In a letter to Prime Minister Luc Frieden released Tuesday afternoon, Luxembourg’s two largest trade unions have sharply criticised the government’s newly unveiled national poverty plan. The union front between the Independent Luxembourg Trade Union Confederation (OGBL) and the Luxembourg Confederation of Christian Trade Unions (LCGB) argues the strategy falls far short of what is required for a meaningful fight against poverty.
The letter, signed by OGBL President Nora Back and LCGB President Patrick Dury, states that Luxembourg does not need a plan that “organises and manages poverty”, but rather one that “effectively reduces it”. The union leaders contend that poverty is not alleviated through new platforms, help desks, and training courses, but through concrete actions like raising wages, improving housing affordability, and strengthening social rights.
A key point of criticism is the plan’s lack of measures concerning the minimum wage. The unions view raising the minimum wage as a crucial tool to combat poverty, particularly in light of the “working poor” phenomenon affecting thousands in the country.
Similarly, the unions fault the plan for what they see as a lack of binding, quantitative measures to address housing speculation and significantly increase the supply of affordable housing. They also express regret over the absence of any formal mechanism to include trade unions in the plan’s monitoring and follow-up, noting that their members are in daily contact with those affected by poverty.
