Social Report: Income Situation Partially Improved, Concerns Remain
However, 21 percent reported that they had to accept income losses in the past twelve months. This is the result of a survey commissioned by the Ministry of Social Affairs from Statistics Austria and IHS, which is conducted quarterly.
One in ten people stated that they had difficulties making ends meet with their current income in the fourth quarter. This equates to approximately 820,000 people.
Problems Despite Improved Income Situation
Despite the improved income situation for many households in the second half of 2024, nearly 33 percent of 18 to 74-year-olds reported that they managed worse with their household income in the fourth quarter of 2024 than twelve months ago. Among low-income individuals, this proportion is 52 percent. The main reasons cited were increased costs for food as well as rising housing and energy costs.
For 15 percent, housing costs posed a significant financial challenge. This figure remained constant compared to the previous quarter and is 5 percentage points below that of the previous year (Fourth Quarter 2023). Despite a short-term recovery in the third quarter, a significant increase in financial difficulties for vulnerable groups is also observed. Particularly, low-income individuals (39 percent) and people from households affected by unemployment (38 percent) are heavily burdened by housing costs.
Household Income: One in Five Expects Situation to Worsen
One in five expected in the fourth quarter of 2024 that household income would decrease over the next twelve months. This again reached the level of the previous year (21 percent). Concerns about the economic development in Austria have increased significantly. More than two-thirds of the surveyed 18 to 74-year-olds (68 percent) expected a deterioration in Austria's economic situation in the coming twelve months. In the previous quarter, this figure was 51 percent. Only 7 percent expect a positive development.
Minister of Social Affairs Sees "Silver Lining on the Horizon"
For Minister of Social Affairs Korinna Schumann (SPÖ), parts of the survey results are a "first, faint silver lining on the horizon." However, the area of housing clearly shows that social support is still "urgently" needed. "For me, a strong state is always a welfare state, where people who need support receive it accurately," said Schumann.
(APA/Red)
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