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Luxembourg – Minimum social wage increase on 1 january 2021?

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Luxembourg – Minimum social wage increase on 1 january 2021?

December 3, 2020 - < 1 min

A bill of November 24th provides that as of January 1st  2021, the minimum social wage will be increased by 2.8 %.

This means that the new monthly minimum statutory wage for non-qualified employees will be 2.201,93 € gross (12.7279 € per hour) and the monthly minimum statutory wage for qualified employees will be 2.642.32 € gross (15.2735 € per hour).

Wages above the minimum statutory wage will however not be increased (as there is no general indexation).

This will also impact other amounts, such as the social security ceiling, the long-term care insurance abatement or the tax exemption for settlement indemnities.

As soon as these changes are official, we will inform you.

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