VIENNA: Austrian Chancellor Christian Stocker has defended the government’s proposed welfare reform, claiming it could bring more than €200 million in annual budget benefits while encouraging employment and integration. However, opposition parties have challenged the coalition’s record, accusing it of failing to deliver meaningful solutions to the country’s social and economic problems, according to News ORF.
Speaking on the Ö1 radio programme Im Journal zu Gast on Saturday, Stocker described the reform as one of the government’s biggest achievements so far. He said around €150 million in annual savings would come from Austria’s nine federal states, with the remaining amount expected from increased employment and related revenue.
Stocker dismissed criticism from social organisations as “completely exaggerated”. Under the proposed changes, social assistance would be more closely linked to integration requirements and employment for people able to work. At the same time, he said, the reform would improve support for those unable to work, including single parents and people with disabilities.
Social Affairs Minister Korinna Schumann, however, offered a more cautious outlook. She said no savings were expected in 2027 unless the federal states implemented the reform quickly. The government anticipates savings of €188 million in 2028 and more than €237 million in 2029.
Stocker also rejected warnings from Austria’s Fiscal Advisory Council about insufficient funding for government measures, including a proposed VAT reduction on food and the planned Future Investment Account. He insisted that the government remained on track to meet its budget deficit targets, arguing that its responsibilities extended beyond public finances to supporting businesses and strengthening the economy.
The chancellor further denied that political disagreements had paralysed the coalition, pointing to the welfare reform and the Future Investment Account as evidence of progress. He acknowledged that governing had become more difficult but maintained that the government remained capable of delivering results.
Addressing the government’s poor opinion poll ratings, Stocker said people needed to feel more clearly how political decisions improved their daily lives. He also defended the proposed headscarf ban for children under 14 in schools, describing it as a symbol of the government’s commitment to integration and a fair social welfare system.
Opposition leaders strongly criticised his assessment. Freedom Party leader Herbert Kickl accused the coalition of making “rotten compromises” and conducting political deals behind closed doors. Green Party deputy parliamentary leader Sigrid Maurer said the government’s promised “autumn of results” had instead become an “autumn of failures”, pointing to university cuts, unresolved healthcare problems and what she called an inadequate strategy for tackling poverty.
With state elections approaching next year in Tyrol, Upper Austria and Lower Austria, Stocker faces growing pressure to prove that his government’s promises can translate into tangible improvements for ordinary Austrians.
