Luxembourg will need another 270,000 workers by 2030, according to the Chamber of Commerce’s estimates, a figure that worries the industrial sector, artisan businesses and the banking industry.
Foreign workers make up 70% of Luxembourg’s 460,000-strong labour force, with 210,000 crossing the border daily for work.
“The Greater Region has already been grazed”, the media RTL said in an article, referring to Wallonia in Belgium, Lorraine in France, and the Saarland and Rhineland-Palatinate in Germany.
However, while the country has gradually lost its attractiveness among foreign and local talents due to rising living and housing costs, as well as increased congestion.
“Young and well-educated Luxembourgish people are very attracted to the public sector and its high starting salaries”, Karin Scholtes from the International Luxembourg Bank (BIL) explained.
Because of this, private companies are refraining from training young talent, fearing they will leave for the public sector as soon as the opportunity arises – a situation that has led to companies claiming compensation in some cases.
But salaries are not the only factor that would increase Luxembourg’s attractiveness, according to Employment Minister Georges Engel who also cites better work-life balance, shorter working hours and more leisure time.
“Within the framework of current labour law and the number of hours that must be worked, companies already have a great deal of leeway”, Engel stressed.
While employers oppose reducing working hours, the Chamber of Commerce suggests implementing better tax advantages for young talents.
(Luka Krauss| EURACTIV.com)
Source: euractiv.com
