Planned changes for freelance employment contracts

A draft assessment by the Ministry of Social Affairs envisages two changes to labor law in connection with freelance employment relationships from January 1, 2026:

Measure 1: Express statutory termination provisions for freelance employment relationships

For reasons of legal certainty, the Austrian Civil Code (ABGB) should expressly stipulate that a freelance employment relationship may be terminated by either party to the contract.

• subject to prior compliance with a statutory minimum notice period of four weeks (after two years of service: six weeks)
• on the 15th and last day of the calendar month

can be terminated. In addition, the draft assessment provides for the insertion of a clarifying note in the ABGB (Austrian Civil Code) that the first month of the free employment relationship can be agreed as a trial month.

Transitional provision: Although the new termination provision is intended to apply in principle to all freelance service contracts from January 1, 2026 (i.e., not only to new contracts, but also to contracts that began before January 1, 2026), however, deviating notice periods agreed in freelance service contracts that began before January 1, 2026, will remain valid. In other words, the new legal regulation will only apply to “old” freelance service contracts if they do not contain an agreement on a notice period.

Measure 2: Collective agreements may include freelance workers starting in 2026.

According to a planned amendment to the Labor Constitution Act (ArbVG), freelance workers who are subject to compulsory insurance under Section 4 (4) ASVG (regardless of whether they are fully insured or marginally employed) will be eligible for inclusion in collective agreements from January 1, 2026. This legislative measure, also referred to in the tabloid media as “Lex Lieferando” (due to the conflict between the aforementioned delivery service and the trade union that gave rise to it), is intended to empower the parties to collective agreements to set minimum wages (also) for freelance workers. This can be achieved by concluding separate collective agreements for freelance workers or by explicitly including them in the scope of existing collective agreements. 

Important note: The personal scope of existing collective agreements will not automatically be extended to include freelance employees on January 1, 2026. Freelance employees will only be subject to the relevant collective agreement if the parties to the collective agreement agree to amend the collective agreement and expressly include freelance employment relationships within the scope of the collective agreement.

Link to the draft law on freelance employment relationships:

https://www.parlament.gv.at/gegenstand/XXVIII/ME/36

It should be noted that the planned amendment to the law must go through the legislative process after the review phase (until September 8, 2025). Therefore, adjustments may still be made to the plans described here. The finalization of the legislation is expected in the fall.