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Factsheet for measure LU-2021-42/2137 – measures in Luxembourg

Exceptional financial support for training organisations

Aide financière exceptionnelle aux organismes de formation

Country Luxembourg , applies nationwide
Time period Temporary, 15 October 2021 – 15 October 2022
Context COVID-19
Type Legislations or other statutory regulations
Category Promoting the economic, labour market and social recovery
– Active labour market policies (enhancing employability, training, subsidised job creation, etc.)
Author Patrick Thill (LISER) and Eurofound
Measure added 10 January 2022 (updated 01 June 2022)

Background information

A new one-off, time-limited financial incentive to support apprenticeships.

This aid replaces the one-off apprenticeship promotion premium, which was available to apply for until 15 July 2021. It applies to apprenticeship contracts newly concluded from 16 July 2021; and those terminated from 16 April 2021.

Applications must be submitted by 15 October 2022.

Content of measure

The organisation must submit:

  • Proof of the conclusion of the apprenticeship contract with the apprentice or his/her legal representative, in force at the date of the application, and of the completion of the trial period:
  • A certificate of affiliation of the apprentice to the Common Social Security Centre (CCSS)
  • A bank statement from the applicant training organisation
  • Any other document deemed useful in order to assess the merits of the application

The financial support takes the form of a one-off flat-rate grant per apprenticeship contract. The total amount of the one-off grant is : €1,500 for each new apprenticeship contract concluded from 16 July 2021 onwards; 5,000 for each new apprenticeship contract concluded after 16 April 2021 terminated since 16 April 2021; and taken over, in accordance with Article L.111.3, paragraph 4, of the Labour Code, by the training body, provided that the contract has not been taken over twice.

The financial aid is tax-free.

Use of measure

Exceptional financial assistance may only be granted to a natural or legal person who offers an apprenticeship and who has the right to train in accordance with the provisions of Article L.111-1 of the Luxembourg Labour Code

Target groups

Workers Businesses Citizens
Other groups of workers
Applies to all businesses Does not apply to citizens

Actors and funding

Actors Funding
National government
Company / Companies
Public support service providers
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement as case not in social partner domain No involvement as case not in social partner domain
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Unknown

Involvement

This measure is an initiative of the Ministry of Education, Children and Youth. Social partners are not involved in this measure.

Views and reactions

Vocational training is an essential element in securing career paths, which must become a genuine fundamental right for all employees. In this sense, the social partners demand a reform and extension of the current training leave and the creation of an individual training account over the whole professional career. Public co-financing should be increased and a training tax should be introduced to ensure that employers contribute to its financing. The objectives and guidelines for continuing vocational training should be set by a tripartite body

Sources

Citation

Eurofound (2022), Exceptional financial support for training organisations, measure LU-2021-42/2137 (measures in Luxembourg), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/LU-2021-42_2137.html

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