PARLIAMENTARY DEMOCRACY

"Austria is a democratic republic. Legislative power is in the hands of the people." Thus Article I of the Federal Constitution.

The system of parliamentary democracy in Austria had been annulled on March 4, 1933. From March 13, 1938, onward Austria was occupied by Germany and thus prevented from existing as a sovereign nation. Up to April 1945 it was part of the "Third Reich."

In much the same way as had happened with the First Republic, it was the political parties which founded the Second Republic after the liberation of Austria in April 1945. The three anti-fascist parties, the Socialist Party of Austria (SP?, renamed Social Democrats in 1991, the Austrian People's Party (ÖVP - Christian Democrats) and the Communist Party of Austria (KP? agreed on the formation of a provisional government headed by Karl Renner which proclaimed Austria's independence. This Declaration of Independence was issued on April 27, 1945.

The Declaration of Independence contains the following two clauses:

"Article I: The Democratic Republic of Austria is restored and is to be re-established in the spirit of the constitution of 1920.

Article II: The annexation imposed upon the people of Austria in 1938 is declared null and void."

The Federal Constitution of 1920 is to a great extent the work of Hans Kelsen, the expert on political and international law who defined democracy as the closest possible approximation to the idea of freedom within the framework of social realities. Austria's constitution is guided by the rule of law and based on the republican, democratic and federal principles as well as on the strict division of legislative and executive powers and of the judiciary and administration.

The constitutional guarantee of basic rights in Austria looks back on a tradition more than a century old, and the constitution is supplemented by the provisions of the European Convention for the Protection of Human Rights and Fundamental Freedoms.

Federal President

The head of the Austrian state is the Federal President. On May 24, 1992, the diplomat Thomas Klestil, candidate of the Austrian People's Party (ÖVP), was elected head of state. Thomas Klestil took his oath of office for his second term on 8 July, 1998. Mr. Klestil had been re-elected with 63.5% of the vote on 19 April, 1998.

Since 1951 the head of state has been elected directly by the people. Voting in the presidential election is compulsory in those provinces which have enacted legislation to this effect.

The head of state holds office for six years. Reelection for a consecutive term of office is admissible only once.

The Federal President represents the Republic internationally; he convokes and prorogues Parliament and, subject to certain conditions, he can dissolve the Nationalrat, although not more than once for the same reason. He appoints the Federal Chancellor, usually the leader of the strongest party, and, at the latter's suggestion, the members of the government. No one can become a member of the government unless he has the approval of the President.

Among the presidential duties are the signing of treaties, the swearing in of provincial governors and the verification of laws passed by Parliament. The head of state is also commander-in-chief of the Austrian Armed Forces.

In the event of any violation of the constitution the President is held legally responsible and he may be deposed by referendum upon the request of Parliament before his term of office expires.

Parliament

The Nationalrat and the Bundesrat, the two houses of the Austrian Parliament, are the main legislative bodies of the Republic.

The Nationalrat approves federal legislation and also any newly formed government. A vote of no confidence on the part of the Nationalrat may mean the dismissal of the government or of individual members of the cabinet.

Along with the nine provincial legislatures and governments, the Bundesrat, in which representation is by province, reflects the federal element of the Austrian system of government. Virtually every draft law approved by the lower house must also be presented to the upper house. The Bundesrat can object to such draft legislation, but if the Nationalrat once again carries its original resolution, this is then authenticated and passed.

The Nationalrat is elected for a four-year term by proportional representation on a basis of equal, direct, secret and personal suffrage. The right to vote can be exercised by anyone who has completed his or her 18th year before the 1st of January of the election year and whose suffrage has not been forfeited. A law passed by the Nationalrat in 1990 also gives Austrians abroad the right to cast their vote in elections and referendums. Candidates are eligible for election if they have completed their 19th year before the 1st January of the election year and whose right to be a candidate has not been forfeited. New legislation governing procedures for national elections came into effect in 1993. It provides for a three-tiered system for translating votes into parliamentary seats, retaining the proportional representation principle, and introduces a 4% hurdle nationwide to avoid excessive political fragmentation. The goal of the new electoral law is to strengthen personal contact between voters and candidates by reducing the size of regional constituencies, and to enhance the voter's scope for influencing the actual composition of Parliament by means on an extended system of preference votes. The Nationalrat comprises 183 members..

