According to the Luxembourg's Labour Code, wage indexation
is a matter of public order provision. This means that it applies
to all employees, regardless of their salary level. Employers are
legally obliged to comply with this wage increase.
Based on provisional results published by
STATEC (Luxembourg's National
Institute of Statistics and Economic Studies), the annual inflation
rate of the national consumer price index stands at 1.7% for the
month of April 2025. As a result, it triggers a new indexation.
Consequently, the new applicable value of the wage index scale
is set at 968.04 points (formerly 944.43 points) and will
come into effect on 1 May 2025.
Effective from that date, a 2.5% increase will be
required for all salaries, wages, and pensions.
