The Austrian Welfare State

The Austrian Welfare State

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Abstract

This paper gives a brief insight into the Austrian welfare state. Rooted in the late 19th century the Austrian welfare state developed various social programs for the wellbeing of its citizens like for example: free education, insurances or family allowances. Taking a closer look at the historical development as well as the current situation, some challenges for the future (e.g. pension system, health insurance, forms of employment) can be stated. This paper also discusses the main arguments for and against a welfare state.

Keywords: welfare state, Austria, aging society, future challenges

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The Austrian Welfare State

All over the world various forms of welfare states exist, each unique with their own pro's and con's. Before talking about Austria there should be clarified what a welfare state in general is.

According to BusinessDictionary.com a welfare state is:

… a political system based on the premise that the government (and not the individual, corporations, or the local community) has the responsibility for the wellbeing of its citizens, by ensuring that a minimum standard of living is within everyone's reach.

Welfare Island Bridge - Roosevelt Island, New York

Welfare Island Bridge - Roosevelt Island, New York

Welfare Island Bridge - Roosevelt Island, New York

This commitment is translated into provision of universal and free education, universal medical care, insurance against disability, sickness, and unemployment, family allowances for income supplement, and old age pensions.

But textbook definitions aren't always what the average person thinks of when talking about a welfare state. An IT student of Johannes Kepler University for example answered the question "How would you define a welfare state?" as followed:

A welfare state is a state where the government takes care of the citizens by passing laws that force employers to insure their employees (e.g. health- or unemployment insurance),financially supporting people who otherwise would have to live below the poverty line, financially...