POLITICS & INSTITUTIONS - ECONOMY

France, Lux agree to extend telework agreements



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Agreements for cross-border commuters to be able to continue working from home have been struck with Belgium and France. Library photo: Frédéric Antzorn 

Just a few days after Luxembourg and Belgium extended teleworking agreements to ensure that cross-border workers aren’t taxed twice and remain affiliated with the grand duchy’s social security system, France signed on the dotted line for similar deals. 

French cross-border workers are normally allowed to work 29 days from home or risk being taxed in France as well as in Luxembourg.

This cap was lifted with the start of lockdown in March 2020 and has yet to be reinstated. France and Luxembourg on Monday agreed to extend the exemption until the end of September 2021 from a previous end of June deadline.

Around 100,000 people commute to work from France to Luxembourg.

Also on Monday, the two countries agreed that cross-border workers would remain affiliated with Luxembourg’s social security system, even if they spend more than 25% of their time working outside the grand duchy.

Under EU rules, employees must spend a certain amount of working time in the country where their workplace is located. This rule has been lifted by mutual agreement, also until the end of September.