Pension reform in Luxembourg: trade unions announce mobilisation against 'anti-social' project

Contrary to expectations and without any concrete promises in the election programmes or coalition agreement, the Luxembourg Prime Minister last week officially announced the upcoming pension reform, which, according to trade unions, represents a frontal attack on solidarity and social justice.

The key change is a substantial increase in the length of compulsory service for a full pension. This is not only contrary to the proposals put forward in the consultation by the trade unions, but also goes against the views of the majority of the population: polls show that the public would rather see an increase in contribution rates than an increase in length of service.

The move means that all current and future workers, including civil servants, will have to work longer hours in order not to lose out on their pensions. This will particularly affect the younger generation, which is already suffering from high housing prices, instability in the labour market and reduced purchasing power.

Trade unions point out that the minimum pension, on which women in particular depend, will not be indexed despite the continuing rise in prices. This pension no longer provides a decent standard of living in one of the most expensive countries in Europe.

In addition, the 2012 reform, which introduced an "adaptation mechanism" and froze the increase in current pensions, remains in place. This means that current pensioners are also at risk of losing their purchasing power.

As for civil servants who, according to the ruling coalition, allegedly could have been excluded from the reform - it has now been confirmed that they will be affected on an equal footing with the private sector.

The trade union front OGBL-LCGB sees the situation as a destruction of the principle of intergenerational solidarity and calls not only on the young, but also on all those who are in solidarity with future generations - to come out for a mass demonstration on 28 June in Luxembourg.

"We extend our hand to all organisations and citizens who do not agree that the future of pensioners should be built on the sacrifices of some and the silence of others," the statement said.