Financial Police Inspected 1,327 Foreign Companies Last Year and Requested €5.37 Million in Penalties

Political Reactions

Finance Minister Markus Marterbauer (SPÖ) emphasized the political background of the inspections. "Durch die Bekämpfung von Steuer- und Abgabenbetrug stärken wir alle Steuerehrlichen," he said, adding: "Aus diesem Grund gilt: Keine Toleranz bei Steuerbetrug." Referring to the inspection plan in place since 2018, he stated: "Der 2018 ins Leben gerufene jährliche Kontrollplan trägt dazu bei, zielgerichtet gegen Lohn- und Sozialdumping vorzugehen, sichert heimischen Arbeitnehmerinnen und Arbeitnehmern das ihnen zustehende Entgelt und fördert fairen Wettbewerb zwischen Unternehmen."

Labor and Social Affairs Minister Korinna Schumann (SPÖ) also highlighted the importance of cooperation. "Die konsequente Arbeit der Finanzpolizei und die enge Zusammenarbeit aller Kontrollbehörden sind entscheidend, um Lohn- und Sozialdumping wirksam zu bekämpfen," she said. At the same time, she warned of the consequences for the welfare state: "Wer Beschäftigte unterbezahlt oder gesetzliche Standards umgeht, schadet den Arbeitnehmerinnen und Arbeitnehmern, entzieht unserem Sozialstaat wesentliche Einnahmen und verschafft sich unfaire Wettbewerbsvorteile."

The Ministry stated in principle: "Ziel bleibt es, Lohn- und Sozialdumping wirksam zu bekämpfen, Arbeitnehmerinnen und Arbeitnehmer zu schützen und faire Wettbewerbsbedingungen für Unternehmen in Österreich sicherzustellen." The authorities thereby see a dual mandate: protecting employees and ensuring fair market conditions.

Outlook for 2026

The inspection measures will continue in 2026. In the current year as well, the focus is on companies that post or loan workers from abroad to Austria. According to the Ministry, the selection of companies to be inspected continues to be risk-based, i.e., oriented toward industries and regions with elevated levels of irregularities.

The background to the inspections is the practice followed since 2018 of drawing up an annual inspection plan and taking targeted action against violations of the Act Combating Wage and Social Dumping. In doing so, the Financial Police works closely with other inspection authorities, such as trade unions and the regional health insurance fund.

Background: Inspection Plan Since 2018

The high number of criminal complaints for missing wage documentation shows that the authorities do not only check the level of pay but also the documentation of employment relationships. Missing or unkept records constitute a separate administrative offense and can be punished independently of the actual level of wages.

Overall, the figures presented illustrate a focal point of Austrian financial and labor market policy: foreign companies operating in Austria are to comply with the same wage and social standards as domestic companies. The inspections are intended to prevent distortions of competition and ensure that employees receive the remuneration to which they are entitled.

With the continuation of inspections in 2026, the government intends to stick to this course, according to its own statements. The ministries regard the work of the Financial Police as a contribution to strengthening the welfare state and securing fair competitive conditions.

The data refer to the previous year, 2025, and were published jointly by the Ministry of Finance and the Ministry of Social Affairs. The total sum of requested fines of approximately €5.37 million results from the proceedings concerning underpayment, not from the 433 criminal complaints for missing documentation.