The members of the Bundesrat are delegated by the legislatures of the individual provinces. The Bundesrat currently comprises 64 members. The number of members sent by each province depends on the size of its population.

Together, the Nationalrat and the Bundesrat form what is known as the Federal Assembly and one of their most important tasks is to accept the oath sworn by the President when he assumes office. Any Austrian entitled to vote has the right to initiate legislative proceedings by starting a referendum. Any total revision of the constitution must be submitted to a referendum by the entire nation.

Federal Government

The Federal Government is headed by the Chancellor, who, along with the Vice Chancellor and the cabinet ministers, conducts all government affairs which are not the responsibility of the President. If necessary, ministers may be assisted by state secretaries. Only the federal ministers have a vote in the Federal Government. Votes have to be unanimous. One of the Federal Government's tasks is to approve draft legislation which is then submitted to Parliament as government bills.

When the Austrian Republic was reestablished in 1945, the Provisional Government formed by Chancellor Karl Renner was made up of approximately equal numbers of representatives from the Sozialistische Partei Österreichs (SP?Social Democrats), the  terreichische Volkspartei (P-Christian Democrats) and the Kommunistische Partei  terreichs (KP?Communists).

After the first elections to the Nationalrat, in November 1945, in which the Communists won only four out of a total of 165 seats, there was, until 1947, one communist minister in addition to the cabinet members representing the two major parties. With the exception of this two-year period, the government until April 1966 was always in the hands of a coalition between the People's Party and the Socialists, with the Chancellor coming from the People's Party, which was consistently the stronger. In 1966, the People's Party gained a majority and formed a one-party government, which remained in power until April 1970.

From 1970 to 1983, the duties of government lay in the hands of the SP? When it lost its majority in 1983, it formed a coalition government with the FP? Following a change in FP? party leadership, the SP  decided not to continue the coalition government in 1986. The Nationalrat election of that year resulted in the Green Party gaining parliamentary seats. It was the first time since 1956 that there were four parties represented in the Austrian Parliament. In February 1993, five Nationalrat members left the FP and founded the "Liberal Forum." Since then, the Nationalrat has been composed of five parliamentary groups. In 1987, the SP and  P formed a coalition government. Viktor Klima (SP)  has been Chancellor since January 1997, Wolfgang Schüssel (ÖVP) Vice-Chancellor and Foreign Minister since May 1995.


FEDERAL SYSTEM

The Austrian federal system is rooted deeply in the country's history, during which each of the nine federal provinces has acquired its own specific character. After the collapse of the Austro-Hungarian monarchy, this individuality lost none of its political significance; each province seeks to maintain its independent character, but strictly within the framework of the Austrian nation as a whole.

Each province is administered by it own government , headed by a governor elected by the provincial legislature. Members to these legislatures are elected according to the same principles as those to the Nationalrat and their numbers are determined in accordance with the population of each province. The full significance of the federal system in Austria is reflected in the fact that in the provinces, federal affairs are exerted by the governor, that is to say by provincial authority. Each province also has the right to protest to the Constitutional Court if it believes that any federal legislation encroaches on its authority.

The individual provinces' responsibility for legislation, on such matters as young people's welfare, nature conservation, building and hunting regulations, is exercised by the provincial legislature.

At a lower level of regional administration comes the Bezirk, or district, which is in the charge of a specially appointed government official, and the local municipality, which has a considerable degree of independence in matters of local affairs. Each community has its council, which is responsible for the election of a mayor.

