Employer of Record is restricted in Luxembourg. The Labour Code has no EOR category: a business that employs people to place them with a company that directs their work must be a licensed temporary work agency, and supplying employees outside that regime is prohibited (L.133-1) (legilux.public.lu, consolidated version of 2021-11-29, checked 2026-10-07).
Cost has two layers. Employer contributions are 13.29% of gross up to EUR 13,856.63 a month: EUR 5,900.76 on a EUR 44,400 salary (CCSS, checked 2026-10-07). The EOR fee comes on top: $399 to $699 per month where a vendor shows a Luxembourg price, and global lists start at $199.
What sets Luxembourg apart is the licence. An agency needs two ministerial authorisations and a financial guarantee, may take only a precise, non-permanent task, and a mission is capped at 12 months. We found no public list of authorisation holders. One of the 14 providers, Remote, says it owns its Luxembourg entity; the other 13 don’t say who the employer is, or refer to a partner.
An Employer of Record fits a precise, non-permanent task under your direction, if the provider shows its authorisation. For a permanent role you direct, the Code points to your own entity; an independent specialist can work as a contractor. See also paying contractors in Luxembourg.
Employing someone in Luxembourg: key facts
Luxembourg has one national minimum wage and employer contributions of 13.29% of gross up to a ceiling. The rules below come from the Labour Code in the consolidated Legilux version of 2021-11-29; amendments after that date were not checked.
Minimum wage
One national rate, indexed automatically. From 2026-06-01 (index 992.24) the monthly gross rates are:
Before the indexation of 2026-06-01 (from 2025-05-01) the rates were EUR 2,703.74 unskilled and EUR 3,244.48 skilled. FEDIL repeats the official amounts. No further index tranche is announced for 2026.
Social minimum wage, unskilled employee aged 18+, EUR per month, in force on 31 December each year (2026: from 1 June). The skilled rate is 120% of it: EUR 3,325.59 in 2026. Source: ITM archive and ITM, checked 2026-10-07.
Employer contributions
Rates from 2026-01-01 for a private-sector employer, from the CCSS notice to employers of 2026-01-16 (ccss.public.lu, checked 2026-10-07).
Ceiling: 5 x the unskilled minimum wage, EUR 13,856.63 a month (EUR 166,279.56 a year) from 2026-06-01 and EUR 13,518.68 from 2026-01-01 to 2026-05-31; the floor is the minimum wage. FEDIL prints the June figure; 5 x 2,771.33 by arithmetic is 13,856.65 (FEDIL, checked 2026-10-07).
Not employer cost: dependency insurance 1.40% is employee-only; the family-benefit contribution of 1.70% concerns the public sector only.
Whether the ceiling applies to the Mutualité contribution is not stated separately; the CCSS notice applies it to all branches except dependency insurance.
Working hours and overtime
Standard week: 8 hours a day and 40 a week; a collective agreement may set lower limits. Averaging over a reference period of up to 4 months by default is allowed if the average stays within 40 hours (L. 211-5, L. 211-6) (legilux.public.lu, checked 2026-10-07).
Overtime is compensated by paid time off at 1 hour plus 30 minutes per overtime hour. If it cannot be recovered or the employee leaves, it is paid at the normal hourly wage plus 40%, exempt from tax and contributions except sickness in-kind contributions on the unincreased hour (L. 211-27) (legilux.public.lu, checked 2026-10-07).
Rules for Sunday, public-holiday and night work were not collected.
Annual leave and public holidays
Annual leave: at least 26 working days (jours ouvrables) a year, whatever the age. The right arises after 3 months of uninterrupted work with the same employer; temporary agency workers claim leave per assignment (L. 233-4, L. 233-6, L. 131-12) (legilux.public.lu, checked 2026-10-07).
Public holidays: 11, namely New Year, Easter Monday, 1 May, Europe Day (9 May), Ascension, Whit Monday, National Day (23 June), Assumption (15 August), All Saints, Christmas Day and 26 December. A holiday on a Sunday gives one compensatory day off within 3 months (L. 232-2, L. 232-3) (legilux.public.lu, checked 2026-10-07). The count of 11 is by listing.
Probation
Written clause, at the latest at the start; minimum 2 weeks, maximum 6 months; not renewable (L. 121-5) (legilux.public.lu, checked 2026-10-07).
Maximum 3 months for employees below CATP/DAP level of vocational training.
Maximum 12 months where the starting gross monthly salary reaches a level set by grand-ducal regulation; we did not look up that level.
