RTL Today - Your Weekly Recap: Health Ministry under fire, US government runs out of money, and more home office for cross-border workers

Your Weekly Recap for 1-5 May.

Here's 5 things you should know at the end of this week:

The Luxembourgish trade unions presented their demands on Labour Day
The Ministry of Health was exposed to a lot of criticism this week
The US government has reached the debt ceiling and is running out of money
New developments regarding harassment at work and home office for cross-border workers
Ex-Audi CEO pleads guilty over 'dieselgate' scandal

1. The Luxembourgish trade unions presented their demands on Labour Day

On an international level, May 1st is celebrated as it marks Labour Day. In Luxembourg, trade unions voiced their demands and goals concerning social rights, such as the regulation of working hours, paid leave, and social protection for employees.
On Monday The Independent Luxembourg Trade Union Confederation (OGBL) and the Luxembourg Confederation of Christian Trade Unions (LCGB) held their traditional Labour Day events.
OGBL president Nora Back used the opportunity to advocate raising the minimum pension, among other things, while LCGB president Patrick Dury reviewed recent achievements and presented the Confederation's future demands.

OGBL event at Neumünster Abbey - Several high-ranking members of the Luxembourg Socialist Workers' Party (LSAP) were among the guests, including Minister of Labour, Employment and the Social and Solidarity Economy Georges Engel; party presidents Francine Closener and Dan Biancalana; and the Greens' faction leader Josée Lorsché.

Back drew attention to the fact that close to half of Luxembourg's employees are cross-border workers and that they are being discriminated and left out of discussions at every level. She conveyed her solidarity for French syndicates and the people that were once again out protesting the contentious pension reform.

Back argued that Luxembourg should take this as a warning sign and refrain from meddling with the pension system. She also stated that the minimum pension should be raised to counteract the risk of poverty among elderly citizens. Last but not least she also spoke about the reduction of work time, which she said does not require much analysis and is the right way forward.

LCGB event at the Esplanade in Remich - Around 1,300 people joined the Confederation's event in Remich on Monday morning. Among them were PM Xavier Bettel, Deputy PM François Bausch, Deputy PM Paulette Lenert, as well as Luc Frieden, lead candidate for the Christian Social People's Party (CSV).

Dury also addressed structural problems, particularly highlighting issues in the housing and healthcare sectors. He accordingly argued that the structure of the National Health Fund cannot be reformed and therefore requires a complete overhaul.

The LCGB president further condemned "socialist ideologies" and pleaded that people wake up from their "leftist dreams".

Cargolux - Patrick Dury expressed hopes that Cargolux will soon follow suit. The LCGB recently accused the air freight carrier of refusing to conduct collective contract negotiations.

"Those who question the existence of their employees, those who want to sabotage our conciliation and thereby the collective contract, are destroying our social model", he said.

Similar to LCGB president Patrick Dury, Back also spoke about Cargolux in her Labour Day speech. She said the air freight carrier is questioning unions' rights to conciliation and that their behaviour shows that a reform of collective contract laws is necessary.

Russia's Ukraine invasion - Dury explained that although economic implications from the sanctions on Russia for its invasion of Ukraine are challenging, they are necessary.

As the Russian invasion has had serious consequences for the European economy, the LCGB was happy with the results they achieved during tripartite negotiations.

2. The Ministry of Health was exposed to a lot of criticism this week

The Christian Social People's Party (CSV) claims that "ten years of socialist healthcare policies have not brought us an inch forward." According to the CSV, Minister of Health Paulette Lenert is impeding progress with her "non-decisions."
After this, the Democratic Party (DP) also expressed criticism on Wednesday morning, albeit more gently.
The Minister of Health was quick to react to these statements, responding that the party's criticism was 'a polemic' in which various differing issues were being confused.

What did CSV criticise? - The CSV particularly takes issue with the draft bill meant to govern the operation of the MRI centre in Potaschberg/Grevenmacher. To ensure that patients can be reimbursed by the National Health Fund (CNS), the centre currently operates under the control of the Centre Hospitalier de Luxembourg (CHL).

The CSV opposes the Ministry of Health's decision not to authorise these private centres, claiming that it inhibits doctors' freedom to practise their profession.

In general, the opposition politicians of the CSV think that, despite the fact that the sector dialogue is failing, the Minister is stubbornly sticking to her course of action, even if access to medical services is not assured for all patients and important advancements are being overlooked.

