Austrian government would save money at the expense of Hungarian families

The new Austrian coalition government formed by the centre-right Austrian People’s Party (ÖVP) and the far-right Freedom Party of Austria (FPÖ) decided to modify the family support system in the country, reports Index.hu. If their plans are actually carried out, it will affect 40,000 Hungarian children whose parents work in Austria.

The Austrian government plans to apply different methods to calculate the family allowances of children from the other EU Member States or from other states of the European Economic Area whose parents are registered workers in Austria.

In 2016, the Austrian government paid EUR 273 million worth of family allowances after 132,000 children living in other EU Member States.

With the modification of the system, the Austrian government aims to spare EUR 114 million. This is more than 40% of the amount that was paid in 2016. Family allowances in Austria range between EUR 112-162, and it is given until children reach the age of 19. According to Austrian family minister, Juliane Bogner-Strauß,

it is not sustainable for the Austrian government to pay the same amount of money to families living in countries where the cost of living is significantly lower than in Asutria.