Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure LU-2024-25/3867 – measures in Luxembourg
Country | Luxembourg , applies nationwide |
Time period | Open ended, started on 20 June 2024 |
Context | Labour Migration Management |
Type | Other initiatives or policies |
Category |
Measures to prevent social hardship
– Other |
Author | Patrick Thill (LISER) and Eurofound |
Measure added | 30 April 2025 (updated 06 June 2025) |
Current labour shortages and future labour market needs (replacement of existing jobs and new jobs) represent a challenge both for the dynamism of the economy and for the stability of Luxembourg's national social model. An interministerial committee for the attraction, retention and development of talent, bringing together the ministerial departments, administrations and institutions concerned, was therefore set up in June 2023. As part of the 2023-2028 coalition agreement, a High Committee for the Attraction, Retention and Development of Talent was set up in May 2024 by the Government Council. The aim is to ensure the continued economic integration of Luxembourg's border and resident populations, as well as to strengthen exchanges with European and non-EU populations, while stimulating the diversification, attractiveness and competitiveness of the national economy.
Government action to attract, retain and develop talent is guided by 6 strategic priorities: - Improve the availability of data and statistics in order to make better decisions and guide actions, - Promote Luxembourg as a ‘Talent Hub', - Make it easier to attract international talent, - Facilitate access to work for cross-border commuters, - Improve living conditions for new arrivals and encourage the retention of talent, - Encourage the development of talent.
Two meetings were held. The first (20 June 2024) focused on the various strategic areas on which the government is working. The second (4 December 2024) brought together the players and monitored the development of projects, including a portal dedicated to attracting regional and international talent, which is currently being developed. Several calls for projects have been launched for 2024 and 2025, in particular to stimulate innovation in the fields of high-performance computing and artificial intelligence.
The measure targets all talents who can 1) compensate the shortage of labour in the sectors identified and 2) contribute to Luxembourg's economic and scientific development, regardless of where they come from. Cross-border commuters and migrants are one of the primary targets. No statistics are yet available on the uptake of the measure.
Workers | Businesses | Citizens |
---|---|---|
Particular professions
Cross-border commuters Migrants or refugees in employment |
Applies to all businesses | Does not apply to citizens |
Actors | Funding |
---|---|
National government
Employers' organisations Company / Companies Public employment service |
European Funds
National funds |
Social partners' role in designing the measure and form of involvement:
Trade unions | Employers' organisations | |
---|---|---|
Role | No involvement | No involvement |
Form | Not applicable | Not applicable |
Social partners' role in the implementation, monitoring and assessment phase:
The social partners are not involved in defining the strategy for attracting talent from abroad.
The human resources managers of Luxembourg companies point out that, in addition to attractiveness, there is also the issue of retention and ensuring that people have a career perspective in a competitive market. In addition, the Union des entreprises luxembourgeoises regularly conducts a survey of its members. In terms of attracting talent, a number of obstacles have been identified, notably the concentration of profiles in demand and the cost of salaries for companies. Added to this are the tax limits that apply to cross-border commuters, reducing the ability to attract non-resident workers.
Citation
Eurofound (2025), Talents attraction, measure LU-2024-25/3867 (measures in Luxembourg), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/LU-2024-25_3867.html
Share
30 January 2023
Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.
Article12 September 2022
Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.
Article12 September 2022
This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.
Article5 July 2022
This article summarises the first policy responses of EU Member States, including those of the social partners and other civil society actors, enabling refugees to exercise their rights under the Temporary Protection Directive.
ArticleDisclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.