Trade union OGBL launched a new campaign to increase purchasing power
The trade union OGBL has launched a new campaign to increase the purchasing power of low income groups.
16.5% of the population are at risk of poverty in the grand duchy, and the gap continues to widen between low- and middle-income groups and high-income groups--at a time when economic growth is high, the union said.
André Roeltgen, the chair of the OGBL, has called on the government on Tuesday 28 November to use the last year before the election to increase social benefits and transfers for people with the minimum wage and Revis (income support) beneficiaries. He added that the state currently loses €180 million in taxes, because the government refuses to reform the stock options scheme, which only benefits high earners by applying a low tax rate to company stock options.
Two “austerity waves” had decreased the purchasing power of Luxembourg residents, Roeltgen argued. In 2011, where the indexation was not increased, and the solidarity tax was raised, and later the so-called future package which included tax hikes and other transfer cuts.
The independent trade union has several demands, some of which can already be found in the agreement with the state:
Family benefits should automatically be adapted to wage increases and the rise in the cost of living
The minimum wage for unqualified and qualified workers should be increased by 10%
People on minimum wage should be exempted from paying taxes
Taxes should automatically be adapted to price evolutions
The “high living cost” benefit should be increased
Pensioners should benefit from a significant adjustment