BASIC RIGHTS

Most of the basic rights and freedoms guaranteed by the present Austrian Constitution were originally listed in the Basic Law passed in 1867 under the Austro-Hungarian monarchy before being included in the constitution of the new republic when it was drawn up in 1920. Legislation in the Second Republic has always been based on the principles set out in the United Nations Declaration of Human Rights of 1948.

In 1958, Austria became a signatory to the Council of Europe's Convention for the Protection of Human Rights and Fundamental Freedoms.

The Federal Constitution states that all citizens are equal before the law. There may be no discrimination on the grounds of birth, sex, status, class, religion, race or language and all citizens enjoy the right be elected to public office.

Personal liberty is guaranteed. Arrest is possible only on the strength of a warrant stating specific reasons and there are similarly strict regulations concerning the rights of the individual's home and the privacy of letters. The constitution also safeguards the complete freedom of movements and property within the state boundaries as well as the right to emigrate. No Austrian may be deprived of his lawful judge. Freedom of association is guaranteed. Everyone has the right within the limits of the law to express his opinion through speech or in writing, print or by pictorial representation. The press may neither be subjected to censorship nor restricted by the licensing system. There is complete freedom of conscience and religion, and knowledge and its teaching are free.


THE JUDICIARY

Of paramount importance in the field of the Austrian judiciary is the fact that the administration of justice should be completely independent. The constitution states specifically that judges are independent in the exercise of their judicial function and that they can be neither dismissed nor transferred. The institution of the lay assessor means that the people take part directly in the administration of justice. The lay assessors or, in the event of crimes entailing severe penalties, a jury consider cases under the guidance of a professional judge. A series of successive stages of appeal, reaching as far as the Supreme Court, provides adequate insurance against the possibility of legal error. The maximum penalty under Austrian law is life imprisonment; there is no death penalty.

The Administrative Court ensures the legality of all acts of public administration while the Constitutional Court examines legislation to make sure that there is no violation of the constitution. Any citizen who feels that his rights have been violated by an administrative act or that his basic rights as guaranteed by the constitution have been encroached upon may appeal to the Administrative and Constitutional Courts.

Controlling bodies

The Central Auditing Authority scrutinizes the financial affairs of the public administration, the nationalized industries and the social insurance authorities. It investigates public expenditure - by the federal and provincial authorities and by local councils in municipalities of over 20,000 inhabitants - to ensure that the taxpayer¡¦s money is being spent economically and productively.

The institution of the people¡¦s lawyer exists to register complaints brought forward by anybody who feels that he or she has been treated unjustly by any administrative authority. To facilitate the investigation of such complaints the people¡¦s lawyers have an unlimited right to inspect administrative records, and on the basis of their investigations they can submit a recommendation to the authority concerned to the effect that the injustice cited in the complaint be rectified.

The people¡¦s lawyers are an autonomous institution accountable only to the Nationalrat, to which they submit an annual report. They form a collegiate body consisting of three people¡¦s lawyers, with an annually rotating presidency. They are appointed on the basis of recommendations by the three parties with the largest number of seats in Parliament. The law applying to the people¡¦s lawyers is an integral part of the federal constitution.


ARMED FORCES

In accordance with the terms of the comprehensive national defense plan, the Federal Armed Forces (Bundesheer) are designed to provide the following:

The Federal President is the commander-in-chief of the Armed Forces and disposal over them lies with the Minister of National Defense within the limits of the authorization conferred on him by the government.

The Federal Armed Forces are kept up to strength by means of compulsory national service. Every Austrian male between the age 18 to 50 is liable for military service. Since 1998, women can serve on a voluntary basis.

Basic military service lasts six months. In addition to this, all those liable to service take part in subsequent reserve training totalling 60 days, of which 30 generally have to be completed consecutively and immediately after the basic military training. Within the ten years after the completion of full basic military training, those liable for military service are called up for exercises totalling the remaining 30 days. To qualify for the status of cadre personnel, an additional 60 or 90 days of exercises have to be completed.

