Former Swindon striker Austin took the prize after netting seven goals in October, during which time he equalled Ray Pointer's club record from the 1958/59 season of scoring in eight consecutive matches but notched more times in the process.
Dyche succeeded Eddie Howe as Turf Moor boss after Austin's award-winning run but has since watched the 23-year-old become the quickest player to reach 20 goals in a season in Burnley's history.
"I think he's certainly deserving of it," Dyche said. "His goal tally speaks for itself, breaking records at Burnley Football Club.
"But his work ethic as well - he's a team player, he respects the team and he respects the team ethic.
"Obviously I've come halfway through and witnessed him in three games, but I've seen him on the training pitch and thoughly enjoyed what I've seen and what we're working with."
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