Notice and severance
Employer notice, by registered letter: 2 months (seniority under 5 years), 4 months (5 to under 10 years), 6 months (10 years or more). It starts on the 15th or the 1st of the month after notification. The employee’s own notice is half of these periods (L. 124-3, L. 124-4) (legilux.public.lu, checked 2026-10-07).
Dismissal needs real and serious grounds and a prior-interview procedure; we did not collect the grounds rules or court damages.
Severance (indemnité de départ) for a permanent employee dismissed without serious misconduct (L. 124-7). Employers with fewer than 20 employees may instead extend the notice period.
Seniority
Minimum severance
5 years
1 month of salary
10 years
2 months
15 years
3 months
20 years
6 months
25 years
9 months
30 years
12 months
13th salary and bonuses
Not mandatory. The consolidated Labour Code has no provision requiring a 13th-month salary; it is due only if the contract, a collective agreement or constant company practice provides it. This rests on the absence of a provision in the 2021 code and a secondary website (legilux.public.lu, checked 2026-10-07).
Mandatory benefits
Statutory social insurance through the CCSS/CNS: health, pension, accident, dependency.
Sick pay: the employer keeps full salary until the end of the calendar month in which the 77th day of incapacity falls within a reference period of 18 consecutive months; after that the CNS sickness cash benefit applies (L. 121-6) (legilux.public.lu, checked 2026-10-07).
Dismissal is barred for up to 26 weeks from the start of incapacity once the employer is notified.
Other statutory leaves (parental, maternity, family-event) were not collected.
Work permits
EU, EEA and Swiss nationals: no permit.
Third-country nationals: an authorisation to stay and a residence permit as a salaried worker, which needs a signed employment contract and an ADEM certificate. The vacancy is declared to ADEM; since 2023-09-01 the employer may ask for the certificate right after declaring it, and the certificate takes 5 working days for shortage occupations (guichet.lu, checked 2026-10-07).
EU Blue Card: a contract of at least 6 months and gross annual pay of at least EUR 65,652 from 2026-03-03 (FEDIL, checked 2026-10-07).
The ADEM certificate can be requested by an employer “legalement etabli au Luxembourg et autorise a exercer l’activite relative au poste vacant” (BSP, checked 2026-10-07).
Whether an EOR or a temporary work agency may be the sponsoring employer is not stated in the sources we read.
Currency and payroll
Euro (EUR). Salary is paid monthly, at the latest on the last day of the calendar month; an advance on work already done may be obtained in urgent cases. Accessory pay such as bonuses is settled within two months of the service-year or financial-year closing (L. 221-1) (legilux.public.lu, checked 2026-10-07). ECB rate on 2026-10-06: 1 EUR = 1.1269 USD (ecb.europa.eu, checked 2026-10-07).
Is Employer of Record legal in Luxembourg?
Restricted. Luxembourg has no EOR category in law. A business that hires staff in order to place them with another company that directs their work is either a licensed temporary work agency (L. 131-1 and following) or an exceptional temporary lender (L. 132-1). Supplying employees outside those two regimes, where the user exercises part of the employer’s authority, is prohibited (L. 133-1) (legilux.public.lu, checked 2026-10-07). No Luxembourg law-firm text we found applies L. 133-1 to an EOR model, and we read no case law, so the verdict is a reading of the statute and of ITM, ADEM and guichet.lu guidance. See also the Employer of Record glossary entry.
The risk the client carries, if the supply falls under L. 133-1 (L. 133-2, L. 133-3, L. 134-3):
The contract is void. The client and the worker are treated as bound by a permanent contract from the first day of work. The worker may leave without notice or indemnity until the end of the placement.
Joint liability. The client and the supplier are jointly liable for salaries, indemnities, and social and tax charges.
Criminal fine of EUR 500 to 10,000 per worker concerned. A repeat offence carries 2 to 6 months of imprisonment and/or EUR 1,250 to 12,500. The court may also ban the agency activity for 1 to 10 years and order publication of the judgment. The article names anyone who makes employees available in breach of L. 133-1, an agency operating without authorisation or written contracts, and a user that used an agency worker without the written hiring-out contract. We found no source on whether the fine reaches the client of an unlicensed supplier.
Under the licensed agency regime, the rules a client meets (legilux.public.lu, checked 2026-10-07):
Two authorisations. The Minister of Labour, on the opinion of ADEM and ITM, and the establishment authorisation of the minister in charge of establishment permits (Ministry of the Economy) (L. 131-1, L. 131-2) (itm.public.lu, checked 2026-10-07). The authorisation lasts up to 12 months, renewable, and may be unlimited after 3 consecutive years of activity (L. 131-3).
