Development of working time and employment in Austria

In the two major crises of the last 12 years (financial market and economic crisis, COVID-19 crisis), the drastic slump in production and value added was only reflected on the labour market to a significantly lesser extent. This is largely due to a reduction in the number of hours worked per employee. Although the use of short-time work contributed to this decline in working hours, it was by no means its sole cause, especially during the financial market and economic crisis. This study draws on data on macroeconomic developments, working time trends and the use of short-time work. It examines whether, in which economic phases and to what extent changes in working hours influence the relationship between economic growth and employment and to what extent the development of these two variables has decoupled.