upper Austria
Already this year, AMS personnel resources had to be cut and important consulting services also had to be discontinued. Next year, the AMS budget is threatened by further massive cuts. There are cuts of around five million euros for Upper Austria. In addition, there is a lack of inflation adjustment of approximately the same amount. Young people would be particularly affected by the cuts. The decline in open apprenticeships, but also a lack of school knowledge, psychological problems or a lack of social skills mean that young people come into contact with the AMS at an early stage. Ideally, you will find high-quality advice and support there. However, the lack of budget resources makes the situation significantly more difficult.
However, the effects of the cuts in the AMS budget are even more far-reaching: the lack of funds generally affects the advice provided by the AMS and socio-economic companies can no longer fully meet their goal of providing temporary jobs for people who are remote from the labor market and who are unemployed for a long time place. It can also be assumed that cuts in further training allowances and restrictions on partial retirement will increase.
AK President Andreas Stangl is calling for a higher AMS budget
„The cuts being discussed are a rejection of any innovation, investment in the future and security. Despite rising unemployment and great economic uncertainty, the Minister of Labor has failed to present an effective labor market policy strategy. Together with the Finance Minister, he is responsible for ensuring that important budget and human resources are not available
“, says AK President Andreas Stangl. In order to secure the future of young people in particular in the labor market, the AK Upper Austria is calling for the AMS budget to be significantly increased and for more staff to advise people looking for employment. In order to prevent unemployment and maintain jobs even in challenging times, labor market policy instruments such as the original form of short-time work with further training programs are needed. However, a further expansion of the red-white-red card is seen as an unsuitable instrument. This would only further aggravate the already tense situation on the labor market.
You can find a detailed press release and a photo of AK President Andreas Stangl and Head of Economic, Social and Social Policy Maga Dagmar Andree, MBA here.
Questions & Contact:
Chamber of Labor Upper Austria
Isabell Falkner
Head of Communications Department
+43 (0)664 8237996
falkner.i@akooe.at
ooe.arbeiterkammer.at