Seat in the EU. The authorisations must be refused to an agency whose registered office or main establishment is outside the EU (L. 131-2).
Financial guarantee. A surety from a bank, financial institution or insurer securing pay and social and tax charges if the agency defaults. The law fixes no amount (L. 131-3).
Task. The hiring-out contract may only cover a precise and non-durable task within the fixed-term-contract rules of L. 122-1; it may not durably fill a post tied to the user’s normal and permanent activity (L. 131-4). Breach is punished by a criminal fine, not by requalification (itm.public.lu, checked 2026-10-07).
Duration. An assignment may not exceed 12 months for the same worker and post, renewals included, and may be renewed twice within that cap; a contract in breach is deemed permanent. The Minister may exceptionally allow longer for highly specialised work (L. 131-8, L. 131-9). A worker kept after the assignment without a new contract is bound to the user by a permanent contract from the first day (L. 131-10).
Equal pay. Pay may not be lower than that of an employee of equal or equivalent qualification hired as permanent staff by the user after probation; raises given to the user’s permanent staff must be passed on (L. 131-13, L. 131-14).
Split of responsibility. The user alone is responsible for health, safety and working conditions; the agency alone is responsible for pay and the related charges (L. 131-12).
Foreign providers. Luxembourg labour law applies to a hiring-out contract concluded by an agency established outside Luxembourg when the user operates in Luxembourg. ITM states that a foreign agency posting its workers to a Luxembourg user needs the business permit and the Minister of Labour authorisation; a foreign agency posting to a user established abroad does not (itm.public.lu, checked 2026-10-07). How that applies to a worker who lives and works in Luxembourg for a client with no Luxembourg presence is not addressed in any source we read.
Temporary lending. Lending of staff by an employer that is not an agency needs the Minister of Labour’s authorisation after ADEM’s opinion, and only in four cases: threat of dismissal or underemployment, occasional work for a company that cannot meet it by permanent hiring in the same sector, group restructuring, or an approved employment-retention plan. A notification to ADEM replaces the authorisation for up to 8 weeks per employee in 6 months. The company of origin may not habitually be in the business of supplying manpower (L. 132-1) (adem.public.lu, checked 2026-10-07).
Third-country nationals. Employing one without a residence or work authorisation brings an administrative fine up to EUR 10,000 per national and, in aggravated cases, criminal fines up to EUR 125,000 per national and imprisonment, since the law of 7 August 2023. The employer must hold a copy of the work authorisation for the whole employment (BSP, checked 2026-10-07). The source does not say who “the employer” is in an EOR chain.
Law-firm coverage. BSP’s comparative guide confirms the two authorisations and the temporary, specific tasks, and has no section on EOR (legal500.com, checked 2026-10-07). See also co-employment.
Who actually employs your hire in Luxembourg
We compared 14 providers that operate in Luxembourg against what their own pages say and against the Luxembourg trade register (RCS). Direct search of the register did not open, so we read RCS data through the North Data mirror: company number, address and stated purpose; shareholders and directors are behind a paywall, so a company is tied to a vendor by name only. There is no public list of holders of the agency authorisation. ADEM’s list of temporary agency offices (version of 2024-11-07) is a list of offices for jobseekers, not a register of authorisations, and none of the 14 appears in it by name. That is not a finding about any vendor.
Says “at Remote, we own our own legal entity in Luxembourg” (remote.com). Remote Luxembourg Sàrl is registered, RCS B259352 (registry mirror); stated purpose is HR consulting and HR services
Says “Skuad’s local partner in Luxembourg can sponsor foreign workers for work permits” (skuad.io); the page doesn’t say outright that the employer is the partner. No Skuad company found in the register by name
$549/month on annual billing, list $699; billed upfront for 12 months (skuad.io)
Luxembourg page names no employer. A Luxembourg company named Lets Deel Luxembourg Sàrl is registered, RCS B267607 (registry mirror); the vendor doesn’t state it. Its RCS purpose reads “hiring and remunerating salaried workers with a view to making them temporarily available to users for the performance of a specific and non-permanent task”
Luxembourg page says nothing on the entity. Velocity Global Luxembourg Sàrl, the brand’s former name, is registered, RCS B267794 (registry mirror); the vendor doesn’t state it. Stated purpose: recruitment and HR consulting, payroll and HR management
Luxembourg page speaks of the EOR as legal employer in general; no entity named. A Luxembourg company named Multiplier Technologies Luxembourg Sàrl is registered, RCS B281403 (registry mirror); the vendor doesn’t state it. Stated purpose: HR consulting, administrative and commercial services
Luxembourg page is a labour-law guide and names no entity. A Luxembourg company named Atlas Technology Solutions Luxembourg Sàrl is registered, RCS B275458 (registry mirror); the vendor doesn’t state it. Stated purpose: recruitment and HR consulting, social secretariat
Luxembourg page says “The EOR is already registered with the Centre Commun de la Sécurité Sociale (CCSS) and holds a Luxembourg trade licence”, about EORs in general; no entity named. No company found by name
$300-$600 per employee per month, the page’s market range; from $199/month, global
Luxembourg page says “Because the EOR already has an established entity in Luxembourg”, about EORs in general; no entity named. No company found by name
Not published
All checked 2026-10-07. The table has 14 rows. Native Teams and Justworks don’t list Luxembourg among their EOR countries. Oyster, RemotePass, Rise, Kleos, Remozo, Borderless AI and Boundless are not in the table because we could not confirm Luxembourg coverage.
