Luxembourg: Increase Of The Minimum Wage

Last Updated: 12 July 2019
Article by Louis Berns, Philippe Schmit and Louisa Silcox

On 25 June 2019, the draft law n° 7416 amending Article L. 222-9 of the Labour Code and increasing the minimum social wage by 0.9%, was approved by the Chamber of Deputies.

The soon-to-be published new legal provisions entail that the minimum wage for unskilled workers will rise from 2,071.10 EUR gross (index 814.40) to 2,089.75 EUR gross (index 814.40). This 0.9% increase will apply retroactively to 1 January 2019.

Together with the previous 1.1% increase of the minimum wage as well as the minimum wage tax-credit system as adopted under the 2019 budgetary law, this new measure represents the last step towards achieving the 100 EUR net minimum wage increase with effect from 1 January 2019.

Employers will bear about one third of the costs of such measures, while the remaining two thirds will be compensated by the Luxembourg state through the predicted minimum wage tax-credit system.

As the minimum wage tax-credit and the 0.9% increase in the minimum social wage both apply retroactively to 1 January 2019, nearly 60,000 employees in Luxembourg will receive an additional net amount of around 600 EUR with their July 2019 salary.

On the same day, the Chamber of Deputies also voted to increase the social inclusion income (REVIS) and the allowance for severely disabled employees (RPGH).

Our experts would be delighted to reply to any further query or to discuss in greater detail as may be required.

Augmentation du salaire minimum social

Nouvelle augmentation de 0.9% du salaire minimum social : dernière étape pour réaliser l'augmentation du salaire social minimum de 100 EUR net avec effet au 1er janvier 2019

Le 25 juin 2019, le projet de loi n°7416 portant modification de l'article L. 222-9 du Code du travail et augmentation du salaire social minimum de 0,9% a été voté à la Chambre des députés.

Sous l'effet de ces nouvelles dispositions légales qui seront publiées dans les prochains jours, le salaire social minimum pour salariés non-qualifiés passera de 2.071,10 EUR brut (indice 814,40) à 2.089,75 EUR brut (indice 814,40).

Cette augmentation de 0,9% s'appliquera rétroactivement au 1er janvier 2019.

Prise ensemble avec la dernière augmentation de 1,1% du salaire minimum social avec effet au 1er janvier 2019 et le système d'un crédit d'impôt salaire social minimum adopté dans le cadre de la loi budgétaire de 2019, cette nouvelle mesure constitue la dernière étape pour réaliser l'augmentation du salaire social minimum de 100 EUR net avec effet au 1er janvier 2019.

Les employeurs supporteront environ un tiers des coûts de ces mesures, tandis que les deux tiers restants seront compensés par l'État luxembourgeois par le biais du prédit système de crédit d'impôt salaire social minimum.

Etant donné que le crédit d'impôt salaire social minimum et l'augmentation de 0,9% du salaire social minimum s'appliquent rétroactivement au 1er janvier 2019, près de 60.000 salariés au Luxembourg percevront environ 600 EUR en plus sur leur salaire du mois de juillet 2019.

Le même jour, la Chambre des députés a également voté l'augmentation du revenu d'inclusion sociale (REVIS) et de l'allocation pour les employés gravement handicapés (RPGH).

Notre équipe se fera un plaisir de répondre à toute question ou de discuter plus en détail si nécessaire.

Erhöhung des sozialen Mindestlohns

Weitere Erhöhung um 0,9% des sozialen Mindestlohns: letzter Schritt zur Erreichung der Erhöhung des sozialen Mindestlohns um 100 EUR netto mit Wirkung zum 1. Januar 2019.

Am 25. Juni 2019 wurde der Gesetzentwurf Nr. 7416 zur Änderung von Artikel L. 222-9 des Arbeitsgesetzbuches und zur Erhöhung des sozialen Mindestlohns um 0,9% von der Abgeordnetenkammer erfolgreich beschlossen.

Durch diese neuen gesetzlichen Bestimmungen, die in den nächsten Tagen veröffentlicht werden, steigt der soziale Mindestlohn für Hilfsarbeiter von 2.071,10 EUR brutto (Indexstand 814,40) auf 2.089,75 EUR brutto (Indexstand 814,40). Diese Erhöhung um 0,9% gilt rückwirkend zum 1. Januar 2019.

Zusammen mit der letzten Erhöhung des sozialen Mindestlohns um 1,1% zum 1. Januar 2019 und dem nach dem Budgetgesetz 2019 beschlossenen Steueranrechnungssystem für soziale Mindestlöhne, stellt diese neue Maßnahme den letzten Schritt zur Erreichung der Erhöhung des sozialen Mindestlohns um 100 EUR netto zum 1. Januar 2019 dar.

Die Arbeitgeber werden etwa ein Drittel der Kosten dieser Maßnahmen tragen, während die restlichen zwei Drittel vom luxemburgischen Staat über das vorgenannte System der Steueranrechnung für soziale Mindestlöhne ausgeglichen werden.

Da die Steuergutschrift für den sozialen Mindestlohn und die Erhöhung des sozialen Mindestlohns um 0,9 % rückwirkend zum 1. Januar 2019 gelten, erhalten fast 60.000 Arbeitnehmer in Luxemburg rund 600 EUR zusätzlich zu ihrem Gehalt im Juli 2019.

Darüber hinaus hat die Abgeordnetenkammer noch am selben Tag die Erhöhung sowohl des Einkommens zur sozialen Eingliederung (REVIS) als auch der Entschädigung für schwerbehinderte Arbeitnehmer (RPGH) beschlossen.

Unsere Experten stehen Ihnen für weitere Fragen und Diskussionen gerne zur Verfügung.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

To print this article, all you need is to be registered on Mondaq.com.

Click to Login as an existing user or Register so you can print this article.

Authors
 
Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
 
Related Articles
 
Up-coming Events Search
Tools
Print
Font Size:
Translation
Channels
Mondaq on Twitter
 
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions

Mondaq.com (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of www.mondaq.com

To Use Mondaq.com you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.

Disclaimer

The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.

General

Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions