Government council briefingLabour Minister to approach Amazon with job retention plan

RTL Today
At a press briefing on Friday following the government council meeting, PM Luc Frieden praised the government's progress on key issues like purchasing power and social welfare, while confirming that Labour Minister Georges Mischo has been tasked with engaging Amazon Luxembourg over potential job cuts, aiming to prevent layoffs through the national job retention plan.

Frieden particularly offered a positive assessment of the government’s performance two years into the CSV-DP coalition. He highlighted effective collaboration among cabinet members and coalition MPs, describing the political atmosphere as constructive and productive.

Frieden stated that the coalition had made solid progress on its programme, particularly in boosting purchasing power, stabilising energy prices by covering network costs, and delivering on reforms in housing, pensions, and healthcare. He also acknowledged persistent challenges, including the country’s high risk of poverty.

Responding to criticism, he pointed out measures the government has already taken: increasing and automating the cost-of-living allowance, tripling the energy allowance, and making the unskilled minimum wage tax-free. He added that additional measures would follow, with the Minister for Family Affairs Max Hahn expected to unveil further proposals by the end of the year.

A key topic of the briefing was the rumoured Amazon restructuring. RTL reported that over 400 jobs in Luxembourg could be affected. Frieden did not confirm the number but acknowledged that any job losses are unwelcome. During the government council meeting earlier that day, Labour Minister Georges Mischo was tasked with reaching out to Amazon to explore the possibility of implementing Luxembourg’s job retention plan to avoid what is called a “social plan”, a legally defined process triggered when a company plans mass redundancies.

Frieden underlined that the decision to restructure is a private business matter, but the government could offer guidance and encourage alternatives to layoffs. He said Amazon had expressed continued interest in cooperating with Luxembourg’s national employment agency ADEM, and that the company considers Luxembourg a strategically important location, a sentiment he said had been confirmed during his recent visit to Amazon’s Seattle headquarters.

Addressing reports of leaked US proposals for a peace deal in Ukraine, which included possible territorial concessions by Ukraine, Frieden stressed that no decisions should be made without Ukraine’s consent. He reiterated Luxembourg’s support for the principles of territorial integrity and national sovereignty, and noted that the leaked plans had not been formally shared with Luxembourg or other European partners.

On the topic of social dialogue, Frieden claimed progress had been made, noting that Labour Minister Mischo and Economy Minister Lex Delles had both reported positive bilateral discussions with unions and employer representatives. He expressed confidence that this constructive approach would continue.

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