The History of Austria 29diminished some following Austria’s membership in the
European Union.
Social Partnership
The First Republic had been torn apart by political infighting
and civil strife. To avoid repeating earlier mistakes, the
Paritätische Kommission (Parity Commission) was created in
- The Commission is part of a mechanism, referred to
as ‘social partnership’, that brings together organised labour,
businesses and government to discuss and settle labour and
economic issues, especially wage and price increases. It
has no legislative powers, but wields considerable influence
nonetheless. Labour conflicts are often settled quietly through
negotiation and compromise, although not always in the
best interest of the general public. On the other hand, the
level of cooperation is such that Austria does not suffer from
paralysing strikes. In fact, time lost by strikes per person is
counted in seconds, not hours.
Independence
In 1955, the Allies finally reached an agreement on Austria.
The Cold War was well under way and the East and West
had already established their zones of influence. The Soviet
Union agreed to withdraw from Austria on condition it
remained neutral, did not join NATO and refused foreign
military bases. On 15 May 1955, the State Treaty granting
Austria independence was signed. Foreign Minister
Leopold Figl waved the State Treaty out of the window of the
Upper Belvedere to the crowds below and yelled, “Austria
is free!”
In its new form, Austria turned outward in an effort to
recapture some of its previous importance in global affairs.
Because of its history, geographical location and neutrality,
Austria was a logical place for East-West relations to develop
during the Cold War. Known to be a hotbed of spying activity,
Vienna also made more honourable contributions to East-
West relations. As security issues were of premier importance,
Vienna became the headquarters of the International Atomic
Energy Agency (IAEA) in 1956. One year later, OPEC, the