Employers who hire an older or long-term unemployed person may, subject to certain conditions, recover the social security contributions paid.
Applications must be submitted to the national employment administration (Agence pour le développement de l'emploi - ADEM).
Carry out your procedure:
With an online service
- Aide à l'embauche de chômeurs âgés et de chômeurs de longue durée - déclaration trimestrielle de créance en ligne
By downloading a formAide à l’embauche de chômeurs âgés ou de longue duréeAide à l'embauche de chômeurs âgés et de chômeurs de longue durée - déclaration trimestrielle de créance
* May be submitted via MyGuichet
This financial aid is available to all employers established in Luxembourg with respect to the hiring of:
- the long-term unemployed of 30 years of age and over who have been registered as a job seeker for at least 12 months;
- the long-term unemployed of 40 years of age and over who have been registered as a job seeker for at least 3 months*;
- unemployed persons of 45 years of age and over who have been registered as a job seeker for at least 1 month*.
* This condition does not apply to employees whose previous employer devised a job protection plan approved by the Minister of Labour, Employment and Immigration.
The employer must submit a request for financial aid for the hiring of older unemployed persons and the long-term unemployed to ADEM within 6 months of having hired the person in question.
The request must be accompanied by a copy of the employment contract.
In order to recover the contributions paid to the Joint Social Security Centre (Centre commun de la sécurité sociale - CCSS), the employer must submit a claim declaration to ADEM every 3 months.
The declaration must be accompanied by pay slips for the months concerned.
Amount and duration of aid
Social security contributions are refunded to the employer:
- for a period of 2 years for the hiring of a long-term unemployed person of 30 years of age or more;
- for a period of 3 years for the hiring of a long-term unemployed person of 40 years of age or more;
- until the retirement age for the hiring of an unemployed person of 45 years of age at least.
In the case of a temporary employment contract (18 to 24 months), contributions are only refunded during the contract period.