A Bold Approach to Equity: Making Salary Indexation Social Again
In a country where preserving purchasing power is a cornerstone of social peace, is the current indexation system still living up to its purpose? Or has it become an inequitable practice that inadvertently widens the gap between high and low earners?
Our Vice-Dean, Patrick Vanhoudt, Prof. Dr. (Econ.), takes a bold approach to reimagining indexation with social equity at its core. He explores how a shift from blanket percentage adjustments to targeted euro amount increases could restore fairness, protect the most vulnerable, and enhance Luxembourg’s economic appeal.
Read the full article to uncover:
🔹 Why then current system may miss the mark on social justice
🔹 A pragmatic solution to ensure equitable safeguarding of purchasing power
🔹 How this reform benefits workers, employers, and society as a whole
Read the full article in English, French or German:
Please note that the views expressed in this article are those of the author and do not necessarily reflect the official position of the Luxembourg School of Business.
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