"Anyone convicted under the Prohibition Act has no place in the civil service. Any form of Nazi glorification is an intolerable attack on our democratic society," Zadic wrote on Twitter.
The federal government decided to change the law, she said. "Every final conviction of civil servants automatically leads to their loss of office - the civil servants concerned must therefore leave the civil service."
The move came after an outcry about an officer who was allowed to continue working in the army although had been fined because he wore a uniform with Nazi insignia.
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