Work Life Balance in Luxembourg: What Makes It Among Top 10 in Europe

In the 2024 European Life-Work Balance Index by Remote, Luxembourg secured the 8th spot with a notable score of 70.21 out of 100. This index assesses key factors such as healthcare quality, minimum wage, maternity leave, sick pay, paid holidays, average working hours, overall happiness, and LGBTQ+ inclusivity across European nations.

Luxembourg stood out for its strong worker protections, generous family policies, and high wages. Combined with a robust social support system, the country offers a well-rounded environment where both personal well-being and professional life can thrive.

In this blog, we’ll explore why Luxembourg ranks so high for work-life balance, covering its labor laws, healthcare access, paid leave, and the key challenges that still remain.

P.S. Curious how Luxembourg is staying ahead in work-life balance? Explore how the country is embracing shorter workweeks with this curated list of 4-day week job opportunities.

Is There Good Work-Life Balance in Luxembourg?

Absolutely, yes. Luxembourg has achieved an extraordinary balance that many other European nations aspire to replicate. Only 3% of employees work excessively long hours in paid employment, significantly below the OECD average of 10%. Among them, 3% are men and just 2% are women, highlighting a relatively balanced distribution and a national culture that discourages overwork.

In Luxembourg, employees are encouraged to manage their personal life as well as their working schedules. With the support of flexible working hours, paid leaves for urgent family reasons, and access to formal childcare services, many workers enjoy autonomy, rest, and clear boundaries between professional lives and private life.

Luxembourg’s mental health investment is notable: in 2024 it ranked #2 globally in positive mental well‑being (26.75/35). The country also ranks high in public safety and life satisfaction.

What Are Luxembourg's Standard Working Hours?

In Luxembourg, the standard full-time work schedule is 8 hours per day and 40 hours per week, with laws allowing up to 2 hours of overtime per day and a maximum of 8 hours of overtime per week. This means that the legal work limit is 10 hours per day and 48 hours per week.

Employees are entitled to a minimum of 11 consecutive hours of rest per 24-hour period and at least 44 consecutive hours of rest each week. Working hours must be clearly outlined in the employment contract or company policies.

Overtime applies when an employee works beyond these normal limits, and while the daily cap can be extended to 12 hours in specific sectors or circumstances, such as seasonal work or emergencies.

The average weekly hours should not exceed 40, unless in exceptional situations like accidents. Employees can either recover overtime through rest or receive appropriate compensation.

What Makes Luxembourg’s Work-Life Balance Stand Out?

Luxembourg’s high work-life balance index score is based on core indicators that combine to shape a nation’s overall work-life dynamic:

1. Flexible Working Arrangements in Luxembourg

Luxembourg follows a flexitime policy that lets employees change their work hours to better fit their personal and work lives. For example, new parents might start work at 7 AM and finish at 4 PM, instead of 7 pm. Many young parents and people who commute from nearby countries choose this option.

It also gives special support to parents with children under 9 years old and caregivers who have worked for the same employer for more than 6 months. These employees can ask to work from home, have flexible hours, or reduce their work time for up to one year.

2. Highest National Minimum Wage Rate

As of January 2025, Luxembourg has the highest minimum wage in the European Union, set at €2,638 per month, according to Eurostat. Out of 22 EU countries with official minimum wages, Luxembourg is far ahead, especially compared to countries like Bulgaria and Hungary, where the minimum wage is still below €1,000.

Only a few countries, including Germany, Ireland, and the Netherlands, offer wages above €2,000, but none match Luxembourg. Even when adjusted for living costs, Luxembourg remains among the top. This high minimum wage reflects the country’s strong focus on fair pay and sets a great example for promoting financial stability across the EU.

3. Paid Leaves Available to Employees in Luxembourg

Luxembourg offers comprehensive leave for employees, helping them balance work responsibilities with important moments in their personal lives.