Anyone who objects to military service on grounds of conscience and is exempted on these grounds must perform some alternative civilian form of service.

The Armed Forces are divided into three corps (Graz, Salzburg, Baden near Vienna) and an air corps with headquarters in Langenlebarn near Vienna.


THE POLITICAL PARTIES

The political scene in the Second Republic has been dominated by the Social Democratic Party (Sozialdemokratische Partei  terreichs - SP? and the People's Party ( terreichische Volkspartei - ÖVP) which have achieved varying majorities. Apart from these two, only the Freiheitliche Partei Österreichs - FP? or its predecessor, the Independents' Union (Verband der Unabh gigen - VdU), the Communist Party (Kommunistische Partei  terreichs - KP? until 1959, the Greens and the Liberal Forum have been represented in Parliament.

In 1986 the Greens for the first time won seats in the Nationalrat and thus rejuvenated the political scene in Austria. The times when one of the two large parties had been able to count on a majority of votes and seats at an election to the Nationalrat were over. While, from 1959 to 1986, only three parties had held seats in the Nationalrat, four parties have been represented since 1986, five since 1993.

There follow descriptions of each of the political parties represented in the Nationalrat:

SOZIAL DEMOKRATISCHE PART EI  TERREICHS (SP)

The Social Democratic Party of Austria has emerged from every parliamentary election since 1970 with the largest number of votes of any Austrian party and has held the chancellorship since that year. It was founded by Victor Adler in 1889. During the era of the Dual Monarchy it served as the spokesman of the workers, securing universal suffrage in Austria in 1906.

In 1918 the Social Democratic Party was the driving force behind the establishment of the Republic of Austria. Up to 1920 the Social Democrat Karl Renner held the post of State Chancellor. After 1920 it was forced into opposition but still managed to implement its humanitarian political ideals in Vienna and other towns and cities which had Social Democratic majorities in their municipal councils. In 1934 the Austro-fascist regime outlawed the Social Democratic Party, which went underground. However, many Social Democrats remained politically active, at enormous personal risk.

Reconstituted in 1945, the SP?- the runner-up in national elections - belonged to the coalition governments up to 1966 which oversaw the post-war reconstruction of Austria. Following an internal reform initiated by Bruno Kreisky, the SP achieved a Parliamentary majority in 1970 and in subsequent years successfully worked to make Austria a modern and future-oriented country with a good social infrastructure. Since 1986, the SP has been the senior partner in a coalition with the ÖVP. The 1995 Nationalrat election clearly strengthened the leading position of the SP?in that coalition. The SP has been led by Chancellor Viktor Klima since 1997.

The main objectives of the present government can be summarized as follows: modernizing the welfare state, ensuring a return to full employment, strengthening the Austrian economy, safeguarding domestic and external security, working toward a consistent environmental policy, including a Central European area free from nuclear power plants, and especially making the most of the new opportunities that arise from Austria¡¦s membership in the European Union. With about 500,000 members and numerous organizations subscribing to the ideals of the Social Democratic movement and representing vocational groups and specific interests, the SP is a typical grassroots party. In recent years, though, it has undergone changes and has increasingly addressed non-members.

In its many local and district organizations and in the nine provincial organizations, the members vote democratically on issues of local and regional policy and on national political issues. Members¡¦ and delegates¡¦ assemblies elect the party office holders by secret ballot. The party's supreme decision-making body is the National Party Conference, which is convened every two years. In 1993 the SP adopted new, up-to-date party statutes providing for wider representation of women, a more open structure and wider scope for non-members to play an active role. Party members are accorded the right to nominate SP candidates in a round of preliminary votes and to decide on fundamental political issues in grassroots ballots.

The SP participates actively in both the Socialist International and the Socialist Party of Europe.

It bases its policies on its unequivocal commitment to the fundamental values of Social Democracy - freedom, equality, justice, and solidarity - but has at all times refused to bow to dogmatic rigidity and been open to new ideas.

