The glossary to understand and take action

Economic Committee

The Economic Committee is involved in schemes relating to economic conditions and employment, in particular the examination of short-time working applications under the applicable framework.

Administration ou organisme professionnel · Luxembourg Fiduciaries Editorial Team · Reviewed on

Understand the scope

Its role for your business

Short-time working is not simply a payroll reduction freely decided by the employer. The company must verify the scheme, conditions, timetable and required decisions.

In your file

When to contact them and what to prepare

Prepare an objective description of the difficulty, its causes and its effects on the business and employees. The hours and information declared must be traceable. Admission to a scheme does not remove monitoring obligations or reimbursement conditions. Refer to the current instructions for the relevant scheme.

A scenario to help you understand

Educational example

A company experiences a temporary reduction in activity and examines eligibility for the scheme before changing the organisation of work.

Fictitious situation, presented to illustrate the concept.

Prepare for what comes next

Points to check

  • Identifier le régime adapté
  • Documenter la difficulté
  • Suivre les heures et décisions

Connecting concepts

Terms to know as well

Continue with the concepts, contacts and procedures related to this topic.

Short-time workingShort-time working makes it possible, under the conditions of a specific scheme, to respond to a temporary reduction in activity. Its use requires a procedure and compliance with the applicable decisions and obligations.Employment Development Agency (ADEM)ADEM is Luxembourg’s public employment service. It supports employers in particular with recruitment and the declaration of job vacancies, with services and measures subject to their own conditions.Employment contractThe employment contract governs an employment relationship, with the respective obligations of the employer and employee within the applicable legal framework.Budget varianceDifference between an actual value and the budgeted value for the same scope and period.Financial forecastThe financial forecast translates the project's assumptions into expected results, cash flows and financing needs.Contribution marginDifference between sales and costs that vary with the level of activity, under the management model used.

Put it into practice

Explore further with our guides

Practical guideBudget and actuals: analysing variances in a dashboard

Sources and verification

References consulted on 20 September 2026. Official procedures specify the applicable conditions and exceptions.

This guide explains a general process. The applicable rules depend on your situation; it does not constitute personalised advice. Report a correction.

A definition gives you a reference point. To examine your situation, clarify your question with a professional.