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New rules on the posting of employees applicable as of 22 December 2020

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05 January 2021

Verification or declaration by the Luxembourg user company / extension of the Luxembourg core rules applicable to employees posted to Luxembourg / limitation of the maximum duration of the posting / introduction of the equal treatment principle in terms of remuneration.

Here is a summary of the key points of the Law of 15 December 2020 (the Law) transposing the new Posted Workers Directive (Directive 2018/957 of 28 June 2018) and entering into force tomorrow, 22 December 2020.

As a preliminary comment, the rules apply to the undertaking (outside the Grand Duchy of Luxembourg) which posts (i)an employee on a temporary basis, (ii)within the framework of a cross-border provision of services relating to a specific object or activity that is limited in time, (iii)to a host Member State (the Grand Duchy of Luxembourg), (iv)while maintaining the employment relationship with the posted employee.