Salaries in Luxembourg depend on a STATEC study

STATEC has published new data from their recent study. According to it the annual inflation in Luxembourg will reach 6.6%. The inflation trend will continue into 2023. The results of the study may affect salaries in Luxembourg. In a few months the Grand Duchy may have to initiate a new indexation of wages.

According to STATEC, annual inflation will not just continue to rise this year. In 2023, it will grow by another 5.3%. The agency conducted an additional study for the underlying inflation without any short-term price fluctuations. By the end of 2022, it may amount to as much as 4%. That’s a record high level for the country. And yet the next year, STATEC says, will break this record again.

In March 2022, the Luxembourg government entered into a tripartite agreement with the trade unions UEL, LCGB and CGFP. The parties agreed to meet again if the economic and social situation in the country continues to worsen.

This meeting could take place in the fall. The government has asked STATEC for a prediction on the inflation rate for September. If the figure is high enough, the state and trade unions will have to sign a new agreement. And salaries in Luxembourg will be indexed again in order to better combat rising prices.