The minimum annual salary needed to hire highly qualified third-country workers in Luxembourg was significantly reduced on 1 July 2024.
The law of 4 June 20241 simplified and improved the conditions of residence for highly qualified third-country workers who want to move to Luxembourg for work under an EU Blue Card (see our Newsflash from 1 July 2024).
In line with this law, and to also attract more foreign talent to Luxembourg (while guaranteeing the implementation of Directive (EU) 2021/18832 on the conditions of entry and residence of third-country nationals for the purpose of highly qualified employment), Luxembourg has significantly reduced the required minimum salary level for these workers to be able to obtain an EU Blue Card in Luxembourg (as a reminder, this salary level had recently been increased – see our Newsflash of 25/03/2024).
The Grand Ducal regulation of 20 June 2024,3 published on 27 June 2024, (the Regulation) stipulates that the threshold for minimum salary now cannot be lower than the gross average annual salary, which is currently set at EUR 58,968 by the Ministerial regulation of 15 March 20244.
Therefore, there is no longer a distinction between employment industries for highly qualified workers and the two previous thresholds of 1.2 and 1.5 times the gross average annual salary have been abolished.
The new thresholds are as follows:
In addition to this level of remuneration, to be considered as a highly qualified worker, the third-country national must have an employment contract with a minimum duration of six months and must either have the higher professional skills required to exercise their non-regulated profession or fulfil the conditions required to exercise a regulated profession, as detailed in the employment contract.
The Regulation also specifies that when the Ministry of Immigration carries out an evaluation on whether the holder of the EU Blue Card has sufficient personal finances for the purposes of withdrawal of or refusal to renew the EU Blue Card, they must also take into account the potential contributions of the applicant's family members to household income.
These new thresholds and the provisions on the evaluation of a highly qualified worker's personal finances are applicable from 1 July 2024.
Footnotes
1. Law of 4 June 2024 amending the amended law of 29 August 2008 on the free movement of persons and immigration.
2. Directive (EU) 2021/1883 of the European Parliament and of the Council of 20 October 2021 on the conditions of entry and residence of third-country nationals for the purpose of highly qualified employment, and repealing Council Directive 2009/50/EC.
3. Grand Ducal regulation of 20 June 2024 amending:
- the Grand Ducal regulation of 5 September 2008 defining the criteria for financial resources and accommodation provided for by the law of 29 August 2008 on the free movement of persons and immigration;
- the Grand Ducal regulation of 5 September 2008 implementing certain provisions concerning the administrative formalities provided for by the law of 29 August 2008 on the free movement of persons and immigration;
- the Grand Ducal regulation of 26 September 2008 determining the minimum salary level for a highly qualified worker by implementing the law of 29 August 2008 on the free movement of persons and immigration.
4. Ministerial regulation of 15 March 2024 setting the average gross annual salary as defined by the Grand Ducal regulation of 26 September 2008 determining the minimum salary level for a highly qualified worker by implementing the law of 29 August 2008 on the free movement of persons and immigration.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.