In addition to this - The CVS is "concerned" about the recent clash between the Association of Doctors and Dentists (AMMD), the National Health Fund (CNS), and the Ministry of Health. Tensions have erupted over the digitalisation of the health care sector, with the AMMD proposing its own application and the e-Santé Agency insisting on the use of its electronic medical file, which the AMMD strongly opposes.

What did the DP criticise? - MP Carole Hartmann said that "we need to be honest and say that we are lagging behind when it comes to health policies." In recent years, she and her party have "often pointed out one problem or another in this area."

As examples, Hartmann cited delays of up to two months for MRI scans or mammograms, where it is reportedly even worse. She referred to testimonies of women with a lump in their breast who had to wait for one or two years before they could get appointments. "This is simply too long," Hartmann said.

Hartmann therefore shares the Council of State's analysis that doctors should be free to exercise their profession. In her opinion, doctors have the skills and means to work with heavy equipment outside of the hospital. "The financial aspect could be regulated via agreements and the nomenclature," she suggested.

She also agrees that healthcare should be available to all at the same price, but also everywhere and close to where people live.

Lenert's reaction - Recognising that the draft bill to digitalise and restructure the healthcare system has a lot of room for improvement, Lenert highlights that the Ministry must respect the procedure as voted by parliament.

Lenert also explained to RTL in a written statement that a new bill is underway which would enable health centres to cooperate with hospitals to boost insurance coverage as well as accessibility to expensive medical equipment, such as the IRM.

The goal, according to the Minister, is to provide the best possible service for everyone without overwhelming the whole system. For the time being, the Ministry is responding to the criticisms of the State Council and making improvements.

US President Joe Biden speaks during a reception celebrating Eid al-Fitr, marking the end of the Muslim fasting month of Ramadan, in the East Room of the White House in Washington, DC, on May 1, 2023. / © AFP

3. The US government has reached the debt ceiling and is running out of money

Treasury Secretary Janet Yellen warns that the government will run out of money and default on its debts as soon as June 1, if there is no authorization for more borrowing.
That would mean inability to pay for everything from social programs to the military and -- in a cataclysmic blow to world financial markets -- the national debt.
The White House and the Republicans on the other hand were finding themselves in a standoff and neither was about to budge.

Nothing new - Debt limit extensions are generally an uncontroversial annual accounting manoeuvre that allows the government to pay for extra expenses already incurred. Republicans in Congress had backed three annual debt limit extensions with little opposition when Donald Trump had been in power, prior to Biden.

High-stakes showdown - Republicans voted Wednesday to raise the national borrowing limit, but only in conjunction with drastic cuts.

House Speaker Kevin McCarthy, who had spent much of the week locked in frantic talks as he struggled to win over a handful of Republican holdouts, celebrated a vote that would put America "back on track."

The 320-page Republican bill would raise the ceiling through March 2024 -- paving the way for another debt limit fight in the middle of the presidential election campaign -- or until the debt grows to $32.9 trillion.

'Not an option' - Moments after the vote, the White House slammed the legislation for what Biden's team described as cutting health care for veterans and other Americans, sending jobs overseas and extending tax cuts for the wealthy.

What is going on? - Republicans, who control the House of Representatives, insist they will only extend the debt limit if Biden first agrees to steep cuts in the federal budget. That, says the White House, is a no-no.

The Limit, Save, Grow Act advanced from the House of Representatives by a narrow margin of 217-215 but has no chance of becoming law as it is opposed by Democrats controlling the Senate and White House.

The bill dramatically cuts federal spending and rolls back major portions of Biden's agenda, such as his push to cancel student debt and mitigate climate change.

Republicans were determined to muscle their bill through the lower chamber of Congress to strengthen their position in negotiations with Biden, who has resolutely refused to agree to any spending cuts to get the debt cap raised.

"It is Congress' constitutional duty to prevent default," Karine Jean-Pierre, Press Secretary, said. "Given the limited time Congress now has, it is clear that the only practical path to avoid default is for Congress to suspend the debt limit without conditions."

Game of chicken - The test of political will comes right after Biden announced that he will seek a second term in 2024.

Failure, triggering a default and potential economic chaos, would throw the election into dangerous new territory for the 80-year-old, who is staking his bid on a record of rebuilding the economy after the Covid-19 pandemic.

