No compensation for loss of earnings and wage costs according to the Austrian Epidemics Act 1950

According to Section 32 Austrian Epidemics Act 1950, a company is generally entitled to a compensation for incurred loss of earnings and wage costs in the event of a company closure pursuant to Section 20 Austrian Epidemics Act.


However, according to Section 4 para 2 of the Austrian COVID-19 Measures Act, which has been in force since March 15, 2020, the provisions of the Austrian Epidemics Act concerning the closure of premises do not apply if the Federal Minister of Health prohibits the entering of premises by ordinance.

The Federal Minister of Health has now made use of this authority and, in accordance with Section 1  of the Austrian COVID-19 Measures Act, has prohibited entering customer areas of business premises of retail and service companies as well as leisure and sports businesses for the purpose of purchasing goods or services or using leisure and sports businesses. As a result of this ordinance, the provisions of the Epidemics Act regarding the closure of business premises are no longer applicable.

In summary, on the basis of the new COVID-19 Measures Act, a company is no longer entitled to claim compensation from the federal government for loss of earnings or compensation for wage costs incurred during the closure of the business premises.

For further information, please contact the author of this article: Attorney Mag Christian Kux