OGBL-LCGB joint frontUnions seek job-protection unit and solidarity tax hike before tripartite

Claudia Kollwelter
adapted for RTL Today
OGBL and LCGB have laid out a joint package calling for a permanent job-protection unit, a higher solidarity tax on big firms, and a €7 billion investment fund, in addition to rejecting any general cut in corporate tax.
Patrick Dury (LCGB) and Nora Back (OGBL)
Patrick Dury (LCGB) and Nora Back (OGBL)
© François Aulner

The Independent Luxembourg Trade Union Confederation (OGBL) and Luxembourg Christian Trade Union Confederation (LCGB) say jobs must be protected and that there should be no across-the-board cut in corporate tax.

Economic and social challenges should be met not with social cuts or pressure on wages, but with investment, training, and a strong sense of social cohesion. That is the message from the joint trade union front ahead of the tripartite talks, set out in a package they have drawn up, titled "Competitiveness and Social Dialogue Package".

A central pillar of the unions' demands is job protection. They are calling for a permanent national job-retention unit that would be active even before major restructurings or layoffs, with affected employees receiving individual support, further training, and financial security.

To finance such measures, a transition fund would be needed. According to the unions, it should be funded chiefly through a higher solidarity tax on companies. A 10% increase, they argue, could generate an additional €110 million in revenue to feed into the fund.

The OGBL and LCGB also reject a general cut in corporate tax. Small and medium-sized businesses should be relieved of part of their burden, they say, while large, profitable companies should remain at the current rate.

Defending purchasing power and indexation

On purchasing power, the unions insist they will accept no compromise on the indexation system and renew their call for the social minimum wage to be raised immediately by €300. They are also pressing for tax thresholds to be adjusted to inflation and for additional support for households.

To boost the economy, they are calling for a special investment fund of €7 billion over seven years. This would primarily finance affordable housing, the energy transition, and strategic infrastructure, with the goal of creating 10,000 public and affordable homes over the next five years.

In their package, the unions also renew their criticism of an alleged weakening social dialogue. They are calling for a permanent and reinforced tripartite, in which the partners are not only consulted but have a genuine say in the country's economic and social decisions.

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