(Data collection by Taelor Reid, Liam Thompson, and Edward Koning. When referring to this page, please use the following citation: Koning, E.A., Reid, T. & Thompson, L. (2024). The IESPI Database – Luxembourg country report. University of Guelph, www.iespi.ca/luxembourg/.)
Tax-paid pensions
| TP1A | Residence requirement for complete universal tax-paid pension |
| 1990-2023 | -8 (no universal tax-paid pension) |
The public pension system in Luxembourg is contributory. There is no tax-paid pension program (Chaput et al. 2007, Government of Luxembourg n.d., Social Security Administration 2016).
| TP1B | Residence requirement for access to pro-rated portion of universal tax-paid pension |
| 1990-2023 | -8 (no universal tax-paid pension) |
There are no tax-paid pension programs in Luxembourg.
| TP2 | Residence requirement, means-tested supplement |
| 1990-2023 | 100 (no means-tested supplement) |
There are no tax-paid pension programs in Luxembourg. The only benefit that elderly with low pension income can access is social assistance (Chaput et al. 2007, EMN 2013, Kerschen 2020).
| TP3 | Status requirement for access to tax-paid pension |
| 1990-2023 | -8 (no tax-paid programs) |
There are no tax-paid pension programs in Luxembourg.
| TP4 | Export possibilities, universal tax-paid pension |
| 1990-2023 | -8 (no universal pension program) |
There are no tax-paid pension programs in Luxembourg.
Health care
| HC1 | Residence requirements |
| 1990-2023 | 0-1 (no residence requirement, except for those taking up voluntary insurance) |
Employed residents (as well as their family members) are covered by mandatory insurance from the moment they start working in Luxembourg. Newcomers without employment can apply for voluntary insurance, which has a 3-month waiting period. The number of people in this situation is very small, however. The most significant affected group used to be asylum seekers, who could only access emergency care in the first three months after their arrival. This changed, however, in 2015, when a reform extended basic health care to asylum seekers during the three-month waiting period. Since precise data on the number of incoming migrants without employment are unavailable, scores are weighted to account for the proportion of asylum seekers in the inflow of foreign-born individuals using the OECD Migration Database (CCSS n.d.-a, European Commission 2016, Government of Luxembourg 2015, n.d.-b, Inspection génerale de la sécurité sociale 2017, OECD 2023).
| HC2 | Status requirements |
| 1990-2007 | 10 (all legal residents) |
| 2008-2023 | 0 (all residents) |
Technically every legal and, since 2007, undocumented resident is eligible to access health care, via either mandatory or voluntary insurance. This does not, however, guarantee access to health care in practice for everyone (see in particular HC3B) (Commission Nationale d’Éthique 2007, Cuadra 2010, EMN 2013, Inspection Générale de la sécurité sociale 2017, OECD 2023).
| HC3A | Public health care available to asylum seekers |
| 1990-2015 | 50 (emergency care and urgent care in first three months, inclusion in basic system with exemption from insurance costs afterwards) |
| 2016-2023 | 33 (basic services in first three months, inclusion in basic system with exemption from insurance costs afterwards) |
In the first three months after registering an asylum claim, asylum seekers in Luxembourg enjoy decidedly less access to health care than afterwards. They were only able to access emergency care in the first three months until a reform in 2015 guaranteed basic services in reception centers. After the three months have expired, asylum seekers are included in the basic system and are exempted from paying the insurance contributions (EDAL 2018, Government of Luxembourg 2015, Norredam et al. 2006). Since the intended duration of the asylum procedure is 6 months, the scores on this indicator represent the average of the regime in the first three months and afterwards.
| HC3B | Public health care available to undocumented migrants |
| 1990-2007 | 100 (none) |
| 2008-2023 | 67 (emergency care, with user fees) |
Before 2007, undocumented migrants in Luxembourg were barred entirely from accessing public health care. Since then, they are allowed to take up voluntary insurance as long as they can prove their residence in Luxembourg. Because of the costs of the insurance contributions, in practice undocumented migrants can only access emergency care, and will be asked to pay for it. The government of Luxembourg has recently launched a new universal health care coverage project to include people who are unemployed, are ineligible to receive benefits from the state, and are unable to pay voluntary insurance contributions, which greatly expands the health care access for undocumented migrants. This new project, however, has only gone into effect as of January 1, 2024 (Cuadra 2010, 2011, FRA 2011, Government of Luxembourg 2021, MDM 2016).
| HC4A | Accessibility services, translation services |
| 1990-2008 | 67 (translation services occasionally available in some languages) |
| 2009-2011 | 0 (state funded translation services guaranteed) |
| 2012-2023 | 100 (nothing available) |
Interpretation services in the health care sector were established in 2008. Before then, all that was available was a telephone translation service in a limited number of languages. In 2011, however, the demands on the interpretation services increased while the government did not increase their funding. As a result, the service was transferred to the Luxembourg Red Cross, which now runs these services at a fee (interview LUX-01, Luxembourg Red Cross n.d.-a, Moran et al. 2021, Paccoud 2022).
| HC4B | Accessibility services, other attempts to increase uptake |
| 1990-2023 | 100 (no services) |
There have been no attempts to deliver culturally competent care in Luxembourg. Some companies offer mediation services, but they are not publicly funded (Moran et al. 2021, Paccoud 2022).
