The Council of State has pointed to a lack of analysis of the economic impact, competitive inequalities and practical application of the reform of shop opening hours. Photo: Shutterstock

The Council of State has pointed to a lack of analysis of the economic impact, competitive inequalities and practical application of the reform of shop opening hours. Photo: Shutterstock

The Council of State has criticised the reform of opening hours in the commercial and craft sectors. It says that the reform does not sufficiently anticipate the economic impact of this change or the possible competitive inequalities that could result. It also objects to the means envisaged for monitoring the application of the law when it comes into effect.

Faced with an ever-increasing number of derogations granted to businesses wanting to extend their opening hours, the bill tabled in December 2024 by the economy minister  (DP) intends to restore equal treatment between .

In an opinion issued on Tuesday 3 June, the Council of State made several formal objections relating to certain provisions of the text. I emphasised the fact that “the proposed arrangement may not be totally neutral in terms of competition between small and large players, with the latter having more resources at their disposal to take full advantage of the liberalisation of opening hours.”

The most significant change to the current arrangements is the extension of opening hours on Sundays and public holidays, from seven to fourteen hours (see table below). Another bill, number 8456, will specifically address the issue of Sunday opening hours and their impact on work.

According to the Council of State, the bill does not answer certain questions, in particular when it comes to the potential impact on demand that could offset the costs generated for the businesses concerned. “The dossier is silent on consumer habits and the impact of extended opening hours on consumer behaviour. Yet it is on this last point that the issues at stake in the reform will crystallise from the point of view of trade and craft industries.”

On this point, it reserves “its position on dispensing with the second vote pending further explanations from the authors of the bill under notice regarding the activities that have been removed from the list of exceptions and justifications, on a case-by-case basis, for the activities that have been added to the same list.”

Formal opposition

Another point of attention for the Council of State concerns article 4 of the draft bill, which provides for the possibility of derogating from opening hours on the basis of an agreement concluded within the framework of a collective agreement. “On this point, the proposed text contrasts with the provisions of the aforementioned law of 19 June 1995 which, when it provides for the intervention of the social partners through an agreement concluded within the framework of a collective agreement to derogate from the legislation in force, frames this intervention by placing precise limits on it. The Council of State must therefore formally oppose the proposed text.”

On compliance with the future law, the text provides for this control to be entrusted to the Customs and Excise Administration. The Council of State draws the attention of the authors of the draft to the fact that “in the case of the attribution of judicial police powers to officials of an administration other than the grand ducal police, it is essential to specify in the law who confers the powers.” It also insists on the need to train these staff members and wonders whether it would not be more “logical and efficient” to leave it to members of the judicial police to carry out these checks. Once again, the Council of State formally opposes this article.

The following article, which provides for a system of criminal penalties, has also been the subject of formal opposition from the Council of State due to “imprecisions in the provision of the bill that make it impossible to identify the behaviour subject to penalties.”

MPs will therefore have to work on the draft before it can see the light of day and thus develop their own approach.

Other models in neighbouring countries

In the countries neighbouring Luxembourg, there are a variety of arrangements set up to meet the specific needs of each market. In France, for example, the opening of shops is prohibited as a matter of principle, since Sunday is considered to be a day of rest. However, a number of exemptions are possible, notably for tourist areas, food shops and small craft shops, provided that the manager works himself. Another system, known as “mayor’s Sundays” (dimanches du maire), allows stores to open on a municipal decision, after consultation with the social partners. For non-food retail outlets, exemptions may be granted by the prefecture or the municipality. These rules are formalised in the labour code.

In Belgium, it is considered that weekly rest is compulsory one day a week, but not necessarily on Sunday. Certain businesses located in tourist areas or in railway stations may benefit from a permanent derogation. The reference framework is the law of 10 November 2006 on opening hours in commerce and the craft industry.

In Germany, the provisions allow much less flexibility, and Sunday is a protected day enshrined in the constitution. That means that Sunday working is strictly prohibited, with three exceptions: for petrol stations, railway stations, airports, pharmacies and early-morning bakeries. In exceptional cases, the Länder or municipalities may authorise Sunday openings up to four times a year. These are known as “Verkaufsiffene Sonntags,” or Sundays of exceptional opening. But this decision must be justified by a particular event, such as a market or festival. Finally, local exemptions also exist in spas and tourist resorts.

This article was originally published in .