1918: Socio-Political Legislation in the Early Years of the First Republic

In the first two years of the Republic, there was unprecedented social progress: the introduction of the eight-hour workday and unemployment insurance, the strengthening of workers’ and tenants’ protection, as well as the introduction of workers’ holidays led to a discernible improvement in the social security for the working class. With the Works Councils Act and the establishment of chambers of labour, co-determination in matters of working and economic life became legally regulated. The driving and coordinating force behind this social progress was the Social Democrat Ferdinand Hanusch (1866–1923), who from 1918 until 1920 was State Secretary (Minister) for Social Welfare and Social Administration.

The major expansion of social policy in the years 1918/20, which rendered Austria one of the strongest and best-organised welfare states as compared to international standards, certainly functioned as a “brake to revolution” (Roman Sandgruber), but above all helped to legitimise the Republic and democracy. For Hanusch the context was clear: “it was our social legislation that gave workers confidence in this state and its government.”