In the meantime, a 1st May, when the trade unions should speak up on the key issues at the heart of their demands—namely the minimum living wage, purchasing power, employment and working conditions—the Prime Minister, Luc Frieden (CSV), is preparing for the tripartite meeting on 12 May and its preliminary meetings which are due to start on 6 May. Speaking to the press, he appeared unconcerned about the possibility of social unrest. “Luxembourg is not a country with a history of conflict,” he pointed out. “In a society such as that of the Grand Duchy, it is essential that we work together, because debate is a fundamental part of democracy.” He expressed his conviction that solutions will be found, as has been the case in the past.
A listening attitude
With particular regard to the tripartite meeting on 12 May, whose agenda focuses on the impact of the current energy crisis on households and businesses, the Prime Minister emphasised the importance of respect for the social partners. “That is why I first want to discuss with them their views on the economic situation, and in particular on the consequences of this war.”
We do not need to take the short-term measures that neighbouring countries have taken, as our prices are lower.
He also made a point of reiterating that there was no immediate urgency. “We have mechanisms in place to cushion the impact of oil and electricity prices. First and foremost, of course, is wage indexation, which other European countries do not have. We have lower taxes on petroleum products than in neighbouring countries, and we already cover the cost of the electricity networks through the state budget. Consequently, we do not need to take the short-term measures adopted by neighbouring countries, as our prices are lower.” But he acknowledges that, despite these safeguards, the risk of an energy shock remains. “The government’s objective therefore remains clear: to protect citizens, businesses and jobs in the coming months.”
The quest for sovereignty
Whilst there is no immediate economic emergency in Luxembourg, Luc Frieden believes that, given the scarcity of energy resources and rising prices, there is a genuine geo-economic and geopolitical emergency. “This situation requires the government to actively prepare various scenarios for the future of the European and Luxembourgish populations.”
In saying this, the Prime Minister emphasises the need to strengthen European sovereignty whilst fostering strategic global alliances. “Europeans did not start the current conflicts, but they are bearing the consequences. We Europeans must draw the necessary conclusions, in particular by becoming more independent and more sovereign, whilst engaging with our friends and neighbours. That is what we are doing. I believe that today, we are very united within the European Union. We are trying to be more competitive and less dependent on the energy we import, but we are not entirely independent. Faced with this reality, we need friends.”
It is with this in mind that he will meet with a number of heads of state, including the Canadian Prime Minister, at the meeting of the European Political Community on 4 May in Armenia. “I believe these discussions are vital to ensuring we have allies who share our values in an extremely, extremely complex situation.”




