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Author: Dr. Alexander Raidl

Dr. Alexander Raidl, BA ist Rechtsanwalt in Wien mit Schwerpunkten im österreichischen Einwanderungsrecht, Aufenthaltsrecht, Staatsbürgerschaftsrecht und Arbeitsrecht. Er berät und vertritt Privatpersonen sowie Unternehmen in rechtlichen Angelegenheiten, insbesondere bei aufenthaltsrechtlichen Verfahren, Einbürgerungen und arbeitsrechtlichen Fragestellungen. Neben seiner anwaltlichen Tätigkeit ist er als Vortragender am WIFI Wien tätig und vermittelt dort juristisches Fachwissen im Bereich Arbeitsrecht.
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Consolidation of residence in Austria

Is consolidation of residence possible in Austria? In principle, a return decision must be issued against third-country nationals who are staying in Austria without a right of residence. However, there are exceptions under certain circumstances for persons who have already resided in Austria for a longer period of time.


Milan is a Serbian citizen and has been living in Austria for more than 10 years. He holds a “student” residence permit. Although he has interrupted several studies and started new studies in the past years, he has always been able to provide the proof of academic success required for the extension of his residence permit. In the meantime, however, Milan no longer has any motivation to study and has not attended any courses in the past year. Now he is faced with the problem that he cannot provide the required proof of academic success and his residence permit can no longer be extended. Milan assumes, however, that after more than 10 years in Austria he has already acquired some right of residence by now anyway. Is that right?

What is a return decision?

In principle, any person who is not an Austrian citizen may only stay in Austria after lawful entry and only on the basis of a valid right of residence. Thus, if a person did not enter lawfully and does not have a lawful residence in Austria, he or she is staying in Austria unlawfully. In the case of unlawful residents, the authority, specifically the Federal Office for Immigration and Asylum (Bundesamt für Fremdenwesen und Asyl), has to initiate a procedure for issuing a return decision. A return decision is a measure taken by means of an official order to end the unlawful residence of a third-country national.
If Milan applies again for an extension of his residence permit “student” and if this application is rejected by the immigration authorities and subsequently becomes legally binding, Milan is staying in Austria illegally and proceedings for a return decision have to be initiated against him.

Are there exceptions for persons who have been living in Austria for a long time?

Under certain circumstances, the issuance of a return decision is not admissible even if the person concerned is staying in Austria illegally. If a return decision interferes with the right to private and family life, it may be inadmissible. In this case, the authorities have to weigh up the interests. It is assessed whether the public interest in the termination of residence outweighs the constitutionally protected right to private and family life. Among other things, the duration of residence, the actual existence of a family life, the degree of integration, the criminal record and similar factors are included in the assessment. This is always a case-by-case decision.


In addition, however, no return decision may be issued against persons who have already been lawfully resident in Austria for 8 years without interruption, unless certain facts justify the assumption that the residence of the person in question poses a serious threat to public order and security.
In the case of persons who have already been legally and continuously resident in Austria for more than 5 years, no return decision may be issued if it would otherwise be issued due to insufficient means of subsistence, lack of sufficient health insurance coverage, lack of own accommodation or due to the possibility of a financial burden on a territorial authority (e.g. social assistance).

Has Milan now already achieved a consolidation of residence?

The answer is unfortunately no. Since the regulations on the consolidation of residence only concern settled persons, these regulations do not apply to persons who stay in Austria on the basis of a residence permit. So although Milan has already been living in Austria for more than 10 years, he would have to leave Austria after the negative outcome of his renewal procedure and file a new initial application in his home country.

Significance of illegitimacy in the acquisition of Austria citizenship

Luan is passionate about playing football and is sent by his club to an Austria-wide selected youth team to participate in international tournaments. One of the requirements for participation in these tournaments is proof of Austrian citizenship.

Luan was born in Vienna in September 2012. His father is an Austrian citizen, his mother is Brazilian and has a permanent right of residence in Austria. Luan’s parents were never married and separated before he was born.

Luan, who until now has only held a Brazilian passport, now wants to obtain Austrian citizenship as well.

Acquisition by birth

The Austrian Citizenship Act provides that children acquire Austrian citizenship at the time of their birth if either the father or the mother is an Austrian citizen. Since Luan has an Austrian father, he assumes that acquiring citizenship should not be a problem for him.

