In his remarks on the state of the nation address by Prime Minister Luc Frieden, CSV parliamentary
group leader Laurent Zeimet stresses that the uncertainty and concerns caused by the international crises must be taken seriously. “There are social questions, but taking concerns seriously does not mean talking the country down as weaker than it is. What we need is clarity about the problems, confidence in our capabilities, and the courage to do what is necessary.”
The first social issue, he said, is purchasing power. Zeimet welcomes that the index is not being called into question and recalls the financial relief amounting to 900 million euros through the adjustments to the 2024 and 2025 tax table the targeted tax relief for single parents and widows and widowers the increased deductibility of debt interest on mortgage loans the increased energy premiums and cost-of-living allowances, which provide targeted, fast and in part automatic help where help is needed the tax reform planned for 2028 with further relief amounting to 900 million euros, plus higher deductibility of special expenses and home savings contracts, as well as new tax rebates for small children and partners and an increased tax credit for single parents the poverty risk that fell from 18.8 to 18.1, showing that the inequality gap has not widened further.
Zeimet says: “Anyone who does not want to carry out this reform must be told that they are de facto in favor of a tax increase, and they must explain to citizens that they will not get back what they have lost over recent years through fiscal drag.”
The government is also responding to the housing crisis by the fact that seven out of ten measures to simplify building procedures have already been implemented or submitted to parliament, and the other three will come later this year. In addition, the VEFA law will be reformed, the buyback program will be expanded and so-called housing bonds will be issued to create affordable housing. Tenant protection will also be improved.
On the minimum wage, Zeimet recalls that it is nowhere as high and offers as much purchasing power as in Luxembourg. According to the IGSS, a minimum-wage earner had disposable income of 2,405 euros in 2024, and in 2025 it increased by five percent to 2,529 euros. For a single parent with two children, it rose by 26 percent from 3,451 to 4,400 euros.
“Those are facts. And that is why the claim that purchasing power has generally fallen is simply false. On the contrary, the figures show that the purchasing power of many households has increased; the relief is reaching people.” With the planned increase in the minimum wage by 6.3 percent, which is not an automatism but a political choice, the reference value of 60 percent of the median wage will be reached.
“Some seem convinced that all social issues can be solved with a structural increase in the minimum wage. We do not see it that way. On the contrary, we risk creating many social problems if we ignore all economic realities.”
It is legitimate to discuss higher wages, more vacation or shorter working hours. But politics must not stop at the question: Doesn’t that sound good? It must also ask: Is it feasible, and who is supposed to generate that in the future? “This is not a cold economic reflex; it is a reality check. Because a measure is social if it also secures jobs, purchasing power and prospects in the long term.”
Zeimet also welcomes the clear commitment that there will be no non-contracted doctors, no two-tier medicine, and shorter waiting times will be achieved by allowing doctors to carry out minor procedures independently.
On the tripartite, he explains that it should not be a ritual and not a political spectacle. “It is about preserving purchasing power, strengthening the competitiveness of businesses and preserving jobs. The tripartite must be constructive, it must be results-oriented, and above all it must be in the country’s interest. With respect for the social partners, with an open ear for the concerns in the country, but also with a clear sense of what Luxembourg can sustain economically, socially and financially.”