Austrian Heiress Donates $27 Million to Social and Climate Causes

Austrian Heiress Donates $27 Million to Social and Climate Causes

3 minute read
Published: 6/19/2024

Austrian heiress Marlene Engelhorn donated 25 million euros to 77 organizations, denouncing Austria's lack of wealth and inheritance taxes and advocating for fair wealth distribution and social justice.

Marlene Engelhorn’s substantial donation, directed by a diverse panel representing the Austrian public, underscores her long-standing criticism of wealth disparity and tax policies. The funding, supporting a wide array of social and climate initiatives, aims to spur debate on democracy, tax justice, and social inequality, reflecting Engelhorn’s commitment to a more equitable society.

Engelhorn's decision to donate such a significant sum follows her strong denunciation of the lack of taxes on wealth and inheritance in Austria. She inherited the large sum from her grandmother, Gertraud Engelhorn-Vechiatto, who passed away in 2022. Gertraud Engelhorn-Vechiatto herself was part of a wealthy lineage, and Marlene Engelhorn has been vocal about the inequalities perpetuated by such inheritances.

The distribution of the 25 million euros was overseen by a 50-person panel that was selected to represent the Austrian public comprehensively. This panel included individuals aged from 16 to 85, providing a wide range of perspectives and ensuring the decisions were reflective of broader societal needs. A pollster was involved in the selection process to maintain the representation's accuracy and fairness.

Two of the largest beneficiaries of the donations were the Momentum Institute and Attac Austria. Each of these organizations received over a million euros. The Momentum Institute is known for its research and advocacy on social inequality and economic issues, while Attac Austria focuses on tax justice and regulating financial markets.

The donations varied significantly in size, ranging from 40,000 euros to 1.6 million euros, and were allocated to 77 different organizations. This approach was intended to address various pressing issues comprehensively, rather than focusing on a few select areas.

The funding was directed to a diverse array of causes, including social and climate groups, left-wing organizations, and projects tackling housing, integration, women's rights, and poverty. The broad spectrum of issues targeted reflects Engelhorn's intention to create a multifaceted impact on Austrian society.

One of the key objectives of the panel in distributing the donations was to support a fairer redistribution of wealth. This included advancing transparency and improving data availability on large accumulations of wealth, aligning with Engelhorn's advocacy for systemic changes in how wealth is managed and perceived.

Throughout her years of public engagement, Engelhorn has criticized the unequal distribution of wealth, particularly highlighting the concept of the 'birth lottery'—the idea that one's socioeconomic status is largely determined by the circumstances of birth rather than individual merit. Her donation and the manner in which it was distributed are a direct response to these long-held views.

Engelhorn has called for increased public debate on issues of democracy, tax justice, and social inequality. She believes that discussions and legislative changes in these areas are essential to address the root causes of wealth disparity and create a more just society.

The organizations receiving the donations are expected to utilize the funds to further their objectives in social reform, climate action, and related social causes.

Engelhorn's donation stands as one of the most significant private contributions in Austria's recent history, particularly due to its outspoken critique of the nation's wealth and inheritance policies. Her actions seek not only to provide immediate support to various causes but also to stimulate long-term changes in societal attitudes and government policies regarding wealth distribution.