Sustained inflation has triggered the third tranche of indexation this year. Photo: Sara Kurfeß/Unsplash

Sustained inflation has triggered the third tranche of indexation this year. Photo: Sara Kurfeß/Unsplash

September paycheques are set to rise by 2.5% across the grand duchy.

A round of indexation--automatic increases in salaries and pension payments--will come into effect on 1 September 2023. That means employees and pensioners will earn 2.5% more next month, Statec, the national statistics bureau, on 30 August.

The provisional annualised consumer price index “stood at 4.2% for August”, Statec stated, triggering the third indexation of 2023.


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Indexation is implemented when the sustained inflation rate surpasses 2.5% in Luxembourg. Previous indexation tranches took effect on 1 February and 1 April 2023.

Earlier this month, Statec that a fresh round of indexation could be triggered during the second or third quarter of 2024.