Austria to Restrict Side Jobs for the Unemployed Starting in 2026

Austria

Beginning in 2026, most unemployed people in Austria will no longer be allowed to supplement their benefits with part-time income. Under the new regulation, side earnings will only be permitted in exceptional cases, effectively ending a long-standing allowance that let jobseekers earn up to €551.10 per month without losing eligibility for unemployment or emergency assistance.

The government’s reform aims to tighten the conditions under which such additional income is possible. Going forward, only four specific groups will retain the right to earn supplementary income while unemployed.

Exceptions will apply to:

  • Long-term unemployed individuals over 50 years old,
  • People with a certified disability of at least 50 percent,
  • Those who have been unemployed for an extended period, who may take on a part-time job once for up to 26 weeks, provided the income remains within the minimum wage threshold, and
  • Persons who received sickness, rehabilitation, or retraining benefits for at least 52 weeks due to illness, who may likewise work for up to 26 weeks once during unemployment.

Additionally, the rule will not apply to those who had been working in a side job for at least 26 weeks before becoming unemployed.

Officials argue that the change will simplify the benefits system and prevent misuse. Critics, however, warn that the new rules will tighten financial pressure on vulnerable jobseekers and remove a vital incentive to stay connected to the labor market.

The reform marks a significant shift in Austria’s welfare policy—moving from flexibility and gradual reintegration toward a stricter, more regulated system intended to prioritize full-time employment over temporary side income.