What’s the jobs outlook in Luxembourg in 2023?

How is Luxembourg Job Market in 2023?

Luxembourg is one of the high-income countries in the world that has attracted millions of job seekers. Luxembourg has the EU’s highest national minimum wage. The country has a strong labor market. The number of jobs made available in the country is also quite large.

In the summer of 2022, Luxembourg had a record 13,600 job positions open in its job market across industries. The country depends on international job seekers a lot to fill the country’s job vacancies.

Close to 50 percent of Luxembourg’s population is populated by foreign nationals. In 2022, there was an increase of 0.8% in paid employment in Q2 of 2022. Over the year, the increase in paid employment in 2022 was 3.6 percent. In Q2 of 2022, the number of employees in Luxembourg was 471,502 people. In the three months in Q2, there was an increase of 3,769 workers in the country.

The number of employed people working in Luxembourg rose from 505,670 in September 2022 to 509,651 in October 2022.

Of the total workers in Luxembourg in Q2 of 2022, there were 220,641 workers arrived from overseas destinations. There has been a rapid increase of 1.2 percent in the number of residents in the country between Q1 and Q2 of 2022. There was also an increase of 14.7 percent in the number of non-EU residents in Luxembourg over the course of a year from 2021.

The major areas in Luxembourg where job availability is among the highest include:

• Luxembourg
• Esch-sur-Alzette
• Dudelange
• Schifflange
• Bettembourg
• Pétange
• Strassen
• Bertrange
• Belvaux

By the end of 2022, the GDP in Luxembourg could reach USD71.50 billion. The projection for the year 2023, is to reach around USD71.50 billion. By the end of Q3 of 2022, the GDP is expected to grow by 0.30 percent. The same is projected to be around 0.50 percent in 2023 and 1 percent in 2024.

Luxembourg’s GDP per capita could reach USD111,500 by the time 2022 ends. The projection of GDP per capita for the year 2023 is USD 111,500.

In October 2022, the unemployment rate was 4.9 percent. In 2023, the unemployment rate projection is around 5.50 percent. The same for 2024 is projected as 5.40 percent.

The standard work week in Luxembourg is 8 hours a day and 40 hours a week. If you work over 6 hours a day, you could take a period of rest which can be unpaid or paid. It’s in fact typically a lunch break.

If you are a nursing mother, you could take two 45-minute breaks for breastfeeding your child on a workday. Pregnant/breastfeeding women also get an exemption from working at night work, as per the stipulation by the protection scheme of the Government of Luxembourg.

Employees may work up to 10 hours a day or 48 hours a week. The additional hours worked are counted as overtime.

The overtime you work is compensated by providing you with additional periods of rest. This would be one and a half hours for each hour of overtime you worked. This could become a time savings account. That will allow you as an employee to save up your overtime as well as days of leave. You can utilize them flexibly for your days off.

Jobs outlook in Luxembourg, 2023

It would be interesting to look at the jobs outlook for 2023 with the job market trends in 2022 in the background. Here are the top occupations in Luxembourg in 2022. But before you go through the list, you must learn that a good annual salary in Luxembourg is around €66,000.

Job role	Average annual salary (in Euro)
Healthcare
Surgeon	144,000
Orthodontist	52,080
Nurse	60,250
Education
Teacher	61,000
IT
IT Tester	125,300
Software Programmer	130,000
Finance
Accountant	57,500
HR
HR Professional	66,000
Engineering
Engineer	61,450
Others
Pilot	120,000

Apply for a Luxembourg work visa

Step 1: Check your eligibility

If you are a third-country national who has a legal resident status in another EU member state or a nation considered as one, you will have to go through the labor market test. Your employer in Luxembourg makes a declaration about the vacant job position with the National Employment Agency (ADEM). This will enable ADEM to verify whether the vacant job position can be filled by a person who’s available in the national/European labor market.

If you are a highly qualified employee, you won’t have to go through the labor market test. However, the employer has to declare the vacant job position.

Here, highly-qualified workers are defined as third-country nationals who

• have a contract of employment for a highly qualified job position with a term of at least one year
• have a document to prove that they have the high professional qualifications needed for the sector/activity mentioned in the contract of employment or that they satisfy the requirements to do the regulated job mentioned in the contract of employment
• receive a salary that’s at the minimum 1.5 times the average gross annual salary or 1.2 times the same for certain professions.

