The OGBL and LCGB trade unions said they welcomed the news that tax rates would be automatically adjusted to inflation from 2028.

The two unions published a joint statement on Friday following a meeting with the Minister of Finance on Thursday.

The planned reform for a single tax class based on the current class 1a should relieve most taxpayers. For those who might lose out as a result of the reform, there is a planned transitional phase of 25 years. However, the unions say this is insufficient and the time limit should be abolished.

The OGBL and LCGB warned that the new tax scale could exacerbate the issue of the "middle class hump" and called for higher earners to be taxed more. They also criticised that the reform will partially be financed by not adjusting the tax rates to inflation over the next couple of years. In general, they said the project is not a real solution to structural tax inequality and called for more ambitious reforms, targeting high income, assets and capital wealth.