Luxembourg businessmen are nearing depression

More than a third of all businessmen expect a drop in profitability within the next six months. There are several reasons cited: difficulties in recruitment, inflation and increased energy costs.

But the most worrying indicator is the falling level of trust. “Now it’s at its lowest, even below the covid period. Back then people had hope that the vaccine would work and it would all be over. Now people don’t see any good prospects at all,” says Carlo Thelen, director of the Chamber of Commerce.

Even though unemployment in Luxembourg remains one of the lowest across Europe, many companies simply can’t find the right employee. The fact is that the overheated housing market simply doesn’t allow most people to rent an apartment. In the end, they have to do it across the border: in France, Germany or Belgium. This means spending close to an hour on the road to work. As well as a return trip every evening.

Roy Reding of the ADR party proposes to remove the ban on hiring people from outside the EU altogether. Technically, this is possible even now but requires a long and complicated bureaucratic procedure, which not every company can afford.