How soon will Austria scrap end its educational leave program?

If you’re considering taking Bildungskarenz (educational leave) in Austria, you might need to act fast.

The far-right Freedom Party of Austria (FPÖ) and the centre-right Austrian People’s Party (ÖVP), currently negotiating a coalition government, have announced plans to cut the programme as part of a cost-saving package – and experts are weighing in on when the changes may take place.

When will educational leave be abolished?

The programme won’t disappear overnight. Changing the law takes time, and FPÖ finance spokesperson Hubert Fuchs has already confirmed that any changes won’t apply retroactively. “We cannot allow laws to come into force retroactively,” he said in a press conference.

That means if you’ve already had your application approved by the AMS, you don’t need to worry—you will still receive your benefits. However, new applications will eventually be affected once the law is passed. Experts suggest that mid-2025 is the earliest possible date for changes to take effect, since legal deadlines must be met before any new policy is implemented.

Labour market expert Silvia Hofbauer from the Vienna Chamber of Labour expects the programme to end in the summer at the earliest, as reported by ORF.

For now, AMS, Austria’s employment agency, continues to process educational leave applications as usual, and anyone approved before a new law is passed will not be affected.

However, interest in the programme has surged, with enquiries about the program in Vienna increasing by 25 percent, according to AMS official Winfried Göschl.

Why is educational leave being abolished?

Bildungskarenz has long been a popular option for Austrian workers who want to take a break from their jobs to pursue further education and training while receiving financial support from the government. But the programme is expensive.

In 2023, it cost the Austrian Public Employment Service (AMS) around €337 million, with an additional €175 million spent on social security contributions.

Critics argue that the programme lacks clear oversight and that little data exists to prove that it significantly improves the labour market. A report by the Court of Auditors found that spending on educational leave surged by 40 percent following the COVID-19 pandemic, with the number of participants doubling between 2010 and 2021.

FPÖ politician Arnold Schiefer defended the decision to cut the programme, stating, “In good times, we could afford this. In bad times, we will have to tighten our belts,” as reported by Die Presse.

What should I do if I want to apply?

If you were planning to apply for educational leave, you should proceed with caution – and quickly.

The Vienna Chamber of Labour (AK) warns workers against signing binding contracts with training providers or making advance payments before the law is finalised.

Silvia Hofbauer also recommends adding a safety clause to any agreement with your employer. In other words, if you arrange to take time off for educational leave, ensure the agreement states that it will only proceed if the AMS continues to provide financial support.

Why are some people worried about this change?

Supporters of the cut argue that it will save the government around €350 million in 2025, but others believe it could negatively affect workers and businesses.

Many companies have used Bildungskarenz to avoid redundancies, retrain employees, and keep workers engaged during slow periods. Without it, some experts fear that unemployment costs could rise, which could offset the expected savings.

Labour market expert Hofbauer also warned that removing educational leave without introducing a replacement could make it harder for workers to stay in the labour market longer. “Abolishing Bildungskarenz without suitable alternatives would have dramatic consequences, especially when working healthily for longer,” she said.

Educational institutions are also concerned.

Many training providers rely on participants taking educational leave and are now uncertain about their future. Some institutions have already begun adjusting their offerings, while others are waiting to see if the policy change is confirmed before making decisions about staffing and programmes.

Are there alternatives to educational leave?

For now, part-time educational leave remains an option. This programme allows employees to reduce their working hours while studying, but it is a more restrictive and less financially generous alternative.

There is also a skilled worker grant, which helps fund training in fields like STEM and healthcare. However, it is much more limited in scope than Bildungskarenz, meaning many workers may not qualify for financial support under the new system.

What happens next?

The FPÖ and ÖVP have not yet set a firm date for introducing the new law, but it is expected that the earliest changes will come in the second half of 2025.

Until then, workers considering educational leave will need to stay informed and act quickly if they still want to apply under the current system.

How soon will Austria scrap end its educational leave program?

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