These include:

• Annual and sick leaves: Salaried workers receive at least 26 paid working days of leave each year, along with 11 public holidays. Also, sick leave counts toward the 77 days of continued pay.
• Parental leaves: Both parents have access to parental leave. Prenatal leave lasts for 8 weeks, followed by 12 weeks of postnatal leave. To qualify for this leave, employees must have been enrolled in sickness and maternity insurance for at least 6 months within the 12 months before the planned start of their maternity leave. Fathers are entitled to a maximum 10 days of paternity leave.
• Career breaks, examination and study leave: Individual training leave allows employees and self-employed people to take time off for attending training courses, preparing for, and taking exams, or engaging in other activities related to eligible training programs.
• Extraordinary leaves: Recently, Luxembourg introduced new legislation creating two types of extraordinary leave. “Leave for force majeure” is one day leave over a 12-month period for urgent family emergencies. “Carers’ leave” is five days leave over a 12-month period for carers supporting seriously ill household members. Also, the law grants employees the right to request flexible work arrangements, particularly benefiting parents and caregivers to improve work life balance Luxembourg.

4. Healthcare Access Improves Work-Life Balance

Luxembourg stands out for its exceptional healthcare coverage, which plays a key role in supporting a good work-life balance. Household healthcare spending is just 1.8% of total expenses, well below the OECD average of 3.3%. Additionally, households contribute only 9% to total health expenditure, compared to the OECD average of 18%.

Public satisfaction is high, with 86% of residents expressing confidence in the availability of quality care leading to a good work-life balance, the third highest rate after Switzerland and Belgium. In 2021, Luxembourg also recorded a high rate of medical imaging, with 367 examinations per 1,000 inhabitants.

5. Happiness Scores and Mental Health Benefits

Luxembourg consistently ranks among the happiest nations in Europe, with high public safety scores, mental health support programs, and a general culture that encourages a healthy attitude to life.

The 2024 World Happiness Report places Luxembourg in the top 10 globally, attributing its success to a combination of GDP per capita, social support, work-life balance, life expectancy, and public trust.

What Are the Work-Life Balance Gaps in Luxembourg?

While Luxembourg ranks highly for work-life balance, a few challenges still affect workers. Long commute times, especially for cross-border employees, can reduce personal downtime.

Moreover, a recent analysis by STATEC Research found that 12% of employees plan to leave their jobs, with turnover intentions higher among women and younger professionals aged 25–34. The biggest driver? Job satisfaction. Among dissatisfied workers, 30% intend to resign, compared to just 8% of satisfied ones.

Additionally, a concern among employees is the mismatch between average working hours and their preferred schedules. Although the legal standard is a 40-hour work week, many express a desire to shift toward 34.4 hours per week for a better quality of life.

Also, the lack of flexible work hours remains a barrier, particularly for part-time employees and working parents striving for a healthy balance of family life. While the ability of employees to request flexible working arrangements exists in law, it's not consistently available in practice, especially across different sectors and job types.

Wrapping Up

To sum up, Luxembourg sets the standard for a healthy attitude toward modern work. It offers a supportive environment that prioritizes personal life and promotes a truly sustainable work-life balance.

Yes, there are still some gaps, but the foundation is strong. The country reflects a national culture that values not just its status as an economic powerhouse, but also high happiness scores and the overall quality of leisure time.

Want to check out companies in Luxembourg offering flexible work schedules? Explore our curated list of companies championing work-life balance.

Frequently Asked Questions (FAQ’s)

Does Luxembourg have a good work-life balance?

Yes, Luxembourg offers one of the best work-life balances in Europe. With strong labor protections, generous leave policies, flexible work options, and low rates of overwork, it ranked 8th in the 2024 European Life-Work Balance Index.

Which country has the most work-life balance?

According to the 2024 European Life-Work Balance Index by Remote, the Netherlands tops the list, followed closely by Spain, France, and Finland. Luxembourg also ranks high, placing 8th overall.

How many hours do they work in Luxembourg?

The standard workweek in Luxembourg is 40 hours, typically 8 hours per day. Legally, employees can work up to 10 hours per day and 48 hours per week, including overtime, under specific conditions.

Is Luxembourg a good place to work and live?

Absolutely. Luxembourg combines high wages, excellent healthcare, low crime rates, and a strong social system. It’s considered one of the best places in Europe for both working professionals and families seeking stability and quality of life.