If ADEM can’t offer a candidate with the required kind of profile within 3 weeks, it’s allowed for the employer to ask ADEM to issue a certificate that permits them to go ahead with the recruitment of the individual they choose.

The employer has to sign a contract with you. The contract may have a “let-out” clause that specifies that the contract for employment won’t be in effect until the work visa is obtained.

Then the employer has to provide the original certificate issued by ADEM to you. The employer must enclose it along with their application for a work permit.

Step 2: Choose your work visa

Here are the types of work visas in Luxembourg that are meant for third-country nationals:

• Type C - Short stay: This visa enables people to stay in the Schengen area for a period of 90 days without interruptions or in stages that add up to 90 days over 180 days. The use of this visa is typical for conferences, business trips, family visits, and meetings.
• Type D - Long stay: This visa is beneficial for foreign nationals wanting to travel to Luxembourg for a period exceeding three months for education, work, or permanent settlement. Highly qualified employees, salaried workers, students, self-employed workers, and au pairs use this visa commonly.
• EU Blue Card: It’s useful for third-country nationals who want to work in Luxembourg for over three months in the capacity of highly qualified workers. They can apply for the EU Blue Card which requires a special procedure. This visa provides distinct benefits.

Step 3: Arrange a checklist of requirements

Here are the documents necessary to apply for a work visa in Luxembourg

• a copy of your valid passport
• a copy of an authorization to stay in Luxembourg issued by another member state of the EU or a country considered as one (Liechtenstein, Iceland, Switzerland, Norway)
• a recent certificate of residence or household composition certificate from your country of residence
• your CV
• a copy of your diplomas/professional qualifications
• a copy of the contract for employment that complies with the labor law of Luxembourg signed and dated by both the employer and applicant
• the recent, original certificate issued by ADEM authorizing the employer in Luxembourg to recruit the person of their choice for the declared vacancy for the job
• wherever applicable, a recent certificate of affiliation; it has to be directed to the Joint Social Security Centre of Luxembourg for the registered spouse/ partner/parent (ascendent)
• a power of attorney (if necessary)

Step 4: Apply for Luxembourg Work Visa

In case you are applying for a work visa for the long term, you should first request a temporary authorization of stay. This must be done with the Immigration Directorate of the Luxembourg Ministry of Foreign and European Affairs.

You may then proceed to apply for your long-term visa. It depends on the purpose of the visa and what steps and documents are needed for the long-term visa. It’s recommended that you research the requirements of the particular type of visa you have applied for.

In case you are applying for a short-stay visa like a Schengen Luxembourg visa, you should follow the general steps to apply for the visa. The procedure may be different based on various factors. Those will include the type of visa and the destination of the application.

Here are the steps to apply for a Luxembourg work visa:

1. Prepare your application for the work visa.
2. Choose the duration of your work visa. Here, you must find out and fix which type of Schengen visa will be required to meet your needs. It’s this decision that will influence the further steps in the application process.
3. Select your entry category. This implies the selection between the single-entry/multiple-entry visa for Luxembourg. The type of entry visa you obtain will decide whether you may travel in and out of Luxembourg/Schengen area all through the validity period of your visa. If you have a single-entry visa, you won’t be able to re-enter Luxembourg after you have exited it.
4. Decide where to file the application. Find the physical location where you have to submit your application for a work visa. Typically, this would be the Embassy/Consulate of Luxembourg or an associated VAC (Visa Application Center) nearest to where you reside currently.
5. Fill out your visa application. This step involves getting your main application as well as the necessary documents ready for submission.
6. Fix an appointment for your visa interview. As other visa applicants need, you must also attend a visa interview. You must do it at your application destination.
7. Attend your visa interview. During the interview, you are required to submit your biometric information, get interviewed, pay your visa fee, and meet any other visa requirements you must fulfill in person, corresponding to your type of work visa. Typically, this is the last stage of the process of a Luxembourg work visa application. Once the interview is done, you will have to wait for the result.

The time taken for the whole process depends on

• How complete is your visa application
• The type of visa
• The destination of the application
• Your nationality

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