Half of employees dissatisfied with their salary

Around half of employees in Luxembourg are unhappy with their salary Photo: Shutterstock

Around half of employees in Luxembourg are unhappy with their salary Photo: Shutterstock

Half of employees in Luxembourg aren’t happy with their salary, a study published on Tuesday shows, as wages in the grand duchy mostly stagnated during the pandemic.

In 88% of cases, wages stagnated last year, said recruitment services company Hays in a study. The firm spoke to 800 people, including employers and employees, for the survey, conducted between January and May this year.

Two thirds of employers in the study said they are currently hiring staff, with the top three sectors in IT, financial services and accounting. But just under half (47%) said they were looking to hire people in permanent positions.

But while 51% of employers said they expect staff salaries to change in the next 12 months, the same percentage of employee respondents said they are unhappy with their current wages.

Luxembourg has the highest minimum wage in the EU, at €2,643.32 for a skilled worker aged 16 or over. The amount is less for unskilled workers (€2,201.93). Average rent in Luxembourg City is €1,585 among other costs of living.

Hays also includes an overview of average salaries in its report, although they vary widely between levels of seniority and specialisations. In banking, for example, entry-level salaries are around €38,000 but rise to more than €100,000 annually for senior positions.

Employees in sales and marketing can expect salaries of up to €150,000 at managerial level but just €26,000 for entry-level positions. The salary of a financial controller ranges from €55,000 to up to €116,000 at more than eight years of experience. And while in IT a software architect can earn up to €120,000 a year, systems and network administrators with the same seniority earn around €75,000.

Even though half of respondents said they have a positive outlook on their career, more than a third (38%) said they are actively looking for a new job with another 40% saying they aren’t looking but would be happy to consider an interesting offer.

The top priorities when looking for a new job were work-life balance (35%), the salary package (28%) and work environment (12%).

A large majority of 96%, however, said they believe in job loyalty and will stay with an employer three to five years or more.