Luxembourg PEO Services

An economic powerhouse with a small-town flair

This cosmopolitan country is strategically landlocked between the EU’s main consumers: France and Germany. In fact, 60% of the EU’s GDP can be reached within a one-hour flight. Its location and friendly corporate tax system encourage many international businesses to settle here.

Luxembourg is home to a vast array of picturesque landscapes, quaint towns, and spectacular fortresses. What’s more, you can see all the sites using their free public transport system. Yes, you read that right - free!

Expats here are in safe hands as Luxembourg is home to some of the world’s best healthcare and educational systems, and crime rates are impressively low. Taking all of this into account, it is no surprise that this nation is one of the most popular destinations for expats, with foreign nationals making up almost half of the population.

There are fruitful opportunities to grow your business here, but many are put off by the complexity of international regulations. By partnering with Procorre Global, we can ensure a compliant and smooth start to expanding your business into one of the richest countries in the world. We can guarantee that employees will be deployed efficiently and quickly with everything they’ll need to deliver excellence.

Working in Luxembourg

Strict labour laws mean that workers can enjoy a great work-life balance. This country often comes out on top for having some of the best working conditions in the world.

Working hours

Standard working hours in Luxembourg are 8 hours per day and 40 hours per week. In certain situations, working hours can be extended but they cannot exceed 10 hours per day or 48 hours per week.

Minimum Wage Requirements

The minimum wage in Luxembourg is the highest in the EU, at around €2,313 per month.

Public Holidays

There are 11 public holidays in Luxembourg. These include:

  • New Year’s Day
  • Easter Monday
  • Labour Day
  • Europe Day
  • Ascension Day
  • Whit Monday
  • Luxembourg National Holiday
  • Assumption Day
  • All Saints’ Day
  • Christmas Day
  • Stephen’s Day

(Please note that the above list does not include regional holidays)

Paid Leave

Luxembourg is one of the most generous countries for paid leave. Each worker is entitled to a minimum of 26 days per year.

Sick Leave

The employee is paid their full pay (benefits included) from the day the employer is notified. Employees must provide a doctor’s note on the third day of sickness. Any longer than 77 days of sickness, then the social security system will cover their sick pay.

Paternal Leave

Luxembourg offers some of the best conditions for expecting parents. Paid leave for mothers starts at 8 weeks before birth and lasts up to a maximum of 12 weeks after birth. Employees receive an allowance that is equal to their salary but capped at five times the minimum wage. Fathers are allowed to take up to 10 days of paternity leave and receive their full salary from their employer.

Notice Periods

Notice periods depend on the length of service. If employed for less than five years, employees are required to give up to 2 months’ notice. For more than 10 years of service, they will be required to give up to 6 months’ notice.

Social Security

Employees and employers contribute around 26% of the worker’s salary to the social security system, paying approximately 13% each.

Visas

EU citizens (and residents of Norway, Iceland, Liechtenstein, and Switzerland) are not required to have a work permit to live and work in Luxembourg. However, if staying for over 90 days, they will need to register at a Municipal Office. Non-EU citizens will need to receive a work permit.

Cultural Information

Generally, residents in Luxembourg value discipline and autonomy. They are also very conscious of keeping their surroundings clean, and this is demonstrated by how pristine their streets are.

Multilingualism is a very important aspect of life in Luxembourg, with the average citizen speaking 3.6 languages - the highest of any country in the EU. The three official languages are Luxembourgish, French, and German. In addition to these languages, English is used extensively in the business community with almost the entirety of the population being fluent.

Luxembourg is a secular state, meaning it has no state religion. However, Christianity is the largest religion, followed by about 54% of its population. Other religions present are Protestantism, Judaism, and Islam. There is also a rising population of nonreligious residents.

The Luxembourg Market – Did you know?

  • In 1994, The Old Quarter of Luxembourg City was labelled a UNESCO World Heritage site to preserve its numerous historical buildings and fortifications.
  • It is the only country in the world to still have a Grand Duchy and the country’s official name is the Grand Duchy of Luxembourg.
  • For one of the richest countries in the world, this nation is even smaller than Rhode Island. Talk about small but mighty!
  • The motto of Luxembourg is Mir wëlle bleiwe wat mir sinn, meaning “We wish to remain what we are”.
TOP