Own entity is Remote’s own statement; the partner is Skuad’s reference to a local partner. Four of the 12 not disclosed have a Luxembourg company named after the brand (for Pebl, its former name) in the register, which the vendors don’t state. Source: vendor country pages, RCS via North Data, checked 2026-10-07.
Twelve of the 14 don’t say who the Luxembourg employer is. That matters because Luxembourg law has no EOR category and allows a placement only through a licensed agency or in four lending cases, and there is no public list that would show a licence. Before signing, ask: “Which Luxembourg company signs my employee’s contract, under which Minister of Labour authorisation, and for how long does that authorisation allow a placement?”
How to choose an EOR in Luxembourg
Want to see the legal basis? Only Remote says it owns its Luxembourg entity, and its register record has an HR-consulting purpose, not temporary staffing. Deel’s registered company states a purpose close to temporary staffing, which we note without drawing a conclusion. No vendor shows an authorisation, so ask for its number and the authorising ministry in writing.
Is the task precise and non-permanent? Then a licensed agency is the lawful route, for a mission up to 12 months with pay not below your equivalent permanent staff. The hiring-out contract may not be used to fill durably a post tied to your normal and permanent activity (L. 131-4). For a permanent role you direct, supply outside the agency regime risks L. 133-1; weigh your own entity or a contractor.
Hiring a non-EU national who needs a permit? Sources are silent on whether an agency or EOR can be the sponsoring employer. Skuad says its local partner can sponsor foreign workers for work permits. A mission is capped at 12 months and the Blue Card needs a contract of at least 6 months. Ask the provider in writing who the applicant would be. Rivermate’s guide puts onboarding at 1-3 weeks and up to 4 months if immigration is involved (vendor claim).
Price against speed? Luxembourg-page prices: Playroll from $399, Skuad $549 on annual billing, Deel and G-P from $599, Remote $699. On speed, vendors claim as little as 4 days (Deel), 1-5 days (Playroll), one to two weeks (Safeguard Global) and seven to ten business days (Remote People); these are vendor claims. Price and speed say nothing about the legal basis, so compare them after you have the answer to the question above.
A global hiring platform (now a Payoneer company) covering 160+ countries across EOR, Agent of Record and contractor management, with rare published starting prices — strong for buyers who want transparent entry pricing and broad coverage in one tool.
8.0/10
★ 4.6 · 312 reviews
EOR price
Starting from $199 per employee/month
Coverage
160+ countries
Time to hire
Not publicly stated
What stands out
broad coverage: 160+ countries for EOR and contractors
published starting prices (EOR $199, AOR $99, CMS $19 per month)
payroll in 70 currencies
Not a fit for
buyers who require named security certifications (SOC 2/ISO 27001) published before purchase
buyers needing a dedicated Contractor of Record product
Why it fitsNames no entity; Lets Deel Luxembourg Sàrl is registered, its stated purpose close to temporary staffing. From $599/month on its Luxembourg page.
A transparently-priced EOR and contractor platform with broad 180+ country coverage and unusually strong Africa/Middle East reach. Best for cost-conscious SMBs that want published prices and hands-on support over deep automation.