However, this regulation is relatively new and only came into force on 1 Nov 2013. Until then, citizenship law distinguished between children born in and out of wedlock. Children born out of wedlock were only granted Austrian citizenship until then if the mother was an Austrian citizen at the time of birth. The Austrian citizenship of the father did not change this.

Although this regulation was eliminated with effect from the cut-off date of 1 Nov 2013, it does not have retroactive effect. This means that illegitimate children of Austrian fathers only acquire Austrian citizenship by birth if they were born after 31 Oct 2013.

Citizenship for Luan

Luan was therefore born too early to benefit from the new legal provisions for acquiring Austrian citizenship. If he wants to obtain Austrian citizenship, he is now dependent on a granting procedure at the citizenship authority, whereby the prerequisite for this is that Luan’s father, as an Austrian citizen, must also have custody.

Alternatively, Luan’s parents could marry, which would allow him to acquire Austrian citizenship through legitimation. If Luan is already 14 years old by then, he himself and his legal representatives would have to agree to the acquisition of citizenship within three years of his parents’ marriage. But since Luan’s parents already have other spouses, this option is ruled out for him. Therefore, the only option left for Luan is the arduous path of obtaining Austrian citizenship by way of awarding.

Insolvency of the employer and the effects on the Red-White Card

Alice is originally from Georgia. She graduated from the State University of Tbilisi with a Bachelor’s and a Master’s degree in Computer Science and after graduation worked as a programmer for a few years in Ukraine and then in Italy. During her stay in Italy, her employer informs Alice that he intends to expand his business to Austria and establish a subsidiary here. Alice is asked if she would like to help set up the Austrian branch and take up a job with the Austrian subsidiary. Alice loves new challenges and is enthusiastic about the idea and so the Austrian company applies for a Red-White-Red Card as another key worker for Alice, which is issued to her after a few weeks. Of course, she is not thinking about possible insolvency.

Insolvency of the employer

Unfortunately, business for Alice’s employer in Austria is not going as hoped. At first, the Italian parent company still promotes the development of the Austrian subsidiary, but increasingly loses interest in the business in Austria and finally stops all payments. As a result, payments due can no longer be paid on time by the Austrian subsidiary. For several months, Alice only receives a part of her salary, which is also only paid irregularly, and finally, she learns that insolvency proceedings have been initiated against her employer. What are the consequences for Alice?

The employment relationship remains in force

An employer’s insolvency does not mean that Alice’s employment relationship is automatically terminated. In principle, it continues unchanged. However, the employer’s duties are no longer performed by the company’s management, but by a court-appointed insolvency administrator. In principle, the insolvency administrator has the possibility to terminate the employment relationships of the employees of the insolvent company, whereby the termination options are not only based on labour law, but also on insolvency law regulations.

Withdrawal of the Red-White-Red – Card

Unfortunately, as part of the insolvency proceedings, the closure of the company is ordered and Alice is terminated by the insolvency administrator with due notice. What does this now mean for her Red-White-Red – Card?

As already examined in detail in this article, the loss of a job also means the loss of one of the conditions for the issuance of the Red-White-Red – Card. As a consequence, the competent immigration authority is obliged to initiate a procedure to withdraw the Red-White-Red – Card.

Outstanding remuneration claims in the event of employer insolvency

In the event of an employer’s insolvency, employees’ outstanding remuneration claims are secured by the Insolvency Remuneration Fund. Employees can register their outstanding claims in the insolvency proceedings and apply to IEF-Service-GmbH for payment of insolvency remuneration. Insolvency remuneration is paid for current remuneration, for claims upon termination of the employment relationship, claims for damages, other claims arising from the employment relationship (expenses, company pensions, mileage allowance, etc.), and possible legal costs. Payment is only made upon application, which must be submitted within 6 months of the opening of the insolvency proceedings. The outstanding claims must be proven as precisely as possible.

Consequences for Alice

For Alice, this means on the one hand that she must find new employment as soon as possible, on the basis of which she can apply again for a Red-White-Red card, and on the other hand that she must assert her outstanding claims against her employer. In any case, Alice should act as quickly as possible so that she does not lose any of the claims to which she is entitled and can also secure her right of residence in Austria.