4. New developments regarding harassment at work and home office for cross-border workers

A new law now defines any conduct which, by its repetition or systematisation, undermines the dignity or the psychological or physical integrity of a person, to be harassment.
With this new bill, the employer is now obliged to ensure that harassment ceased immediately upon finding out, and protect the victim, so that the termination of harassment does not come at the detriment of the victim.
Alleged harassers and employers who remain inactive should expect sanctions, which could range from a fine from 251 to €2,500 to more severe administrative sanctions.

"Impunity is over." - With these words, the Ministry of Labor and the Inspector of Labour and Mines (ITM) presented the new bill against harassment at work.

Approved by MPs - In another matter, cross-border workers from France can now work remotely for 34 days per year before having to pay taxes in France.

Five additional days - Until now, cross-border workers living in France were only able to work remotely for 29 days a year before they had to pay taxes in their country of residence.

Both civil service and private sector - The new rules apply retroactively from 1 January 2023.

Rupert Stadler, former CEO of German car manufacturer Audi, sits in the courtroom during his trial at the regional court, in Munich, southern Germany, on May 3, 2023. / © AFP

5. Ex-Audi CEO pleads guilty over 'dieselgate' scandal

Former Audi boss Rupert Stadler will plead guilty over the "dieselgate" vehicle emissions-cheating scandal, a German court said Wednesday, which would make him the first auto CEO to be convicted in the resulting lawsuits.
German car giant VW -- whose subsidiaries include Porsche, Audi, Skoda and Seat -- admitted in September 2015 that it had installed software to rig emission levels in 11 million diesel vehicles worldwide.
The "dieselgate" saga shocked Germany and is seen as the country's biggest post-war industrial scandal.

Arrested in 2018 - After a trial that started in late 2020, Stadler's defence lawyers and prosecutors had finally accepted a "plea bargain proposal".

The confession is expected to be read out in two weeks, with the court's ruling expected in June. Stadler, 60, had previously denied the charges of fraud, falsifying certifications and false advertising against him.

'Lower-level employees'- Volkswagen had always insisted that the diesel trickery was the work of a handful of lower-level employees acting without the knowledge of their superiors, a claim challenged by prosecutors.

Prosecutors say Stadler knew about the scam by the end of September 2015 "at the latest" but he nevertheless allowed thousands more vehicles fitted with the illegal defeat devices to be sold.

Wolfgang Hatz, another former Audi executive who was on trial alongside Stadler, pleaded guilty last month, confessing that he and two other colleagues had arranged the installation of emissions-cheating software.

Alongside two other engineers - The charges against them covered 434,420 Volkswagen, Audi and Porsche vehicles sold in Europe and the United States as far back as 2009.

What about VW?- Volkswagen's former CEO Martin Winterkorn was supposed to stand trial for fraud over the scandal, but the case has been indefinitely postponed due to his poor health.

Immense fallout - It has already cost VW tens of billions of euros in fines, legal costs and compensation to car owners, mainly in the United States.

The best of.. 📚

Business & Tech - Apple and Google on Tuesday proposed a tech standard to make sure people get tipped off when their movements are being tracked with Bluetooth devices like AirTags or Tile.
Science & Environment- Scientists said Wednesday that they have observed a dying star swallowing a planet for the first time, offering a preview of Earth's expected fate in around five billion years.
Entertainment - Television and film writers, on strike over the "existential crisis" of a Hollywood dream factory that mistreats the source of its stories, are fed up with seeing their profession become more precarious in the age of streaming.
Sport- FIFA president Gianni Infantino has threatened a television blackout of this year's Women's World Cup in major European countries unless broadcasters improve their offers for rights.

And in case you missed it ⚠️

Embarrassing security breach - Washington did not warn Kyiv about the top-secret documents leaked to internet chat rooms -- containing sensitive information about Ukraine's war effort -- before the news broke in the media last month, President Volodymyr Zelensky told the Washington Post.
Financial reparations - Indigenous leaders from a string of former British colonies on Thursday urged King Charles to swiftly apologise for "centuries of racism" and the "legacy of genocide" perpetrated by the crown.
Medical imagery - The health commission of the Chamber of Deputies presented a series of plans to reduce the waiting times for IRMs, scans, and mammographies.
Luxembourg most dangerous country in Europe? - Crime is on the rise in Luxembourg, with one political party even describing the Grand Duchy as one of the most dangerous countries in Europe.

Your Weekly Recap is published every Friday at noon. Read earlier versions.

If you have any comments, questions, concerns on improving the Weekly Recap - contact me at alannah_meyrath@rtltoday.lu