7.6/10
★ 4.7 · 209 reviews
EOR price
$399 per employee/month (no minimum)
Coverage
180+ countries
Time to hire
Vendor claim: EOR onboarding in 2-5 days; compliant contract generated in ~5 minutes
Certifications
SOC 2, GDPR
Support
24/5
What stands out
Transparent flat pricing: EOR $399/employee/mo, contractor $35/contractor/mo, no onboarding/offboarding fees
Broad 180+ country coverage with strong Africa/MENA reach
Fast self-claimed onboarding (2-5 days) and well-reviewed dedicated CSM/ESM support
Not a fit for
enterprises needing deep HRIS/finance integrations
buyers needing a dedicated Contractor of Record product
The oldest, most analyst-recognized EOR (founded 2012) — deepest certification stack and widest documented country footprint, but no owned-entity disclosure or dedicated Contractor of Record product.
8.3/10
★ 4.4
EOR price
From $599/mo per employee
Coverage
180+ countries
Time to hire
Vendor claim: 'hire anywhere in minutes'; no SLA published
A 12-year EOR (rebranded from Velocity Global in 2025) with a large G2 review base and analyst recognition across 185+ countries, but thin transparency on entity ownership and pricing.
7.8/10
★ 4.6 · 603 reviews
EOR price
$399/mo per employee
Coverage
185+ countries
Time to hire
Vendor claim: 'as little as 24 hours', no entity needed
Certifications
SOC 2 Type 2, ISO/IEC 27001:2022, GDPR
Support
Vendor claim: guidance available any time, in-house experts
What stands out
12-year track record (est. 2014) with $1B in annual global payroll processed and 200+ in-house legal experts
SOC 2 Type 2 and ISO/IEC 27001:2022 certified; states GDPR-principle compliance
Large, strongly rated G2 footprint: 4.6/5 from 597 reviews
Not a fit for
buyers needing a true Contractor-of-Record product, not general contractor management
teams that require a fully disclosed owned-vs-partner entity count before signing
A global employment specialist with EOR in 150+ countries on an owned-entity network, a dedicated Contractor of Record, global payroll and published flat pricing — strong for compliant hiring across many markets with transparent EOR/contractor costs.
8.4/10
★ 4.7 · 2168 reviews
EOR price
Starting at $400 per month
Coverage
150+ countries
Time to hire
Vendor claim: onboard global hires in 24 hours; compliant contract in 5 minutes (not an SLA)
Certifications
SOC 2 Type I, SOC 2 Type II, SOC 3, ISO 27001:2022
What stands out
EOR live in 150+ countries on an owned-entity network
dedicated Contractor of Record (classification, contracts, tax, payments)
published flat pricing for EOR ($400) and contractors ($40), no minimum headcount
Not a fit for
buyers needing an all-in-one HR/IT/Finance suite beyond global employment
buyers who require published global-payroll list pricing up front
A long-running (2015) direct-entity EOR — broadest owned-entity claim (160+ countries), a capped misclassification-protection AOR product, but no Contractor of Record and thin independent review volume.
7.7/10
★ 4.2 · 101 reviews
EOR price
From $599/mo per employee
Coverage
160+ countries
Entity model
no partners
Time to hire
Vendor claims conflict: 'days' vs '2 weeks'; no SLA
Certifications
ISO 27001, ISO 27017, ISO 27018, GDPR
Support
24-hour support team (vendor claim); 15+ languages
What stands out
160+ countries with owned legal entities and no third-party partners — the widest such claim reviewed
Transparent, publicly listed pricing for both EOR ($599/employee/month) and AOR ($199/contractor/month)
AOR ships with a capped, quantified Classification Protection benefit ($100k/contractor/month, $1M aggregate per client)
Not a fit for
buyers needing a true Contractor-of-Record product, not an authorized-agent AOR
companies with their own local entities needing standalone global payroll
A profitable, VC-free global-employment company that rebranded from Horizons in 2026, with strong G2/Capterra scores — but a split brand identity and no disclosed owned-vs-partner entity count.
7.8/10
★ 4.6 · 495 reviews
EOR price
From $199/mo per employee
Coverage
150+ countries
Time to hire
Local contracts in 24-48 hrs; up to 2-4 weeks elsewhere
Certifications
SOC 2 Type II, ISO 27001, GDPR
Support
Business hours; avg response <2hrs (top tier)
What stands out
Founded 2018 and profitable without VC funding - a longer, more stable track record than several younger rivals
Consistently high G2 (4.7/334) and Capterra (4.9/72) scores
Widest product range reviewed here: EOR, COR, contractor management, global payroll, US PEO, recruitment, incorporation
Not a fit for
buyers wanting a single, unchanging brand name and URL for contracts
teams that require a disclosed, numeric owned-vs-partner entity split before signing
A payroll- and payments-led global workforce platform for enterprises, with EOR and global payroll across 160+ countries and a published 'from $599/mo per employee' EOR price — strongest when payroll depth, payments control and pricing transparency matter.
