Austria has recently enacted a law that aims to combat hidden price increases in the form of 'shrinkflation,' where the quantity of a product decreases while the price remains the same. Effective immediately, retailers will be required to label products that have been downsized in terms of weight or volume, ensuring consumers are aware of the change for a duration of 60 days. This initiative addresses consumers' concerns about inflation, where they end up paying more for less product, often without noticing the difference.

The law mandates that retailers must inform customers of these changes either directly on the product packaging, on shelves, or through nearby signage that warns, "Warning: less content - higher price." This regulation seeks to enhance transparency in the marketplace and aims to empower consumers by helping them make more informed purchasing decisions. The implementation of this law reflects a growing awareness and response to economic practices that can mislead customers, particularly in today's inflationary climate.

However, the legislative approval was not unanimous. The far-right Freedom Party of Austria (FPÖ) opposed the law, arguing that it places an undue burden on retailers and suggesting that consumers should take greater personal responsibility in monitoring product sizes and prices. This debate around accountability in consumer behavior versus regulatory measures showcases the ongoing tensions in addressing economic challenges while balancing business interests and consumer protection.