Contributory pension benefit
| CP1 | Minimum contribution years |
| 1990-2023 | 6-16 (10 years, with aggregation possibilities for migrants from EU states and bilateral agreement countries) |
Throughout the period under study, access to the contributory pension has required a minimum of ten years of contributions. Migrants from EU member states and countries with which Luxembourg has signed bilateral agreements on pensions can aggregate their contributions in Luxembourg and those in their country of origin (CNAP 2019, n.d., Government of Luxembourg 1987, 2016, n.d.-c). Scores on this indicator are weighted to account for the proportion of incoming migrants who can benefit from aggregation arrangements using data from the OECD Immigration Database. Extrapolation used for missing data.
| CP2 | Status requirements |
| 1990-2023 | 80 (citizens, permanent residents, and privileged nationals) |
The only requirements for accessing the contributory pension in Luxembourg are related to age and work history. Because of the lengthy minimum contribution requirements (see CP1), however, in practice only citizens, permanent residents, and migrants who can benefit from aggregation arrangements are able to access it (CNAP 2019, Government of Luxembourg 1987, n.d.-c, Kerschen 2020).
| CP3 | Export possibilities |
| 1990-2023 | 0 (export possible without restrictions) |
The pension can be exported anywhere in the world without restrictions. (EMN 2013, Government of Luxembourg 1987, interview LUX-02).
Contributory unemployment benefits
| CU1 | Minimum contribution weeks |
| 1990-2023 | 4-9 (26 weeks) |
Throughout the period under study, contributory unemployment benefits are only accessible to individuals who have worked in the country for at least 26 weeks out of the past 12 months. EU migrants can use their work history in their country of origin in determining benefit levels (EMN 2013, Government of Luxembourg 1976, 2016, n.d.-d, n.d.-e). Scores on this indicator are weighted to account for the proportion of EU migrants using data on the inflow of foreigners by country of origin from the OECD Migration Database. Extrapolation used for missing data.
| CU2 | Status requirements |
| 1990-2023 | 38 (citizens, permanent residents, privileged nationals, long-term work permit holders) |
Only those who have unfettered access to the labour market can meet the eligibility requirements for contributory unemployment benefits. International students, workers on short-term permits, and asylum seekers (who can only access the labor market after waiting 6 months for a determination on their claim) are effectively disentitled (EDAL 2018, EMN 2013, Government of Luxembourg 1976).
| CU3 | Integration requirements |
| 1990-2023 | 0 (no integration requirements) |
There have never been integration requirements associated with accessing unemployment benefits in Luxembourg (Government of Luxembourg n.d.-d, n.d.-e, interview LUX-03).
| CU4 | Export possibilities |
| 1990-2004 | 64-66 (up to three months within EEA, not possible elsewhere) |
| 2005-2023 | 48-51 (up to six months within EEA, not possible elsewhere) |
Unemployment benefits are generally not exportable. However, as per EEC regulation no. 1408/71, unemployment benefits can be exported for a period of up to three months within the European Community. Since the introduction of EC regulation 883/2004, this period can be extended to 6 months (De Wispelaere et al. 2022).
Housing benefits
| HB1 | Residence requirements |
| 1990-2023 | 0 (no residence requirement) |
Luxembourg has offered social housing since 1979 and a rent assistance program since 2016. Neither of these comes with direct residence requirements, although it is worth noting that duration of residence is included as a criterion in determining the waiting list for social housing units (Bosswick et al. 2007, Government of Luxembourg 1979, 2022, n.d.-f).
| HB2 | Status requirements |
| 1990-2023 | 20 (all registered residents) |
Registration in the population registry, which is only possible for those who have a permit to stay more than 3 months, is the only requirement for accessing social housing. Similarly, the only requirement for rent assistance is to have a permit that extends the right to reside in Luxembourg for at least three months (EMN 2013, Government of Luxembourg 1979, 1983, 2022, n.d.-f).
| HB3 | Integration requirements |
| 1990-2023 | 0 (no integration requirements) |
There are no integration requirements associated with accessing social housing or rent assistance.
| HB4 | Housing services for successful asylum claimants |
| 1990-2023 | 40 (services assisting on housing market) |
Since 1972, the government of Luxembourg has aimed to assist immigrants in their housing needs, both by assistance in finding suitable housing and in the development and management of temporary accommodation for foreign workers and asylum seekers. The demand for refugee housing, however, far outnumbers the number of existing accommodations. Successful asylum seekers are supposed to leave reception centers within 3 months after receiving a positive decision, but in practice many stay much longer because they are unable to find housing (Caritas Luxembourg n.d., EMN 2023, Government of Luxembourg 1972, 1993, 2008a, Luxembourg Red Cross n.d.-b, Saralegui n.d.).
