Compliance
Social Dumping
Non-compliance with social security and other social welfare provisions to gain an unfair competitive advantage.
Definition
Social dumping (Sozialdumping) encompasses practices where employers circumvent or fail to comply with social security obligations and other social welfare provisions. This allows them to reduce labor costs and gain an unfair competitive advantage, thereby undermining the social security system and distorting fair competition in the labor market. The LSD-BG aims to combat both wage and social dumping to uphold the integrity of Austria's social and economic framework.