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EU PolicyWatch

Database of national-level policy measures

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-2024-27/3766 – measures in Luxembourg

Law of June 4, 2024 on the labour shortages

Loi du 4 juin 2024 sur la pénurie de main d'oeuvre

Country Luxembourg , applies nationwide
Time period Open ended, started on 01 July 2024
Context Labour Migration Management
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Other
Author Patrick Thill (LISER) and Eurofound
Measure added 18 April 2025 (updated 06 June 2025)

Background information

Employment Development Agency (Adem) has listed 24 occupations expected to experience shortages in the first quarter of 2024. IT, finance and healthcare are the sectors most affected. In a recent report, Adem announces that 24 professions are in short supply in Luxembourg for this first quarter. The Act of June 4, 2024, in force since July 1, 2024, aims to remedy this problem (shortage of skilled labor) and support employers looking for highly qualified workers.

Content of measure

The aim of the new legal framework is to make the EU Blue Card more attractive to highly qualified third-country nationals wishing to work in the Grand Duchy of Luxembourg or any other EU member state. The main objectives of this law are as follows: • simplifying administrative procedures for highly qualified third-country nationals wishing to work in the Grand Duchy of Luxembourg, • strengthening their rights during unemployment, • speeding up their professional integration, • facilitating their mobility within the European Union, and • simplifying procedures for family reunification.

This new legislation, which transposes Directive (EU) 2021/1883 on the conditions of entry and residence of third-country nationals for the purposes of highly qualified employment, and amends the Law of August 29, 2008 on the free movement of persons and immigration, represents significant progress.

Use of measure

No data available yet.

Target groups

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

Actors and funding

Actors Funding
National government
No special funding required

Social partners

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:

  • No involvement
  • Main level of involvement: N/A

Involvement

The social partners are not involved in the drafting of legislation. They can express an opinion, but this does not have the effect of bringing about a change. Only the Chambers can give an opinion on draft legislation

Views and reactions

Union des Entreprises Luxembourgeoises (UEL) welcomes this legislative initiative, as it considers the attraction of talent to be a priority

Sources

Citation

Eurofound (2025), Law of June 4, 2024 on the labour shortages, measure LU-2024-27/3766 (measures in Luxembourg), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/LU-2024-27_3766.html

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