Social assistance
| SA1 | Residence requirements |
| 1990-1999 | 21-30 (10 years, except for EU nationals) |
| 2000-2004 | 10-13 (5 years, except for EU nationals) |
| 2005-2023 | 10-19 (5 years, 3 months for EU nationals) |
Until 1999, there was a 10-year residence requirement for accessing social assistance in Luxembourg. Since then, the requirement has been 5 years’ residence out of the past 20. These residence requirements do not apply to EU nationals, who however can be denied social assistance in the first three months after arrival on the basis of constituting an unreasonable burden as per EU Directive 2004/38 (Amétépé 2012, Amétépé & Hartmann-Hirsch 2010, EMN 2013, Government of Luxembourg 1986, 1999, 2009, Kerschen 2020, Swinnen 2018).
| SA2 | Status requirements |
| 1990-1999 | 30 (citizens, privileged nationals, permanent residents, some categories of temporary residents) |
| 2000-2009 | 10 (all legal residents) |
| 2010-2023 | 30 (citizens, privileged nationals, permanent residents, some categories of temporary migrants) |
Before a 1999 social assistance reform, all residents who were legally allowed to work in Luxembourg were eligible, which made the benefit inaccessible to some categories of temporary migrants. The 1999 law only required legal residence. A 2009 reform, however, again specifically disentitled certain categories of migrants on a temporary permit, such as newly arrived family migrants and international students (Amétépé & Hartmann-Hirsch 2010, EMN 2013, Government of Luxembourg 1986, 1999, 2009).
| SA3 | Consequences of welfare uptake |
| 1990-2008 | 0 (no consequences) |
| 2009-2023 | 57 (loss of privileged status) |
Before 2008, accessing social assistance did not have consequences for the recipient’s resident status. Since then, having taken up social assistance can be grounds to deny an application for permanent resident status, and EU migrants can lose their right of residence if they take up social assistance in their first five years in the country (Government of Luxembourg 2008b, interview LUX-04, Kerschen 2020).
| SA4 | Integration requirements |
| 1990-2023 | 0 (no integration requirements) |
There are no integration requirements for accessing social assistance benefits in Luxembourg.
Active labor market policies
| AL1 | Residence requirements |
| 1990-2023 | 0 (no residence requirements) |
There has never been a waiting period before job seekers can access active labor market policies in Luxembourg. Anyone who is legally entitled to work in Luxembourg can immediately register as a job seeker and as such become eligible for job assistance programs (Government of Luxembourg n.d.-g, interview LUX-03).
| AL2 | Status requirements |
| 1990-2023 | 30 (citizens, permanent residents, privileged nationals, some categories of temporary migrants) |
Anyone who is legally entitled to work in Luxembourg can immediately register as a job seeker and as such become eligible for job assistance programs. Only some categories of temporary residents, such as international students and seasonal workers, are ineligible (Government of Luxembourg n.d.-g, interview LUX-03).
| AL3A | Availability of language programs |
| 1990-2011 | -8 (no publicly funded programs available) |
| 2012-2023 | 14 (available for any immigrant) |
Luxembourg did not offer public language instruction for immigrants until a law of 2008 specifying a ‘welcome and integration contract’ came into force in 2011. Since then, all immigrants can take language programs (Government of Luxembourg 2008a, n.d-h, Odero et al. 2015).
| AL3B | Public funding of language programs |
| 1990-2011 | 80 (no publicly funded language programs, but no requirement to learn language for benefit receipt) |
| 2012-2017 | 40 (nominal fees) |
| 2018-2023 | 20 (fully funded for some, nominal fees for others) |
Immigrants are required to pay for language classes, but can receive large discounts on the price by a voucher system. Since 2017, refugees can take fully funded language classes through a separate program called the Parcours d’intégration accompagné (EMN 2021, Odero et al. 2015).
| AL4A | Availability of employment assistance |
| 1990-2011 | -8 (no targeted services available) |
| 2012-2023 | 0 (available to all immigrants) |
Ever since Luxembourg has offered targeted employment assistance, these programs have been available to all immigrants, although refugees and third country nationals can be prioritized at times of high demand (Government of Luxembourg 2008a, Swinnen 2016).
| AL4B | Nature of employment assistance |
| 1990-2011 | 100 (nothing available) |
| 2012-2015 | 60 (assistance with finding employment) |
| 2016-2023 | 40 (assistance with credential recognition) |
Luxembourg did not offer any targeted employment assistance until the introduction of the ‘welcome and integration contract’. Since then, immigrants can take a free citizenship course and attend information sessions. Since 2015, Luxembourg has also run a specific employment assistance program for third-country nationals and refugees, which includes assistance with foreign credential recognition, assistance with job applications, job mediation, and professionalization workshops (Government of Luxembourg 2008a, Swinnen 2016).
Works cited
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