Aware of the positive impact of training policies on growth and competitiveness, the Luxembourg Government intends to increase its financial contribution to continuing training in private companies. This measure specifically targets unskilled and older workers.

  • The Government plans to increase the current basic rate of financial support for training from 14.5 % to 20 % of salary costs. An additional 15 % will be granted in the case of the following two target groups:
  • unskilled employees (i.e. those without a diploma) with less than 10 years’ service in the company, and
    employees over 45 years (older workers).
    Raising the support rate should help to increase the rate of participation in training of both groups of employees, thereby improving their employability and contributing to higher productivity.

Since the Law came into force on 1 January 2000, with the aim of supporting and developing continuing vocational training, it has become increasingly popular. Companies that have so far received such State funding account for 46 % of all private sector employment in Luxembourg.