Law

Check employment contract: What should be clear before signing

Before signing, it is worth taking a close look at the employment contract, service slip, salary, working hours, and clauses. What applicants in Austria should check.

Applicant checks employment contract and service slip with notes in a modern Austrian office

As of: 17 June 2026. A new job is often only truly secure when the most important points are clearly documented in writing. Nevertheless, many applicants sign an employment contract under time pressure: the offer has been made, the start date is approaching, and excitement is high. It is precisely at this stage that a calm look at pay, working hours, workplace, probationary period, fixed-term arrangements and possible contractual clauses is worthwhile.

An employment contract is not just a formality. It defines what actually applies in everyday work and what leeway employers and employees have later. In Austria, employment contracts can also be concluded verbally or implicitly. For practical purposes, however, a written contract or at least a complete Dienstzettel is clearly better, because commitments remain verifiable later.

Employment contract or Dienstzettel: What the difference is

The Upper Austria Chamber of Labour sums up the key point concisely: the conclusion of an employment contract in Austria is not bound to any specific form. If there is no written employment contract, the employer must provide a Dienstzettel. This Dienstzettel is a bullet-point overview of the agreements made as well as the essential rights and obligations.

The distinction is important: the Dienstzettel is not the employment contract itself, but a document of evidence. The Chamber of Labour explicitly points out that employees are not obliged to sign a Dienstzettel. It is intended to document what applies. A written service contract, by contrast, has stronger probative force because both parties record the agreements directly.

Since the changes around the EU Transparency Directive, written information has become even more important. The WKO lists extended minimum details for employment relationships as of 28 March 2024, such as start date, fixed-term status, workplace, company seat, role, base salary or base wage, notice period, working hours and notes on the termination procedure. For applicants this means: a contract or Dienstzettel should not be vague.

Pay: Check more than just the monthly gross salary

The first glance usually falls on the salary. That's understandable, but not enough. What matters is whether the pay aligns with the collective agreement, the classification, the working hours and any additional agreements. The contract should make clear which base salary or base wage applies to normal working hours. If overpayment, bonus, commission, allowance or all-in are mentioned, this requires even more attention.

With all-in agreements and overtime flat rates, the Chamber of Labour warns that such clauses may be possible but are rarely automatically advantageous for employees. Applicants should therefore check which pay only covers normal working hours and which additional services are supposed to be compensated by it. Without this distinction, a high gross salary may seem attractive at first glance but can be relativized by a lot of overtime.

Practical questions before signing: Does the salary apply to full-time or part-time? Are special payments regulated? Which collective agreement and which classification apply? Are overtime hours paid individually, compensated by a flat rate, or handled with time off in lieu? Are there variable components, and according to which criteria do they become payable? Those who clarify these points properly avoid costly misunderstandings later.

Working hours, home office and workplace

An employment contract should not only state the weekly hours. It is also important how these hours are distributed, which normal working hours apply, whether flexitime is provided, whether weekend or shift work is possible and how overtime is assigned. For part-time work it is especially important whether overtime is regularly expected and how predictable the working hours are.

The workplace also deserves attention. A precise address provides more clarity than a very broad wording. If the contract contains a transfer clause, applicants should ask how far it extends. The Chamber of Labour explicitly names transfer as one of the topics to watch out for before signing. A seemingly small phrase can later mean that the workplace, scope of duties or organizational assignment change significantly.

Home office should also not be discussed only verbally. Anyone who agreed to two home office days per week during the interview should check whether this can be found in the contract, in an additional agreement or in a company policy. The same applies to business trips, field service, on-call duty, company phone or work equipment. Verbal commitments are harder to enforce than written rules.

Don't overlook probationary period and fixed-term status

A probationary period is common when starting a job, but it should be clearly agreed. During the probationary period, the employment relationship can usually be terminated at very short notice. Therefore it is crucial whether a probationary period is provided for, how long it lasts and whether the collective agreement contains its own rules on it. Applicants should also check whether the probationary period is combined with a fixed-term contract.

With fixed-term employment relationships, the employment relationship generally ends by expiry of time. The USP points out that it is fundamentally up to the contracting parties whether they conclude a fixed-term or permanent employment relationship. For employees, however, it is important whether a possibility of termination during the fixed term is provided. Without an appropriate rule, a fixed-term employment relationship can be less flexible than one might expect in advance.

Therefore, three questions should be answered before signing: Is the job fixed-term or permanent? Is there a probationary period? Which notice periods and notice dates apply after the probationary period? Those who only read these points in the event of a dispute are often under pressure.

Clauses that can become costly later

Many problems do not arise from the main points but from clauses at the end of the contract. The Chamber of Labour lists, among unfair clauses, all-in contracts, working hours, data protection, non-compete clauses, forfeiture clauses, transfer and contractual or conventional penalties. Applicants should not skip such sections.

A non-compete clause can prevent employees from working in the industry of their former employer after the end of the employment relationship. The Chamber of Labour describes it as an agreement that can take effect for up to one year after the termination of the employment relationship. It is not effective in every case, but can significantly burden the next job search. Those working in a specialized industry should read such clauses especially carefully.

Forfeiture clauses are also delicate. They can shorten the deadlines within which open claims such as wages, salary or overtime must be asserted. The Chamber of Labour points out that such clauses can shorten the statutory limitation period. That means: those who react too late can lose money. Therefore one should already know before signing which deadlines are set out in the contract or collective agreement.

What should not be missing in the contract

A good preliminary check is not a legal review of every single sentence, but a structured check. It should at least include employer and employee, start of the employment relationship, workplace, role, working hours, pay, collective agreement, classification, vacation, notice periods, probationary period, fixed-term status, special payments and notes on relevant company regulations.

In addition, applicants should compare their verbal agreements with the written text. Was a certain salary promised? A particular position? Home office? Training? A company car? A bonus after onboarding? If something was important, it should not only have been said in the interview but also documented. In case of uncertainties, a brief query before signing is more professional than a later dispute.

Those who are evaluating several offers in parallel should not compare only the monthly gross salary. A holistic view is sensible: annual gross salary, working hours, commuting time, home office, special payments, fixed-term status, probationary period, development, business trips, all-in arrangement and notice periods. The jobspot articles on Job interview and salary questions, Business trips and reimbursement of expensesas well asPart-time, salary and career.

When advice is useful

Not every contract immediately requires legal advice. For clear standard contracts, unambiguous classification and understandable working hours, careful reading is often sufficient. Advice is sensible, however, when the contract contains unclear or very far-reaching clauses, when all-in is not comprehensible, when a non-compete clause or contractual penalty is provided, when fixed-term and termination appear unclear, or when verbal commitments are missing from the text.

A second look also pays off when changing industries, taking up a first job in Austria, holding a management position, field service, variable pay or working at multiple locations. The responsible Chamber of Labour can review contracts or at least indicate which points could be problematic. It is important to allow enough time for this before signing. A contract is easier to clarify before completion than to correct after starting work.

Conclusion: Sign not out of mistrust, but prepared

Checking an employment contract does not mean fundamentally distrusting the new employer. It means taking the shared basis seriously. The clearer salary, working hours, workplace, probationary period, fixed-term status and clauses are regulated, the more stable the employment relationship starts. For applicants this is part of professional career planning.

The best next step is simple: create a checklist before signing, compare verbal commitments with the contract, clarify open points in writing and seek advice for sensitive clauses. Those who proceed in this way start not only with a good feeling, but with a robust agreement.

Sources and further information