After an in-depth discussion that lasted almost five years, the SP?is going to adopt a new party program in 1998, which will focus on the implementation of "a social order which aims at furthering the free development of the individual in the community."

The policies which the SP?pursues attach particular importance to the evolution of Austria into one of the world's leading industrialized nations capable of fulfilling its obligations in an integrated Europe. At the same time the party is committed to safeguarding jobs, to promoting the social rights of working people and to the full realization of the welfare state. The concept of the ?ecological circulation-flow economy" expounded by the SP envisages the reconciliation of economic growth and the exigencies of environmental conservation.

TERREICHISCHE VOLKSPARTEI

The Austrian People's Party was founded on April 17, 1945. It is a Christian Democratic party composed - in accordance with the principle of partnership between social groups - of six suborganizations: the Austrian Federation of Workers and Employees ; the Austrian Farmers' Federation ; the Austrian Economic Federation ; the Austrian Women's Movement ; the Young People's Party (JVP); and the Austrian Senior Citizens' Federation . In compliance with a pronounced sense of federalism,is made up of nine provincial parties, each of which runs its own party organizations at municipal and local levels.

The ÖVP supreme body is the Federal Party Conference, which is responsible for formulating basic policy guidelines and electing the Federal Party Chairman and his deputies. The Federal Party Executive Committee comprises the representatives of the provincial party organizations and the constituent organizations. Wolfgang Schüssel has served as ÖVP Federal Party Chairman since 1995.

The ÖVP pledges itself to free and independent Austrian active participation in European integration within the scope of the European Union, and it pledges itself to democracy, the rule of law and a free social order. It regards respect for the individual and the dignity of people as its highest obligation. As a party committed to social integration, it seeks to realize the well-being of all people.

The ÖVP set out to give the public a greater role in political decision-making and thus advocates the principle of personal election and preliminary ballot to which all voters have equal access.

The ÖVP seeks to strengthen the position of the individual in relation to the government and the influence of political parties. It sets out to enhance the standing of the family and of small-scale organizational entities - in such fields as the health system. It advocates an orderly policy on immigration, giving assistance to the politically persecuted but at the same time always bearing in mind Austria's needs and capabilities. The ÖVP supports Austria's involvement in constructing the European security system and in international peace-keeping efforts.

The ÖVP advocates an economical and efficient public administration, greater freedom and less bureaucracy. It believes in individual performance and the need to provide a broad spectrum of educational and training programs and facilities.

By pursuing its concept of an eco-social market economy, the ÖVP seeks to mobilize the innovative capacity of Austria's small and medium-size businesses on behalf of environmental conservation. The ÖVP upholds the principle of entrepreneurial initiative and a system of social security which aids the underprivileged and counters social abuse.

By reducing the burden with which they have to contend, the ÖVP seeks to strengthen the position of consumers and of business in preparation for participation in new markets and a new economic order in Europe.

The People¡¦s Party is a member of the European Union of Christian Democrats (UEDC), of the European Democrat Union (EDU), and of the International Democrat Union (IDU).

FREIHEITLICHE PARTEI TERREICHS (FP)

Following the restoration of the Austrian Republic in 1945, the four occupying powers allowed Conservatives and Socialists to form parties, the ÖVP and the SP? but the liberal element among the population was initially refused independent political representation. With the establishment in 1949 of the "Verband der Unabhängigen" (Association of Independents - VdU), the foundation was laid for a third political force in Austria. The Association had the support of "liberal-freiheitlich" circles and of voters disappointed by the People's Party and the Socialists; it proceeded to develop new social ideas based on the principle of partnership. Anti-Marxist in character, the new group was particularly opposed to all kinds of classwarfare.

The two parties which formed the coalition government(ÖVP and SP? consistently prevented the "Verband der Unabhgigen" from assuming any political responsibility and when, as a result of this, the party began to disintegrate, the new "Freiheitliche Partei Österreichs(FP? was founded in 1955 by Anton Reinthaller. It took over the other group's party organization and distinguished its ideology more clearly from that of the other parties.

