Some companies go to great lengths to find qualified talents: partnering with universities, working with recruitment agencies, setting up staff referral programmes, or even employee poaching in dire situations. The lack of professionals in certain disciplines might imply a more difficult search that necessitates taking extra measures.
In Luxembourg, employers can rely on several support services offered by the national employment development agency ADEM to ease their search and ensure they find the best talents faster. Head of Employer Services Laurent Peusch, who oversees employer services in the agency, discusses key strategies in place to achieve this, from implementing training programmes, collaborating with European employment services, organising job fairs, and more. He also explains how leveraging the new immigration law facilitates the hiring of third-country nationals and their spouses.
Can you tell us about the law that makes it easier to hire profiles in short supply from outside the EU?
To address labour shortages, the new immigration law introduced significant changes to work permits for spouses and the employment of third-country nationals with ‘in-demand’ profiles in Luxembourg. As of 1st September 2023, an employer declaring a job vacancy to ADEM, can simultaneously apply for the certificate to hire a third-country national.
For regular profiles, the labour market test has been reduced from three weeks to seven business days, which significantly expedites and simplifies the hiring process for third-country nationals.
We also actively organise job fairs throughout the year, which allows employers to engage with a diverse pool of potential candidates.
For ‘in-demand’ profiles, the labour market test has been replaced by the shortage list, which will be published annually in the first trimester of the year. If the job corresponds to a profile on the shortage list, ADEM will grant the certificate without further labour market testing, within five business days.
Declaring job vacancies to ADEM is not only an obligation, but also crucial for the compilation of the shortage list because the list is solely based on the analysis of job vacancy declarations. If companies fail to declare their vacancies, certain occupations may be omitted from the shortage list, depriving companies of the benefits afforded by the new law.
So companies lose less time compared to the previous law. Is this a powerful argument in your efforts to help companies recruit talent?
Of course, it is a compelling argument in our efforts to assist companies in recruiting talents. The reduction in time loss throughout the entire procedure, and the expedited certificate issuance due to the shortage list, means that recruiting third-country nationals is now a faster process than ever before.
Are you already seeing any impact?
In terms of tangible results, we can observe a notable impact. Since September 2023, we have received a total of 1,933 applications for a certificate, with 1,176 of these applications being related to positions in short supply.
For family members of third-country nationals, the right to work without a work permit has immediate implications. For instance, relocating to Luxembourg is significantly more attractive to a third-country national with an ‘in-demand’ profile, if their spouse can immediately access the labour market or even launch his/her own company without a work permit.
What other avenues is Adem working on to resolve the talent shortage in Luxembourg?
ADEM is actively pursuing various strategies to address the talent shortage in Luxembourg. This includes conducting sectorial studies to understand skill gaps and proactively plan targeted training programmes aligned with company needs.
For family members of third-country nationals, the right to work without a work permit has immediate implications.
We also actively participate and organise job fairs throughout the year, which allows employers to engage with a diverse pool of potential candidates in an interactive and personalised recruitment process. We have an upcoming “IT and Finance” online job fair scheduled for 22 February 2024 on the Work in Luxembourg platform.
Additionally, ADEM also collaborates with the EURES network, which brings together Public Employment Services (PES) from across the European Union. This network allows employers to search for talents in all European countries. The Luxembourgish PES can circulate job openings to specific countries where the required profiles are located, permitting ADEM to receive CVs from interested individuals, which we then preselect to optimise the hiring process for employers.
Your employer service offers support to companies in their search for talent, whether they are based in Luxembourg or in another country. How do you go about this?
Our employer services are dedicated to supporting companies in their talent search, both within Luxembourg and internationally. Our primary focus is on re-integrating local jobseekers into the market. Therefore, certain measures have been developed such as specific contracts tailored for young or more experienced individuals, along with financial incentives.
Simultaneously, ADEM actively facilitates upskilling and reskilling initiatives across diverse job roles, from positions like payroll manager or API developer with python to bus drivers. Employers can express a specific need for a particular position to their dedicated advisor at the employer services, so we can collaborate with the CNFPC (National Centre for Vocational Training), to coordinate the development of training programmes for jobseekers. Employers actively participate in the candidate selection process for the trainings and these training opportunities come at no cost to the employers, with the sole condition being that they commit to hiring individuals who successfully complete the training.
How do you see the Luxembourg labour market in 10 years?
In my opinion, the Luxembourg labour market will evolve into a more international, diverse, and agile landscape over the next decade. The country will establish itself as an attractive hub for both work and living, drawing talent from across the globe. Studies consistently highlight the positive impact of an international and multicultural workforce on innovation.
ADEM actively facilitates upskilling and reskilling initiatives across diverse job roles.
Moreover, we are anticipating rapid technological changes, particularly in AI, which will allow the labour market to become more responsive in the coming years. Over the next five to seven years, we can anticipate the appearance of new; currently unimaginable, job roles like ethical hackers. More specifically, positions in cybersecurity, blockchain, and data protection will gain prominence, reflecting the evolving needs of the future job market.
Photo credit: provided by interviewee