8.2/10
★ 4.3 · 154 reviews
EOR price
From $599/mo per employee
Coverage
160+ countries
Entity model
40 owned
Time to hire
Vendor claim: bulk onboarding of up to 1,000 EOR workers at one time; no per-worker time SLA stated
Certifications
ISO 27001, ISO 27701, SOC 1 Type II, SOC 2 Type II
What stands out
EOR and global payroll across 160+ countries
published EOR price (from $599/mo per employee) plus tiered payroll pricing — unusually transparent for the category
owns/operates EOR entities in 40 countries and contractor (AOR) entities in 180
Not a fit for
buyers who require EOR via the provider's own entity in most countries (only 40 are owned/operated)
those needing a dedicated Contractor-of-Record product
A young but fast-growing global-employment platform (180+ countries) with a real owned-entity core (38 entities), transparent flat pricing and standout human support. Best for SMBs — especially European — that value hands-on support and predictable pricing over deep automation.
7.6/10
★ 4.4 · 391 reviews
EOR price
From ~€299 per employee/month (varies by country/headcount)
Coverage
180+ countries
Entity model
38 owned
Time to hire
Vendor claim: ~48 hours in standard markets, same-day in some; longer in complex jurisdictions
Certifications
SOC 2 Type II, ISO 27001, GDPR
Support
24/7
What stands out
Broad 180+ country reach with a real owned-entity core (38 entities), not pure-partner
Transparent flat pricing; no setup/offboarding fees or annual lock-in
Fast onboarding (~48h standard) and strongly-rated 24/7 human support
Not a fit for
enterprises needing deep HRIS/finance integrations and advanced analytics
A unified workforce platform (HR, IT and Finance) with EOR in 80 countries and contractor payments in 185+ — strongest when you want employees, contractors, payroll, apps and devices managed in one system.
8.3/10
★ 4.8 · 23k reviews
EOR price
Custom quote
Coverage
80+ countries
Time to hire
≈5 days to payday in popular markets (12 in less common)
Certifications
SOC 1 Type II, SOC 2 Type II, SOC 3, CSA STAR Level 2
What stands out
EOR live in 80 countries; contractor payments in 185+ and 50+ currencies
unified HR, IT and Finance platform
broad security/compliance (SOC 1/2/3 Type II, ISO 27001/27018/42001)
Not a fit for
buyers who need published, transparent EOR pricing up front
A budget-friendly, transparently-priced EOR with broad headline coverage (185+ countries) and a free contractor-management tier. Strongest for cost-conscious teams that want published prices up front rather than a sales quote.
7.8/10
★ 4.4 · 440 reviews
EOR price
Starts at $199 per employee/month
Coverage
185+ countries
Time to hire
Vendor claim: 1-3 days in most locations once documentation and contracts are approved
Certifications
ISO 27001, SOC 2 Type II, GDPR
Support
24/5 customer support; 24/7 for hiring managers and global employees
What stands out
Transparent published pricing: EOR from $199/employee/month, free contractor tier, $25/mo premium contractor tier
Broad headline coverage: EOR in 185+ countries, contractors in 150+, visas/work permits in 110+
Stated no setup fees, minimum contracts or termination fees
Not a fit for
buyers needing a dedicated Contractor of Record product
enterprises requiring extensive compliance attestations beyond ISO 27001 / SOC 2 Type II
One of the oldest players in the category (payroll since 2008, EOR since 2009/2010) — a large logo base and solid ratings, but no published pricing and a mixed entity model.
7.5/10
★ 4.2 · 141 reviews
EOR price
On request
Coverage
187+ countries
Time to hire
Vendor claim: 2 days once accepted; 1-2 weeks standard
Certifications
GDPR
What stands out
Founded 2008, among the longest-operating vendors in the category; still led by founder/CEO Bjorn Reynolds
1,500+ organizations served, and independently registry-confirmed owned entities in at least Spain and Singapore
NelsonHall NEAT 2025 Leader (Global EOR services) and a G2 Fall 2026 Leader badge for Contractor Management
Not a fit for
buyers who want to compare EOR pricing without a sales call
teams that need one uniform, publicly-verifiable owned-entity story across every country
buyers who want to compare EOR pricing without a sales call
What it costs to employ someone in Luxembourg through an EOR
The examples assume a large EOR entity as employer, an employee on 12 salaries a year (no statutory 13th month), aged 18 or over, above the minimum wage, in the private sector. Gross pay is EUR 3,700 and EUR 7,400 a month, about USD 50,000 and USD 100,000 a year at the ECB rate of 1 EUR = 1.1269 USD on 2026-10-06: EUR 44,400 = USD 50,034 and EUR 88,800 = USD 100,069 (ecb.europa.eu, checked 2026-10-07). Both salaries are below the contribution ceiling of EUR 13,856.63 a month, so no cap applies.
