On Friday 1 October 2021, the National Institute of Statistics and Economic Studies (“STATEC”) confirmed that the annual inflation rate of the national consumer price index reached 2.7% in September 2021, meaning that the triggering threshold of 2.5% for automatic wage indexation has been exceeded.

Subject to final confirmation and the detailed results of the national consumer price index to be published on 6 October 2021 following the monthly meeting of the Index Commission, the new index rate of 855.62 points will be effective as of 1 October 2021 (former index rate: 834.76).

Consequently, a 2.5% increase in the salaries, wages and pensions will apply in Luxembourg as of 1 October 2021.

The gross monthly minimum statutory wage will also be increased proportionally to EUR 2,256.96 for non-qualified employees and to EUR 2,708.35 for qualified employees.