From 1955 to 1966, the FP?provided the only parliamentary opposition to the coalition formed by the ÖVP and the SP? When the coalition broke up, the FP?was able to assume a more significant political role.

Attempts by the ÖVP, during its period of one-party government, to render the FP? completely ineffective met with no success. The SP?drew its own conclusions from this and acknowledged the FP?as a political partner in 1970. When the Socialists formed a minority government, the FP?was called to assume political responsibility, and during the period of SP?one-party governments(1971-1983) it represented a negotiating partner, independent of both SP?and ÖVP, whose voice played a role in making parliamentary decisions on Austrian domestic politics. In 1983, for the first time in its history, the FP?joined the government as the coalition partner of the SP?

The FP?s modern party program, issued at Salzburg in 1985, and its manifesto on social policy drawn up in 1973 reflect its progressive and anti-collectivist character. The party appeals to people who attach value to personal achievement, who are willing to accept the responsibilities of freedom rather than sacrifice personal goals to apparent collective security.

In September 1986 Jörg Haider was elected federal party leader. In the immediately following parliamentary election in the same year the FP?won 18 seats, which increased to 33 in the 1990 election. Despite the secession of some members, who founded the Liberal Forum, the Party made considerable gains in the 1994 parliamentary election. 42 parliamentary seats speak a clear language: the determined and consistent policies pursued in the interest of Austria were for the first time supported by more than one million voters. This upswing reached its first peak with Jörg Haider being elected Provincial Governor of Carinthia in 1989.

On account of this strong voter support, which enabled the FP?to share governmental responsibilities in almost all the provinces, the party has been able to implement its freedom ideas in concrete form. At the same time, however, the party continues its role as an opposition party which offers constructive criticism and sees itself as the driving force behind Austria¡¦s political renewal.

The excellent election returns of the last few years, which reflect the growing confidence of the voters in the party¡¦s political work, are seen by the party leaders as making it incumbent upon them to defend the interests of Austrian citizens to the best of their ability. In order to meet the challenges of changing conditions, the traditional way of regarding the political landscape as being divided into opposing camps must be abandoned and the powers of political parties limited.

The FP?#146;s next reform effort was the "Compact with Austria" project, in which some thousand experts were commissioned to develop a program designed to develop the Austrian democratic system into a citizen¡¦s republic.

The Nationalrat election of 1995, which was held only one year after the previous one, gave the FP?more than one million votes. For the FP? 1996 was dominated by the European Parliament elections. The FP?succeeded in narrowing the gap between itself and the governing coalition parties in terms of both votes and percentage. 6 of the 21 Austrian parliamentary delegates representing Austria's interests in Brussels and Strasbourg were members of the FP?

LIBERAL FORUM

The Liberal Forum was founded on February 9, 1993. A few days previously, the former Third President of the Nationalrat, Heide Schmidt, who had been elected Chairwoman at the party's founding conference in November 1993, declared her secession from the FP?along with four other members of Parliament. At their foundaing conference the Liberal Forum also adopted the party's manifesto and its constitution.

The success of the Liberal Forum in its first Nationalrat election in 1994 was reconfirmed in the election of 1995 though the party suffered some minor losses. In the meantime, Liberal Forum representatives have also been elected to the provincial diets of Lower Austria, Styria and Vienna.

The Liberal Forum has a close relationship with its member, who it refers to as "partners." Recognition as a "partner" is conditional on the applicant signing a charter which contains in a few words the Liberal Forum's concept of itself and its political objectives. The charter - as well as the party's foundation manifesto, adopted in November 1993 - is based on a conception of the human being that is characterized by the individual's capability of independent and responsible action.

In liberal politics, not only the safeguarding of basic material well-being is an indivisible task for the individual, as well as for society, but also assuming responsibility for our environment, a duty incumbent on the present generation particularly with a view to the rightful claims of future ones.