Employer statutory contributions only, before the EOR’s own fee. Accident factor 1.0, Mutualité class 2 and occupational-health affiliation are assumptions. Source: CCSS notice to employers, 2026-01-16, checked 2026-10-07.
Gross salary
Employer statutory cost
Share of gross
Components
EUR 44,400
EUR 5,900.76
13.29%
Pension 8.50% = 3,774.00; health 2.80% = 1,243.20; cash-benefit surcharge 0.25% = 111.00; accident 0.65% = 288.60; Mutualité class 2 0.95% = 421.80; occupational health 0.14% = 62.16
EUR 88,800
EUR 11,801.52
13.29%
Pension 7,548.00; health 2,486.40; surcharge 222.00; accident 577.20; Mutualité 843.60; occupational health 124.32
Individual values are set per employer: Mutualité class 1 would cut 0.72 points from the total and class 4 would add 1.71 points. We found no employer payroll tax beyond the listed contributions and no salary-dependent relief.
History. On the same EUR 44,400 salary the employer total moved from 12.99% in 2021 to 13.07%, 13.16%, 11.90% in 2024, 12.88% and 13.29% in 2026. The 2024 dip comes from the Mutualité des employeurs rate for class 2, which was 0.01% that year against 0.95% to 1.22% in the other years; the pension rate rose from 8.00% to 8.50% in 2026.
Same salary every year, accident factor 1.0, Mutualité class 2, occupational-health affiliation. The 2024 dip is the class 2 Mutualité rate of 0.01%. Source: CCSS notices to employers, 2024 and 2026, and the notices for the other years, checked 2026-10-07.
Not included: continued sick pay, meal vouchers and private benefits, and the EOR fee. Dependency insurance (1.40%) is employee-only, and the 1.70% family-benefit contribution applies to the public sector.
The EOR’s own fee comes on top, and all fees below are in USD per month. Luxembourg-page prices: Playroll from $399 per employee, Skuad $549 on annual billing (list $699), Deel from $599 (management fee), G-P from $599 and Remote $699. Other figures: Pebl $399 (global plan), Remote People from $199 (global; its Luxembourg page gives $300-$600 as a market range) and Papaya Global $599 per employee (global, from a search excerpt). Multiplier, Rippling, RemoFirst, Safeguard Global and Atlas HXM publish no Luxembourg price, and we have no confirmed price for Rivermate.
Hidden costs, where published: Skuad’s annual plan is billed upfront for 12 months, with the discount depending on hiring volume (skuad.io, checked 2026-10-07). For every other vendor, setup fee, deposit, minimum term and termination fee are not published for Luxembourg. Treat a blank as unpublished, not zero.
When you don’t need an EOR
A role that is employment should not be relabelled as a contract. An agency mission is capped at 12 months for the same worker and post (L. 131-8). Whether an agency can be the sponsoring employer of a third-country national is not stated in the sources we read. Source: Labour Code, Legilux 2021-11-29, checked 2026-10-07.
A genuinely independent contractor. If the person sets their own hours and tools and can serve other clients, a contract is closer to the real relationship. See how to pay contractors in Luxembourg and our hiring guide. Directing the person like staff while calling them a contractor raises contractor misclassification risk.
A licensed Luxembourg agency, hired directly. For a precise, non-permanent task of up to 12 months, the agency regime is the lawful route. ADEM publishes a list of agency offices, version of 2024-11-07, which is not a register of authorisations (adem.public.lu, checked 2026-10-07).
A foreign agency posting to a client established abroad. ITM says no Luxembourg authorisation is needed in that case; for a Luxembourg user it is (itm.public.lu, checked 2026-10-07).
Your own Luxembourg entity, or the client registering as a foreign employer with the CCSS. We did not research either route, so we give no setup cost or timing. See permanent establishment and the EOR vs PEO comparison.
What changed in 2026
2026-01-01: the employer pension contribution rose from 8.00% to 8.50% of gross (employee also 8.50%, State 8.50%, total 25.5%), in force until 2032; the Chamber of Deputies passed the bill on 2025-12-18 (ccss.public.lu, santesecu.public.lu, checked 2026-10-07).
