Insights
HR & PAYROLL
Key Points of the BUAG Amendment 2026
A comprehensive amendment to the Construction Workers' Holiday and Severance Act (BUAG) was passed in Parliament.
Reorganisation of the BauID system
Every employee covered by the BUAG will from now on be issued a free BauID card, also employees of companies based abroad who are posted or seconded to Austria or work at a site in Austria, and persons with entitlements towards the BUAK. By 30 June 2029 at the latest, these must have been issued for all employment relationships that are active on 1 August 2026.
With this card, holiday entitlement, hourly wage and other employment data can be accessed directly. This is also intended to simplify site inspections considerably, as all documents can always be retrieved and presented.
Electronic documents for cross‑border posting/secondment of employees
The documents required in the case of cross‑border posting or secondment of employees to Austria under the Wage and Social Dumping Prevention Act (LSD‑BG) can in future be provided exclusively electronically, which must be indicated in the ZKO report (posting report).
Changes in the field of metal technology
It is clarified that businesses holding an unrestricted or restricted trade licence for metal technology (formerly “locksmith”) are generally not subject to the BUAG. However, metal‑technology businesses that erect prefabricated ventilated façades and use certain building materials (e.g. wood) remain expressly subject to the BUAG.
Sheet‑metal companies that were brought within the scope of the BUAG on 1 January 2024 may, on application, withdraw from the BUAK system if they hold a trade licence for metal technology and exclusively install prefabricated ventilated façades that are not expressly covered by the BUAG. This withdrawal requires an application, which can be made on two reference dates:
Bad‑weather compensation
The previously separate hour allocations for the winter period (200 hours) and the summer period (120 hours) are merged into a single annual allocation of 320 hours (1 November – 31 October of the following year). The total entitlement therefore remains unchanged.
Every employee covered by the BUAG will from now on be issued a free BauID card, also employees of companies based abroad who are posted or seconded to Austria or work at a site in Austria, and persons with entitlements towards the BUAK. By 30 June 2029 at the latest, these must have been issued for all employment relationships that are active on 1 August 2026.
With this card, holiday entitlement, hourly wage and other employment data can be accessed directly. This is also intended to simplify site inspections considerably, as all documents can always be retrieved and presented.
Electronic documents for cross‑border posting/secondment of employees
The documents required in the case of cross‑border posting or secondment of employees to Austria under the Wage and Social Dumping Prevention Act (LSD‑BG) can in future be provided exclusively electronically, which must be indicated in the ZKO report (posting report).
Changes in the field of metal technology
It is clarified that businesses holding an unrestricted or restricted trade licence for metal technology (formerly “locksmith”) are generally not subject to the BUAG. However, metal‑technology businesses that erect prefabricated ventilated façades and use certain building materials (e.g. wood) remain expressly subject to the BUAG.
Sheet‑metal companies that were brought within the scope of the BUAG on 1 January 2024 may, on application, withdraw from the BUAK system if they hold a trade licence for metal technology and exclusively install prefabricated ventilated façades that are not expressly covered by the BUAG. This withdrawal requires an application, which can be made on two reference dates:
- Withdrawal on 31 December 2026, provided the application reaches the BUAK by 31 October 2026.
- Withdrawal on 31 December 2027, provided the application reaches the BUAK by 31 October 2027.
Bad‑weather compensation
The previously separate hour allocations for the winter period (200 hours) and the summer period (120 hours) are merged into a single annual allocation of 320 hours (1 November – 31 October of the following year). The total entitlement therefore remains unchanged.