Türe Rot-Weiß-Rot

Changes to the Red-White-Red Card and EU Blue Card as of 1 October 2022

On 1 October 2022, the largest legislative reform of the Red-White-Red Card and the EU Blue Card in Austria in recent years came into force. Even if the changes only seem to affect some details at first glance, in individual cases they can have a great influence on whether an application can be successful or not. Especially in the case of the EU Blue Card, there are considerable facilitations for applicants. The most important changes are listed below.

Changes in the minimum payment for other key workers and graduates

Up to now, graduates had to prove a minimum gross monthly salary of € 2,551.50 in order to apply for a Red-White-Red Card. This threshold is now dropped. All that has to be proved is a salary according to the applicable collective agreement (which is obligatory anyway) plus a possibly existing overpayment customary in the company.

The distinction between applicants under and over 30 years of age when applying for a Red-White-Red Card as other key workers has been abolished. The lower minimum salary of € 2,835.00 per month (value for 2022) now applies regardless of age.          

Introduction of a Red-White-Red Card for regular employees

Persons who have worked as registered seasonal workers in the same economic sector for at least seven months in the past two calendar years can obtain a Red-White-Red Card, provided they can prove German language skills at A2 level and the employer holds out the prospect of a permanent employment relationship. A labour market test is not required.        

Simplifications in the points system of the Red-White-Red Card

Achieving the required points according to the corresponding points system for the issuance of a Red-White-Red Card (Annex A, B and C to the Act on the Employment of Foreign Nationals) will be made easier. From now on, half-years of work experience will also be counted, language certificates to be submitted may be up to 5 years old, and skilled workers in shortage occupations will now receive the highest possible number of points in this category for having completed training in the shortage occupation. Furthermore, additional points are awarded if the predominant company language is English and other key employees do not have to provide evidence of work experience adequate to their training, but any kind of work experience is to be valued accordingly.

Strong upgrading of the EU Blue Card

The most far-reaching changes are brought about by the legal reform for the EU Blue Card. First of all, the minimum salary to be proven for the issuance will be reduced from one and a half times to the simple average Austrian gross annual salary. In 2022, this means a gross annual salary of € 44,395.00 plus special payments. However, the Federal Minister of Labour and Economic Affairs has been given the option of raising the minimum salary requirement to the previous level in the event of an above-average increase in wages or an unfavourable situation on the labour market,

In addition, an EU Blue Card for IT specialists will be introduced. For this purpose, no university studies need to be proven, but three years of relevant professional experience acquired within the last seven years prior to application is sufficient.

In addition, holders of an EU Blue Card now have the advantage that they can change their employer relatively easily after a period of employment of 12 months. No labour market test is then required and the new employment may also be taken up immediately, even before a decision has been made on the application for the new EU Blue Card. If the applicant has not yet been employed for 12 months, the new employment may only be taken up after 30 days from the date of application.

Furthermore, holders of an EU Blue Card have 6 months from the loss of their job to find a new job before the AMS has to send a notification to the residence authority that the requirements for the issuance of the residence title are no longer met.

Self-employment

The reform of the law also makes things easier for self-employed persons. For example start-up founders only have to prove a capital of € 30,000.00 (instead of € 50,000.00 as before) for the issuance of a Red-White-Red Card, half of which must be equity capital. In addition, holders of a Red-White-Red Card, an EU Blue Card or a Settlement Permit for Artists are allowed to pursue a self-employed gainful activity in addition to their main activity, provided that this is subordinate to the actual employment and the legal requirements for exercising it are met.

Right of residence for displaced persons from Ukraine and residence title in Austria

With the Displaced Persons Ordinance, displaced persons from Ukraine who had to leave their homeland due to the war were granted a temporary right of residence in Austria.

Oxana is a Ukrainian citizen. She graduated in business studies in Kyiv and has been working in the management of hotels around the world for several years. At the time when war broke out in Ukraine in February 2022, Oxana was working in a luxury hotel in Dubai.

Oxana had been planning to come to Vienna for some time to work in the management of a hotel at the Vienna Ringstrasse. She entered Austria in May 2022 and shortly afterward applied for a Red-White-Red card as Another Key Worker.

