Details:
On Thursday 7 November 2024, the Luxembourg Institute of Socio-Economic Research (LISER) together with the Musée vun der Aarbecht (MUAR) will host a seminar “Self-employed workers in Luxembourg: issues and solutions to the grey areas of the status” at the FERRUM Museum in Tétange, Luxembourg-Kayl (14 Rue Pierre Schiltz) from 19:00 until 21:00.
With the participation of STATEC, the Union des Entreprises Luxembourgeoises (UEL) and the Independent Luxembourg Trade Union Confederation (OGBL), this event will address the diversity, richness and importance of self-employed workers for the Luxembourg economy. The deviations of this status and the fair solutions to better regulate this area will also be discussed.
The resilience and dynamism of the economy of Luxembourg is mainly based on the financial sector. This strength is also due to its international character, its spirit of innovation in many sectors, as well as its workforce, including self-employed workers. While this status offers flexibility and autonomy, the evolution of contractual relations as well as certain statutory imprecisions lead to abuses that are illustrated through the phenomenon of false self-employed workers and raises questions about social rights and the protection of workers, as well as the evolution of the Luxembourg social model.
A growing sector, but fragile in the face of abuse
Luxembourg, with its dynamic sectors such as finance, technology and construction, attracts more and more self-employed workers. According to Luxembourg’s General Inspectorate of Social Security (IGSS) there are now nearly 29,000 self-employed workers in the country, playing a key role in the economy. However, many find themselves in a situation of great vulnerability and are in a relationship of economic subordination to a single client or employer. Described as "false self-employed", they are often forced by companies to circumvent the legal constraints of employment, thus finding themselves in a legal grey area, deprived of the essential protections of salaried workers.
False self-employed workers: a threat to the Luxembourg social model
The subject of false self-employed workers is complex and covers several crucial issues for social justice and fairness on the labour market in an increasingly flexible and competitive market:
- Lack of social protection: False self-employed workers do not benefit from the same protections as employees, such as the right to unemployment, paid leave or an adequate pension. This situation creates unequal treatment between workers in the country.
- Economic insecurity: Excessive dependence on a single client, which exposes workers to increased financial instability.
- Social dumping: Companies avoid contributions and taxes related to the hiring of employees, creating unfair competition and weakening the financing of the social system.
Ongoing initiatives and reforms for a safer future
The Luxembourg government has already recognised the scale of the problem of false self-employed workers and initiated certain reforms to strengthen the regulation of this area. In collaboration with the Labour and Mines Inspectorate (ITM), several investigations have been conducted to reclassify certain contracts as employee employment contracts, in cases where elements of subordination were evident.
In addition, UEL and other sectors have also expressed their support for better regulation, stressing the importance of clarifying the criteria for independence to avoid abuses.
This seminar is being conducted as part of the work carried out for EUROFOUND, with the aim of raising awareness of the specific challenges faced by the self-employed.
To register for this event, see https://www.liser.lu/?type=module&id=116&tmp=3207
Venue: FERRUM Museum in Tétange, Luxembourg-Kayl (14 Rue Pierre Schiltz)
Organiser: Luxembourg Institute of Socio-Economic Research (LISER) together with the Musée vun der Aarbecht (MUAR)
Price: n/a
Reservations: See above
