Luxembourg -Wage indexation limitation approved in parliament -February 15, 2012

The parliament voted on 31 January 31 for a limitation of the wage index. Tripartite negotiations came to a halt in December 2011. Trade unions did not accept proposals put forward by the employers on the introduction of a 2-year moratorium, a modulation of wage indexation, a study to analyse the legitimacy of wage setting suspension and a revision of the minimum wage. The government then stipulated a temporary modulation of wage indexation for 2012-2015. For this period, salaries to be indexed in accordance to inflation are augmented only once a year. An interval of 12 months is to be respected between each index payment. The payment due initially in March 2012 (as inflation is still high) is postponed to October 2012 while a next forecasted index payment, if applicable, is postponed to October 2013 at the earliest. Social minimum salary is not frozen as demanded by employer’ associations, but will continue to rise with a next augmentation on 1 January 2013.



This article was published in the Collective Bargaining Newsletter. It aims to facilitate information exchange between trade unions and to support the work of ETUC's collective bargaining committee. For more information, please contact the future editor – as from the March 2012 issue – Jan Cremers, at the Amsterdam Institute for Advanced Labour Studies (AIAS), or Mariya Nikolova, communications officer at the ETUI. The editor of this issue was Maarten van Klaveren, For previous issues of the Collective bargaining newsletter please visit You may find further information on the ETUI at, and on the AIAS at © ETUI aisbl, Brussels 2012. To unsubscribe, please contact Mariya Nikolova.

News Archive