A few weeks later, Oxana received notification from the immigration authority that the authority would probably reject her application because Oxana, as a Ukrainian citizen who had entered Austria after 24 Feb 2022, was already entitled to a right of residence in Austria on the basis of the Displaced Persons Ordinance. Applying for a residence title such as a Red-White-Red Card is therefore not permissible. Oxana does not understand this, because she did not come to Austria as a refugee, but as a regular immigrant.

Who is covered by the Displaced Persons Ordinance?

The Ordinance on Displaced Persons applies to Ukrainian citizens residing in Ukraine as well as to third-country nationals or stateless persons who have been displaced from Ukraine due to the armed conflict as of 24 Feb 2022. In addition, family members (spouses, minor children, or other relatives who have lived in a domestic community) of these persons are also covered by the Ordinance.

In addition, the Ordinance also applies to Ukrainians who had a valid residence title in Austria on 24 Feb 2022, but which was not extended or withdrawn, or if they have resided lawfully in Austria.

All these persons are entitled to a temporary right of residence in Austria at least until 3 March 2023. However, this right expires if the person concerned leaves Austria for more than a short period of time.

For whom are there exceptions to the applicability of the Displaced Persons Ordinance?

There are exceptions to the Displaced Persons Ordinance for persons who have committed crimes against peace, a war crime, or a crime against humanity as defined by international conventions. Or for persons who have committed serious crimes or have been guilty of acts contrary to the purposes and principles of the United Nations; or if they pose a threat to the security of the host state or to the general public.

What happens when the right of residence expires?

The ordinance itself provides that it is automatically renewed for six months, but no longer than one year if it is not terminated. Furthermore, the law also expressly provides that in the event that the armed conflict continues and permanent integration of the displaced persons should become necessary, it may be possible to apply for a residence title in Austria even if the necessary requirements for this are not met.

For Oxana, this means that she now has to face the cumbersome bureaucracy of the Austrian immigration authorities and explain to them why she does not fall under the displaced persons ordinance and is, therefore, to be classified as a regular immigrant. However, Oxana is very optimistic that she will succeed.

Tafel mit Schrift

What does “German before immigration” mean?

For most residence titles, proof of basic knowledge of the German language is a prerequisite for being granted a residence title. This article is about how to prove this basic knowledge and what exceptions there are.

Maria and Tony have been a couple for some time. Both are Canadian citizens. Tony is an engineer and a very successful manager in the metalworking industry. When one day he is offered a managerial position in a large Austrian industrial company, he does not hesitate for long and moves to Austria. Maria is not thrilled about this because she has only recently taken up a job as a Spanish teacher in Canada and she is not yet sure about following Tony to Europe. She, therefore, decides to stay in Canada for the time being.

Tony receives a “Red-White-Red Card” as a particularly highly qualified worker without any problems.

Although neither of them expected it, the relationship between Tony and Maria lasts and after a year they both decide to marry and Maria is now moving to Austria as well.

As a wife, Maria is Tony’s family member and thus entitled to receive a Red-White-Red Card plus. When checking the application requirements, Maria finds out that she has, among other things, to prove basic knowledge of the German language. How is this possible for Maria?

Proof of basic German language skills

Basic knowledge of the German language must already be proven when submitting an initial application by means of a language certificate at A1 level of the European Framework of Reference for Languages. This is the first basic level of language skills, where you can understand and use everyday expressions and very simple sentences.

These language skills can be proven by various language certificates, which can be taken either with providers in Austria or all over the world. Language certificates from the following institutions are officially recognised:

Exceptions to the proof of basic German language skills

Sufficient proof of German language proficiency is of course also provided if higher language levels at A2 or B1 level can be proven. However, there are also exceptions for a number of groups of persons where no knowledge of German is required. For example, children under 14 years of age or persons who cannot reasonably be expected to acquire a language certificate due to their mental and physical condition do not have to provide proof of language proficiency.

In addition, certain family members (spouses or minor children) of holders of certain residence titles are also exempt from this regulation. Thus, family members of holders of a Red-White-Red Card as a particularly highly qualified worker or a Blue Card EU do not have to provide proof of foreign language proficiency.

Result

This means that Maria, as the wife of a holder of a Red-White-Red Card for particularly highly qualified workers, does not have to prove her knowledge of German when applying for her Red-White-Red Card plus. Nevertheless, as a foreign language teacher, Maria is aware of the importance of learning the language spoken in a country, which is why she nevertheless enrolls in a German course and intends to take the language exams as soon as her knowledge allows her to do so.

