PostedSeptember 15, 2022, 7:27 PM
ByeAn index before the end of the year considered “essential”
LUXEMBOURG – Before the start of the tripartite regime, Aleba pleads for an automatic increase in wages, salaries and pensions before the end of the year, and paves the way for a reform of this system.
Will the index be triggered in the coming weeks or months?
While the negotiations within the tripartite will begin on Sunday, government, employers and unions communicate ahead of these meetings aimed at finding compromises, in particular on the next indexations. In theory, up to five tranches should be triggered by the end of 2023, explained Prime Minister Xavier Bettel.
Too for companies, but not for the unions, which argue the need to help employees in the face of the crisis. This Thursday, it was Aleba which issued a press release asking for “permanent decisions in order to help households effectively against the loss of purchasing power” due to galloping inflation (+6, 6% in 2022). The first banking union in Luxembourg deems “essential” the triggering of an index bracket (+2.5% of wages, salaries and pensions) before the end of the year, but opens the way to a transformation of the system.
“An index adapted to the different salary brackets”
“It is perhaps high time to work on a reform of the index, if only temporarily, in order to prevent any further freezing, especially for those who need it most,” said Roberto Mendolia, president. Concretely, Aleba wants the index to be staggered and “adapted to the different salary brackets”.
After the first preparatory meeting for the tripartite, the UEL had deemed it necessary to “find solutions, which cannot go through the payment of five indexes in one year”. The discussions promise to be lively, considering that the OGBL had refused to sign the agreement resulting from the previous tripartite meeting last March. Its president, Nora Back, however welcomed Wednesday the fact that the government was “open to discussions”.
“Inflation weighs on citizens and businesses, they need support,” said Prime Minister Xavier Bettel.
(th)