In addition it is necessary to assume responsibility on an international level, within Europe and in the developing countries.

The Liberals regard the democratic state, which safeguards basic rights and freedoms and is based on the principles of constitutionality, the rule of law and the separation of powers as well as an economic order founded upon private property, competition and a free market economy as the best way to safeguard freedom, further achievement and development for both the individual and society.

The Liberal Forum is a European party. One of its prime liberal objectives has been reached by Austria's accession to the EU. It will now be indispensable to make the most of EU membership in the interest of promoting the further development of both Austria and the whole of Europe. Therefore the Liberal Forum works closely with ELDR (European Liberal, Democrat and Reform Party,) the overhead organization of Liberal Parties in the European Parliament. The Austrian Liberals also take an active part in the work of the Liberal International (LI). Heide Schmidt has been its Vice-President since September 1994.

THE GREENS

As in many other European countries, the Greens are represented in the Austrian Parliament.

The formation of a Green party reflects the political desire of a large number of people for a fundamentally new approach to counter the destructive consequences of economic activity.

According to the Greens, the established political parties and the social partnership structures allied with them have proved incapable of responding adequately to signs of economic, ecological and social crisis.

Even before they entered Parliament the Greens succeeded in preventing the commissioning of Austria's first nuclear power station in Zwentendorf and the destruction of one of Central Europe's last surviving meadowlands near Hainburg.

In order to be in a better position to realize their own objectives, a number of groups and initiatives decided to contest the 1986 national election and at their first attempt won parliamentary seats.

The Greens had their greatest election success so far in 1994, when they gained access to the provincial diets (legislatures) in Vorarlberg, Tyrol, Salzburg and Vienna. Eva Lichtenberger, Tyrol, is the first Green member of government in her capacity as Provincial Councilor for Environmental Matters in that province. In 1996, Vienna City Councilor Christoph Chorherr succeeded Madeleine Petrovic as federal spokesperson for the Greens.

As a party, "The Greens - The Green Alternative," the Greens advocate those principles which characterize the Green movement internationally (ecological and social principles, grass-roots democracy and non-violence) but also specifically Austrian issues.

The first parliamentary goal of the Greens is to do away with the nebulous, authoritarian structures of decision-making by informal quasi-governmental and oligarchical groups and to restore the appropriate transparency to government. This is of paramount importance in a country which has anenormous amount of ground to make up in terms of liberal outlooks, tolerance and democracy.

The Greens are always striving to promote a greater awareness of ecological and democratic priorities within the obscure workings of the superstructures which exist in such fields as the energy-generating industry and the state-owned sector. In their "Work through Environmentalism" program, the Greens made proposals for a comprehensive investment program in the fields of energy production, tourism, agriculture, construction, public transport, waste disposal, recycling and nature conservation, that not only place emphasis on ecological concerns but would at the same time generate some 150,000 new jobs.

"Green is more than a fashionable color:" that was the motto of the first federal conference of the Greens. In view of the unbroken succession of crises we are convinced that the entire range of objectives pursued by the Greens will continue to gain in importance.

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ORGANIZED ECONOMIC INTERESTS

In the industrial society of the modern democratic state, the organized representation of economic interests has acquired special significance. Austria's economic prosperity and the calm political atmosphere at home are due to a great extent to the smooth cooperation between the two main interest groups, workers and employers, cooperation which has become institutionalized in Austria to a greater extent than in virtually any other democratic nation. In 1996 there were no strikes at all.

The interests of the employees in Austria are represented by the Austrian Trade Union Federation , the Chambers of Labor and the Chambers of Agriculture. Membership of the ÖGB is voluntary, while the chambers are public corporations with compulsory membership.

