Minimum wage increased by 1.3%

Download article in original language : LU9901190NFR.DOC

As of 1 January 1999, Luxembourg's statutory minimum wage has been increased by 1.3%, in the light of developments in the economy and incomes.

Luxembourg's statutory minimum wage has been increased by 1.3% from 1 January 1999.

The statutory minimum wage (salaire social minimum) applies to all employees in all occupations and in all enterprises, employed by an employer under a contract of employment on Luxembourg's territory. Minimum rates are determined on the basis of age and qualifications. Employees who are aged 18 and above are entitled to the full amount, with a lower rate applied to younger workers. The minimum wage for skilled workers is enhanced by 20%. This applies to those whose occupation requires a vocational qualification acquired by education or training which leads to an official certificate of a standard at least at the secondary technical education level - ie, the Certificate of Technical and Professional Aptitude (Certificat d'aptitude technique et professionnelle, CATP). There are also possibilities for workers to be classified as skilled if they have a certain number of years of employment in a job that requires a standard of technical skill.

Every two years, the government submits to the Chamber of Deputies a report on developments in the economy and incomes, accompanied, where necessary, by draft legislation raising the level of the minimum wage. It was this mechanism which triggered the increase of 1.3% from 1 January 1999, bringing the basic monthly rate of the minimum wage to LUF 46,878 (EUR 1,162).