Employment in Luxembourg

Job seekers in Luxembourg commonly find work through ADEM, the public employment service, its ADEM JobBoard, direct applications, EURES or cross-border recruitment. ADEM registration provides access to personal guidance, job applications, training and other measures. Vacancies listed for registered job seekers remain exclusive to them for seven days; after that period, public offers can also appear through EURES. Direct applications to companies remain possible at any time. Employers report a vacancy to ADEM before hiring, and recruitment from a third country may require an ADEM certificate if no suitable registered candidate is found after three weeks. EU and EEA citizens and Swiss citizens generally use free movement rules and do not need a separate work permit for employment in Luxembourg. A stay of more than three months requires registration with the municipality under the applicable EU rules. A third-country national generally needs a temporary authorisation to stay before entering Luxembourg and may also need a type D visa. After arrival, the person reports arrival within three days and applies for a residence permit within three months. The first residence permit is limited to a maximum of one year, one profession and one sector. The residence-card fee is EUR 80. A third-country national living across the border needs a work permit before starting employment. The applicable procedure depends on nationality, residence, job and intended length of stay. An employment contract normally states the function, workplace, starting date, working time, pay, annual leave, notice period, probation period and additional benefits. An indefinite-term contract, called a CDI, is the normal form for a permanent staffing need. A fixed-term contract, called a CDD, is intended for a specific temporary task. A CDD normally may last up to 24 months including extensions and may usually be extended no more than twice. Seasonal work has a special maximum of ten months, while contracts for public research centres and researchers can have a special maximum of 60 months. Continuing to work after a CDD ends can convert the relationship into a CDI without a new probation period. A CDD that does not comply with the applicable rules can also be treated as a CDI. The employer should provide the written contract no later than the day employment begins, in two copies. An oral contract can be valid, but it is treated as an indefinite-term contract and leaves the worker with a greater risk of having to prove the agreed conditions. Check the function, workplace, start date, hours, gross pay, leave, notice period, probation period and benefits before signing. A regulated profession or a profession with special entry requirements may require a separate qualification or access check. The employer registers the worker with the Centre commun de la sécurité sociale, or CCSS, within eight days of the start of employment. The CCSS is Luxembourg's social-security administration. The social-security card is issued automatically, and coverage for sickness, accidents, pension and other branches begins from the first day of employment. The worker's social-security contribution is deducted from gross pay. Keep the contract, payslips, tax documents and CCSS certificates for later checks and applications. The Administration des contributions directes, or ACD, handles income-tax administration. After the CCSS registration, the ACD generally issues a tax card automatically to a resident worker, usually within about 30 working days. A non-resident worker in a first job generally applies for the tax card and may need form 164. The tax card and the social-security registration affect deductions from pay, but cross-border tax and social-insurance consequences require a separate check in the country of residence. Telework across borders can change those consequences. Pay is negotiated within the limits of Luxembourg's statutory social minimum wage. From 1 June 2026, at index 992.24, the minimum for workers aged 18 or over is EUR 2,771.33 gross per month or EUR 16.0192 gross per hour for unqualified work. The qualified rate is 20 percent higher: EUR 3,325.59 gross per month or EUR 19.2231 gross per hour. The rates for workers aged 17 to 18 are 80 percent of the adult unqualified rate, or EUR 2,217.06 gross per month, and the rates for workers aged 15 to 17 are 75 percent, or EUR 2,078.49 gross per month. Statutory indexation can increase pay when the legal index threshold is reached. The amount received in the bank account is lower than gross pay because social-security contributions and tax deductions are taken into account. The standard working time is eight hours per day and 40 hours per week. Within the applicable reference period, working time may reach up to ten hours per day and 48 hours per week, while the average may not exceed 40 hours per week. Overtime is compensated through payment or compensatory rest according to the applicable rules. Workers generally receive 26 working days of annual leave per year. Leave can normally be taken after three months of uninterrupted service. In the first year, leave is acquired at one-twelfth for each full month worked, and part-time leave is calculated proportionally. Luxembourg has 11 statutory public holidays per year. When a public holiday falls on a regularly non-working day, compensation is generally due within three months. Telework is voluntary and requires agreement between both sides. The arrangement should appear in the employment contract or a written amendment. Cross-border telework can affect tax and social-security treatment, so the worker should check the specific situation before relying on a home-working arrangement. Students may work under a CDD; during the school period, the average is generally limited to 15 hours per week or 60 hours per month, with a different rule for school holidays. A CDD ends when its term expires or its defined purpose is completed. An employee ending a CDI gives a clear and unambiguous notice, normally by registered letter or against acknowledgement of receipt. The employee's notice period is one month with less than five years of service, two months with five to less than ten years, and three months with at least ten years. If the notice reaches the employer before the 15th of the month, the period begins on the 15th of that month; if it reaches the employer on or after the 15th, the period begins on the first day of the following month. Unused leave remaining at the end of employment is paid out. On request, the employer issues a certificat de travail for every type of contract, stating the employment start and end dates, functions and periods worked. Cross-border workers may need this certificate for claims in their country of residence. Unemployment benefits and ADEM unemployment procedures belong to the adjacent unemployment topic, but the employment certificate can be a necessary transition document.