Long-term unemployed represent close to half of Luxembourg's job seekers

The Ministry of Labour, the Luxembourg Institute of Socio-Economic Research (LISER), and the General Inspectorate of Social Security (IGSS) carried out a joint study focusing on the Grand Duchy's long-term unemployed. The analysis is hoped to show which people are at a greater risk of falling into long-term unemployment.

At 46%, the long-term unemployed made up almost half of job seekers in September 2022. The study reveals that the extend of the issue has increased over the past 15 years. Since 2021, statistics have however started to point towards an easing of the situation.

A statement from the Ministry of Labour notes that the long-term unemployed are currently benefitting from the dynamics on the job market, as well as general staff shortages in multiple sectors.

People with disabilities particularly affected

About 35% of the long-term unemployed registered with the National Employment Agency (ADEM) in September last year either have reduced work capacities or a type of disability.

Both groups of people are particularly at risk of falling into long-term unemployment. 84% of people with reduced work capacities and 77% of people with a disability registered with the ADEM are affected by long-term unemployment.

An additional risk factor is the duration of the previous employment. People who worked at the same location for an extended period of time are at greater risk of facing long-term unemployment.

About 16% of people who register with the ADEM are still looking after their first year.