Employment of foreigners in Austria

The Employment of Foreign Nationals Act applies to the employment of third-country nationals in Austria. An example:

Tom is a US citizen, a college graduate who lives in Texas and has been working for several years, exclusively online, as a freelancer in sales and marketing for an Austrian start-up in the tech sector. When Tom travels to Austria one day to meet some of his colleagues in person, he likes it so much that he decides to move to Austria and continue working for his Austrian employer. He suggests this to his employer, who agrees to help him with the immigration formalities and provide him with all the documents so that he can be legally employed in Austria.

What has to be considered for the employment of third-country nationals in Austria?

The regulations for employment relationships of foreigners in Austria are governed by the Employment of Foreigners Act. According to this law, every person who does not have Austrian citizenship is considered a foreigner. However, there are also numerous exceptions for non-Austrians. For example, persons entitled to asylum, diplomats, pastoral workers, reporters for foreign media, and, above all, EEA citizens and their dependents are excluded from the scope of application of the Employment of Foreign Nationals Act.

Employment within the meaning of this Act is basically any employment relationship, working contracts similar to employment (such as a freelance service relationship or self-employment exercised in a relationship of dependence), training relationships, labor leasing, and company postings in Austria.

What does it mean when the Employment of Foreign Nationals Act applies?

If the provisions of the Employment of Foreign Nationals Act apply to an employment relationship, the employee may not start work until an official permit has been issued by the Employment of Foreign Nationals Authority. The regional office of the Public Employment Service Austria (AMS) is responsible for this.

Before the employment of a foreigner in Austria begins, an employment permit must be applied for and the employee may only start the employment relationship once this permit has been granted. The employer must then report the beginning (and after the end of employment) of an employment relationship with a foreigner to the competent regional office of the AMS within three days.

How are employment permits and residence titles related?

Basically, a residence title only creates the prerequisite for legal residence in Austria, whereas an employment permit is a prerequisite for being able to legally pursue gainful employment in Austria. Many residence titles (such as Red-White-Red Cards or Blue Card EU) combine both the residence title and the employment permit in one document. The advantage of such residence titles is that they can be applied for at the competent immigration authority in one go. The immigration authority then forwards the application to the competent office of the AMS for examination of the prerequisites according to the Employment of Foreign Nationals Act. If the requirements for the issuance of the residence title and the employment permit are met, the relevant residence title is issued by the immigration authority.

Red-White-Red Card (with employment permit included)

Since Tom has a university degree and also gets a relatively well-paid job, he is granted a Red-White-Red Card as a key worker. With this residence title, the AMS had to carry out a replacement worker procedure (this checks whether suitably qualified workers are available on the Austrian labor market), but could not find any suitable alternative candidates. Therefore the employment permit was granted to Tom. As soon as Tom has the coveted residence title in his hands, his employer can register him with social security and he can start working.

Note und 2 Hände

Red-White-Red Card: Cooperation between Immigration Authority and Labour Market Service

How do the Immigration Service and the Labor Market Service work together when applying for a Red-White-Red – Card?

Luana is an Albanian citizen and studies at the Vienna University of Economics and Business Administration. As she does not receive any financial support from home, Luana is forced to work while studying. She makes full use of the maximum permissible working time of 20 hours per week on the basis of her residence permit as a student. However, Luana’s success in her studies suffers from her intensive professional activity and at the latest when she only just reaches the 16 ECTS per academic year required for the extension of her residence permit, she decides to take a temporary break from her studies in order to work full time for a while and save enough so that she can devote herself exclusively to her studies in one or two years.

Luana is now thinking about how she can secure her stay in Austria permanently, even if she does not continue her studies. A friend who works as an accountant for a tax consultant tells Luana that payroll accountants are currently in great demand on the labour market and that with such a job one can obtain a Red-White-Red card as a skilled worker in a shortage occupation. To become a payroll accountant, Luana has to attend a demanding course, but a degree is not required for such a job.

Luana applies to her friend’s tax consultancy and immediately receives an offer in which the company agrees to pay for Luana’s payroll course if she agrees to work for the company for at least two years after successfully completing the training.

