Trade unions condemned the course of the Luxembourg government

After months of negotiations between the government, unions and the Luxembourg Employers' Federation (UEL), the OGBL and LCGB unions officially declared the failure of the dialogue, ending on 3 September 2025 without an agreement. On the same day, the government announced the unilateral adoption of a series of controversial measures ranging from pension reform to changes to Sunday working rules in the retail sector.

One of the key points of contention was the idea of redistributing the right to sign collective labour agreements. Following pressure from trade unions and widespread public mobilisation - including a mass demonstration of over 25,000 people on 28 June - the government abandoned this initiative. The exclusive authority of national trade unions remains, while the structure and legal force of collective agreements will remain unchanged.

The government has retained its plan to increase Sunday working shifts in retail from 4 to 8 hours, but this is now only possible with a collective agreement - at least for companies with more than 30 employees.

It is worth noting that Prime Minister Luc Frieden was more positive commenting on the outcome of the talks. However, despite the concessions made, the OGBL and LCGB strongly condemn the way in which the government is implementing the reforms. They say the usual model of social partnership based on compromise between the state, business and workers has been replaced by an "I consult - and decide for myself" approach promoted personally by Prime Minister Luc Frieden.

The unions are talking about a paradigm shift and the beginning of the end of Luxembourg's traditional tripartite model. In response, they have promised to unite their structures and rapidly develop a strategy to counter the measures taken.