The shortage of skilled workers has become a serious issue for Luxembourg's economic development. The IT sector is particularly affected, but other industries such as healthcare, engineering services, the financial sector, and various segments of the construction industry are also desperately seeking workers.
To address this issue and assist companies in hiring foreign skilled workers, the new law of August 7, 2023* introduces significant changes to the employment of third-country nationals.
Easier access to the job market for third-country nationals already residing in Luxembourg The new law aims to significantly simplify the employment of third-country nationals already residing in Luxembourg. Family members of third-country nationals legally residing in Luxembourg will now have unrestricted access to the job market and will no longer require work permits.
The procedure for approving temporary employment (AOT) will also be expedited. For asylum seekers whose process has not been completed after six months, as well as for individuals whose deportation has been postponed or canceled, ADEM will no longer conduct a job market test when granting approval for temporary employment.
Simplification of procedures for hiring third-country nationals not yet residing in Luxembourg Companies looking to hire a third-country national must have reported the job vacancy to ADEM and apply for a certificate that authorizes them to hire the person of their choice. The process for issuing this certificate will be simplified. There are two scenarios:
Occupations listed as shortage professions
ADEM annually publishes a list of professions facing significant shortages of skilled workers based on objective data (the number of job vacancies reported to ADEM, the number of job seekers with the same occupational preference, the number of job vacancies for which no suitable candidate could be found). For professions listed as shortage professions, ADEM will no longer be required to conduct a job market test. In such cases, the certificate will be issued within five days of receiving the application.
The list, applicable from September 1, 2023, until the publication of the next list in the first quarter of 2024, will be published in the Mémorial B of the Official Gazette of the Grand Duchy of Luxembourg and on the ADEM website.
For positions not listed as shortage professions, the job market test will still be conducted, but with shortened deadlines. ADEM now has seven working days to assess the availability of job seekers with the required qualifications for the reported position.
If no suitable candidate can be proposed, the certificate will be issued within five working days after the seven-day period has expired.
However, if ADEM can suggest candidates with the desired qualifications, they have an additional 15 working days to provide the employer with placement suggestions.
Additional information can be found in the "Hiring a Third-Country National" section on adem.lu.
*Loi du 7 août 2023 portant modification :
1° du Code du travail ;
2° de la loi modifiée du 29 août 2008 sur la libre circulation des personnes et l’immigration
3° de la loi modifiée du 18 décembre 2015 relative à l’accueil des demandeurs de protection internationale et de protection temporaire.