Luana agrees to this arrangement, successfully completes the course as a payroll accountant and the associated examination and now only needs to obtain a red-white-red card before she can start in her new job.

Competence of the authorities in issuing the Red-White-Red Card

The special feature of the Red-White-Red Card is that the applicant is granted both a residence permit and an employment permit with only one document and by only one authority. However, this (unfortunately) does not mean that only one authority will actually deal with an application.

Applications for a Red-White-Red Card must be submitted to the competent settlement and residence authority. The authority first checks whether the general requirements for the issuance of a residence title are met and whether there may be reasons why a residence title may not be issued.

If the general requirements for issuing a residence title are met and there are no obstacles to issuing such a residence title, the competent settlement and residence authority shall forward the application to the regional office of the Labour Market Service responsible for the employer’s place of business.

The regional office of the Labour Market Service then only checks whether the specific admission requirements for the Red-White-Red Card applied for are met.

After hearing the regional advisory board of the Labour Market Service (administrative bodies of the Labour Market Service consisting of representatives of employees, employers and the Labour Market Service ), the Labour Market Service has to confirm within four weeks to the competent settlement and residence authority whether the admission requirements are met so that the latter can subsequently issue the Red-White-Red Card applied for.

If the admission requirements are not fulfilled, however, the corresponding rejection is not made by the settlement and residence authority, but by the Labour Market Service itself, which does not send the negative decision directly to the applicant, but forwards it to the settlement and residence authority.

What does this mean for Luana’s application – which authority decides?

Even if the application for a Red-White-Red Card is only submitted to one authority and the residence title applied for can also only be issued by one authority, a negative decision can be made by two different authorities, namely by the settlement and residence authority as well as by the Labour Market Service. In both cases, it is possible to appeal against a rejection decision within four weeks of the notification of the decision. However, there is an essential difference in the administrative court to which the corresponding appeal is to be addressed. The regional administrative court of the respective province (Bundesland) in which the authority is located decides against decisions of the settlement and residence authority. In the case of a dismissive decision by the Labour Market Service, the Federal Administrative Court, which has branch offices in several cities in Austria, decides in all cases on an appeal against a decision.

Fortunately, this question does not concern Luana, because her application for a Red-White-Red Card as a skilled worker in a shortage occupation was decided positively and she was granted the residence permit she applied for, so that she can finally start in her new job.

Default appeal – What to do if the authority fails to act?

Application for the granting of Austrian citizenship

Valeriya is (still) a Ukrainian citizen. A few weeks ago she applied for Austrian citizenship. She submitted all the necessary documents together with her application. If the authorities now leave her application pending, she can lodge a default appeal.

However, she hopes to have her Austrian passport in her hands in a few weeks. In fact, shortly after her application, Valeriya receives an invitation to take the citizenship exam. She passes without any problems.

Valeriya now waits anxiously every day for a positive decision from the authorities, but nothing happens for months.

Despite repeated requests to the authorities, more than half a year has passed since Valeriya submitted her application. Hence, seh has not received any new information about her citizenship application.

Can Valeriy speed up the authorities’ decision?

When can a default appeal be filed?

As a matter of principle, an administrative authority must issue a decision without undue delay, but at the latest after 6 months. This also applies to an application for the granting of Austrian citizenship. This period begins on the day on which the application is received by the authority.

If the authority does not make a decision within this period, the applicant has the possibility to lodge a default appeal.

The written default appeal must comply with strict formal content requirements stipulated by law and must therefore be drafted very carefully.

After filing the appeal, however, the authority can still issue the requested decision within a period of up to 3 months. Whether it does so is at its discretion. If the authority does not issue the requested decision, it has to submit the default appeal together with all documents to the competent administrative court.

The court may limit its decision to the most important legal issues. The administrative court may order the authority to make up for the missed decision within a maximum of 8 weeks. In addition, the administrative court also has the possibility to decide on the matter itself.

Public liability claim in case of default

Last but not least, a serious violation of the authority’s duty to decide can also give rise to a claim for public liability, i.e. a claim for damages against the public legal entity of the authority (the respective federal state), which, however, must be asserted in separate court proceedings.

Valeriya is therefore not completely defenseless. In any case, she has the possibility to file a complaint against the authority’s inactivity.