While the median disposable income per household going up from €3,532 in 2003 to €4,897 (38.6% increase) suggests an improvement in financial stability for Luxembourg residents, the rise of the poverty threshold by significantly more indicates that the cost of living has dramatically gone up. The income level at which one was placed in the poor category was €1,289 in 2003, while in 2020 that was estimated at €1.892, marking a 46.7% increase, states Statec in its latest “Luxembourg in figures” report. The at-risk-of-poverty rate has meanwhile gone up from 11.9% to 17.4% over the same period.
In July a report by the chamber of employees estimated that more than a quarter of Luxembourg households struggle to make ends meet. Meanwhile, over a third of single-parent households (35.3%) are at risk of poverty, according to the same report.
The employment rate in Luxembourg in 2021 was estimated at 69.4% just above the 68.4% EU average. But the unemployment rate shows a significant difference with 5.3% in Luxembourg and 7.1% overall in the EU. The social minimum wage as of 1 January 2021 was estimated at €2,776 for qualified adults, €2,313 for unqualified ones and €1,850 for 17 to 18 year-olds.
Men continue to be paid better in most sectors than women. However the gap has narrowed over the last decade and a half. While men in the industry and services sector registered average annual gross earnings of €45,941 in 2005 and women averaged €38,874 (15% gap), in 2021 the numbers showed €69,837 for men and €63,481 for women (9% gap).
Life expectancy in Luxembourg has registered a notable increase from 74.8 in men and 81 in women as of 2002 to 80.3 in men and 84.8 in women. The population census also shows a change in the country’s demographic with 36.9% of residents in 2001 being foreigners and 47.1% in 2022 being non-Luxembourgers.