Factsheet for case LU-2020-30/1197 – measures in Luxembourg
|Country||Luxembourg , applies nationwide|
|Time period||Temporary, 24 July 2020 – 31 December 2021|
|Type||Legislations or other statutory regulations|
Promoting the economic, labour market and social recovery
– Active labour market policies, incl. subsidised job creation
|Author||Patrick Thill (LISER) and Eurofound|
|Case created||28 September 2020 (updated 27 November 2020)|
In order to help the most vulnerable populations find employment, i.e. jobseekers aged 45 or over, employees with reduced work capacity and disabled workers, the National Employment Agency (Agence pour le développement de l'emploi – ADEM) can, under certain circumstances, propose that an employment reintegration contract is entered into with an employer.
The law of July 24, 2020 provides a temporary exemption from this measure (decrease the age at 30 years old and over).
During the period from 24 July 2020 until 31 December 2021, a job reintegration contract, comprising alternating periods of practical training and theoretical training, can be offered to jobseekers aged at least 30 or in professional redeployment or having the status of disabled employee and registered with ADEM for at least one month.
When hiring a jobseeker aged between 30 and 45 years, a share corresponding to 50% of the minimum social wage for unskilled employees is paid by the employer to the Employment Fund.
In case of hiring a jobseeker who is:
The company's participation is reduced to 35% of the compensation received by the jobseeker. The employment reintegration contract is concluded for a duration of 12 months. The employer appoints a mentor who is responsible for assisting and guiding the job seeker throughout the employment reintegration contract. In the first month following the signing of the contract, the company, the mentor and the job seeker prepare a training plan, one copy of which must be sent to the ADEM's Employer services.
In 2018, 137 people benefited from this measure. They were 168 in 2019 (i.e. +22.6%).
Other groups of workers
|Applies to all businesses||Does not apply to citizens|
Company / Companies
Public employment service
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
no information in the source about social partners' involvement
Unfortunately, no answer to our email about this question.
Eurofound (2020), Employment reintegration contract for disadvantaged workers, case LU-2020-30/1197 (measures in Luxembourg), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch
Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.