Migration in Luxembourg: specific features and differences compared to the EU
Eurostat has prepared an extensive study on foreigners in EU countries. Luxembourg received special interest as the country with the highest percentage of expats from hundreds of countries worldwide. Most of them are from the EU, but many visitors are from Asia, Africa, and the CIS.
Luxembourg is quite small and it is not difficult to collect statistics, but it is not less interesting. For example, in 2022 the country issued 1011 residence permits based on the Blue Card. This is a relatively small number in absolute terms, but it is worth considering the high requirements and specifics of working in Luxembourg. In such conditions, 1,000 Blue Cards are less than 63,000 issued in Germany.
Another important indicator was the high qualification of Luxembourg's guests, as well as the country's high requirements for the incoming skilled workers. Luxembourg has the lowest number of overqualified workers in the EU. A professional is considered to be overqualified when his or her skills and education significantly exceed those required for the position he or she holds. There are only 12% of such people in the country. This means that 88% of the working population has a level of education commensurate with the position they hold.
And it is worth noting that employment of non-EU nationals has increased significantly over the course of the pandemic, from 64% in 2020 to 72% in 2022.
How to move to Luxembourg with a Blue Card and a regular work visa
Two other measures increased during the pandemic: median income and homeownership rates.
The median income shows a curious pattern: expatriate incomes are rising while native incomes are falling. For example, EU nationals and third-country nationals increased their incomes from 26,000 and 22,000 purchasing power standards to 32,000 and 26,000, respectively. At the same time, the incomes of nationals increased from 32,000 to 36,000 from 2020 to 2021 and decreased to 35,000 PPS from 2021 to 2022.
When it comes to home ownership, citizens of the Grand Duchy and EU countries are remarkably stable: 85% of the local population and almost 60% of EU citizens own a home. At the same time, in the expat community, the figure has increased from 36% in 2020 to 55% in 2022.