Working life country profile for Luxembourg

This profile describes the key characteristics of working life in Luxembourg. It aims to provide the relevant background information on the structures, institutions, actors and relevant regulations regarding working life.

This includes indicators, data and regulatory systems on the following aspects: actors and institutions, collective and individual employment relations, health and well-being, pay, working time, skills and training, and equality and non-discrimination at work. The profiles are systematically updated every two years.

This section examines recent developments in industrial action, indicating the number of working days lost to strikes. It discusses the legal and institutional – both collective and individual – mechanisms used to resolve disputes and the circumstances in which they can be used.

Luxembourg’s Constitution states: ‘Trade union freedoms are guaranteed. The law shall organise the exercise of the right to strike.’ The right to commence strike action is subject to the observation of preliminary conciliation procedures. Every industrial dispute arising in a company must be referred – before any stoppage or cessation of work – to the National Conciliation Office (Office National de Conciliation, ONC). When the conciliation process has been exhausted, the ONC draws up a memorandum stating the points still in dispute. Once non-conciliation is declared, the parties in conflict may still refer the dispute to arbitration by a chairperson nominated by the government. Once the arbitrator is designated, both parties have the freedom to accept or reject them. If they accept the arbitrator, they are obliged to accept the decision of the arbitrator. Otherwise, if attempts at conciliation and arbitration prove unsuccessful, strike action may be initiated lawfully, and an employee’s participation in such a strike does not constitute grounds for dismissal. Furthermore, striking on issues regulated by a collective agreement is not allowed during the period of validity of a collective agreement. Apart from strikes, which are extremely rare in Luxembourg, other industrial disputes consist mainly of demonstrations. No data on strikes in Luxembourg have been published for several years.

Collective dispute resolution mechanisms

The industrial relations culture is based on trust and discussion between the social partners. A report by the Centre for Population, Poverty and Public Policy Studies (CEPS)/Instead (Rey, 2010) stresses the low number of industrial disputes in Luxembourg. All four studies quoted by CEPS/Instead show an absence of collective action and strikes. The report explains that this ‘social peace’ is the result of various means of dispute resolution, such as conciliation facilitated by the ONC (see the section ‘Legal aspects’). If the conciliation before the ONC is unsuccessful, it is possible for the social partners to request the designation of an arbitrator.

Individual dispute resolution mechanisms

An employer or employee may ask the ITM to resolve an individual industrial dispute. If the parties agree to accept the recommendation resulting from conciliation, the dispute is considered resolved (Labour Code, Article L. 652-1). However, such initiatives are rare, and no data are available.

Use of alternative dispute resolution mechanisms

In its annual report, the Ministry of Labour provides data about the number of cases of collective disputes examined by the National Conciliation Office.

Number of cases using alternative dispute resolution mechanisms, 2012–2021

 2012201320142015201620172018201920202021
Conciliation (ONC)76824916944

Note: ONC, National Conciliation Office.

Source: Annual reports published by the Ministry of Labour

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