CHAMBERS OF LABOR

The Chambers of Labor are designed to support the ÖGB and the public authorities in any field where the interest of employees are concerned. In accordance with Austria's federal system, there are nine individual provincial chambers which are represented at the federal level by the Federal Chamber of Labor. Among the responsibilities of the chamber are the appraisal of draft legislation, drawing up an economic and social basis for effective representation of the employees' interests, providing training and advice for employees and for the workers' councils , and public relations.

Agricultural employees are represented by the Chambers of Agricultural Labor.

ECONOMIC CHAMBERS

The economic chambers are public corporations representing the enterprises active in Austria's economic life. There are nine regional chambers and one at the federal level, the Economic Chamber of Austria.

Each of the regional chambers, as well as the national or federal chamber, is divided into six sections: industry; commerce; trade; finance, credit and insurance; transport; tourism. And each section is split into further subgroups.

The Economic Chamber of Austria reviews draft legislation and, like the Chambers of Labor, is instrumental in shaping economic life through its activities on various advisory bodies. It supports the public administration and enters on collective bargaining agreements .

The Economic Chamber of Austria also maintains trade commissioners in many foreign countries which provide a major contribution to the promotion of Austria's foreign trade.

The Chambers of Agriculture, which represent the interests of those independently employed on the land, exist only at the provincial level. There is central representation, however, at the Presidential Conference of Chambers of Agriculture.

FEDERATION OF AUSTRIAN INDUSTRIALISTS

The Federation of Austrian Industrialists, has a membership of 4,000 employers who, taken together, account for a work force of more than 400,000. In accordance with its significance the Federation exerts an influence on political decisions in the economic and social spheres.

The Federation's constituent bodies are the general management, the management board and the governing body. There are also special committees which deal with such fields as economic, social, tax and fiscal policy and foreign trade. The Federation has set up regional organizations and departments in the provinces.

ECONOMIC AND SOCIAL PARTNERSHIP

In Austria, employers and employees learned considerably from the bitter years of the First Republic. In the course of the Second Republic, representatives of labor and industry came to realize that it is vital to work together in the preparation and execution of economic measures, always giving top priority to the requirements of the economy as a whole. In particular they saw, and still see, the importance of close cooperation in keeping wages and prices in check, which means adopting a firm stand when demands are made by a particular interest group within one's own ranks.

This tradition of "economic and social partnership," as it has come to be known, is described by Fritz Klenner in the book "Österreich. - Die zweite Republik" as "not a new ideology and not a philosophy of life, but a new form of policy on the part of the unions and the employers, an adaptation to the modern system of social, if not economic equality and the consequent attempt to settle differences impartially."

Klenner goes on to confirm that labor and industry in Austria have indeed "settled their differences with more understanding and consideration for the common good than has been shown anywhere else in the world."

Parity commission

The policy is reflected particularly clearly in the work of the Parity Commission for wage and price negotiations. It is a voluntarily constituted forum with no legislative basis. The following bodies are represented on the Parity Commission: the ÖGB, the Federal Chamber of Labor, the Economic Chamber of Austria, the Austrian National Bank, the Presidential Conference of Chambers of Agriculture and the Ministries of Agriculture and Forestry, of Economic Affairs, and of Labor, Health and Social Affairs. All of these meet under the chairmanship of the chancellor. Only the first four of the above bodies are entitled to vote. The commission's decisions must be approved unanimously - a factor which significantly reinforces the process of compromise.

The Parity Commission wields no legal power but the organizations represented on it can use their influence to bring its resolutions to bear on the groups whose interests they represent. Any plans for wage or price rises must be presented to the commission's wage or price subcommittee. The wage subcommittee considers such plans in the light of their overall economic implications and can then give the go-ahead for negotiations between the contractual partners on changing the terms of a collective bargaining agreement. But the subcommittee has no power to influence the substance of any new agreement reached, least of all the extent of any wage increases negotiated. In the case of the price subcommittee, the applicant must submit an objective justification for the requested price increase to representatives of the employees' organizations before any decision can be taken. "Politico-economic debates" chaired by the Federal Chancellor serve the purpose of discussing medium-term economic policy.


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