2026-01-01: the accident-insurance base rate fell from 0.700% to 0.650% before bonus-malus, and the Mutualité des employeurs rates were reset to 0.23% / 0.95% / 1.56% / 2.66% for classes 1-4 (2025: 0.07% / 0.99% / 1.48% / 2.64%) (ccss.public.lu, checked 2026-10-07).
2026-03-03: the EU Blue Card minimum gross annual salary rose to EUR 65,652 (ministerial regulation of 2026-02-23); it was EUR 63,408 from 2025-03-18 (FEDIL, checked 2026-10-07).
2026-06-01: wage indexation of 2.5% (index 968.04 to 992.24). The unskilled minimum wage went from EUR 2,703.74 to EUR 2,771.33 a month, the skilled from EUR 3,244.48 to EUR 3,325.59, and the contribution ceiling from EUR 13,518.68 to EUR 13,856.63 (FEDIL, checked 2026-10-07).
2026-06-07: transposition deadline of the EU Pay Transparency Directive (EU) 2023/970. We found no Luxembourg transposition law, and a draft was reported as being prepared by the Ministry of Labour; the status comes from a search extract and is unconfirmed (cms.law, checked 2026-10-07).
2026-07-04: sanctions for breaching the right to disconnect (2023 law) apply from this date. The EU single-permit directive deadline was 2026-05-21; we did not check Luxembourg’s transposition (lexgo.be, checked 2026-10-07).
Numbers vendors haven’t updated
Minimum wage. The rate in force is EUR 2,771.33 unskilled and EUR 3,325.59 skilled from 2026-06-01. Playroll’s guide gives the same. Atlas HXM gives EUR 2,570.93, the rate from 2023-09-01 to 2024-12-31; RemoFirst gives EUR 2,837; Rippling gives EUR 3,165.35 for skilled and EUR 2,637.79 and lower for younger categories. Remote’s page gives the 2026-06-01 figures and, elsewhere, EUR 2,570.93 and EUR 3,085.12; Remote People’s page gives EUR 2,703.74 in one place and EUR 2,771.33 from 2026-06-01 in another (itm.public.lu, playroll.com, atlashxm.com, remofirst.com, rippling.com, remote.com, remotepeople.com, checked 2026-10-07).
Employer cost. The CCSS rates give 13.29% for our assumptions, and the total moves with the individual Mutualité class and accident factor. Deel’s Luxembourg page estimates employer cost at 13.04% of employee salary; Playroll’s guide says roughly 12.5-15.3% (deel.com, playroll.com, checked 2026-10-07).
Contribution ceiling. EUR 13,856.63 a month from 2026-06-01 (EUR 13,518.68 before). Rippling’s page gives EUR 12,854.64 (rippling.com, checked 2026-10-07).
13th salary. The Code does not require one. RemoFirst’s guide calls one “customary” (remofirst.com, checked 2026-10-07).
How we built this page
Facts were collected and checked on 2026-10-07 against the Labour Code (Legilux consolidated version of 2021-11-29; later amendments not checked), ITM, ADEM, guichet.lu, the CCSS, FEDIL and law-firm material. Company details come from the Luxembourg trade register as mirrored by North Data, because direct register search did not open, and a company is tied to a vendor by name only; elsewhere we rely on vendors’ own statements. Vendors are ordered with stated own entities first, then partners, then those that don’t disclose, and within a group by published Luxembourg price and completeness of data; no vendor pays for placement.
Frequently asked questions
How much does an Employer of Record cost in Luxembourg?
Two layers. Employer contributions are 13.29% of gross up to EUR 13,856.63 a month: EUR 5,900.76 on EUR 44,400 and EUR 11,801.52 on EUR 88,800 a year (class 2 Mutualité assumed). The EOR fee is on top: Luxembourg-page prices run from $399 to $699 per month, and global lists start at $199.
Is Employer of Record legal in Luxembourg?
Luxembourg has no EOR category. Hiring people to place them with a company that directs their work is lawful only as a licensed temporary work agency (Labour Code L.131-1 and following: two authorisations, a financial guarantee, tasks that are precise and non-permanent, missions up to 12 months). Supply of employees outside that regime is prohibited (L.133-1). We found no Luxembourg law-firm text applying it to EOR, so the verdict is a reading of the Code.
What are the risks for a client using an EOR in Luxembourg?
If the supply falls under L.133-1, the contract is void, the client and the worker are treated as bound by a permanent contract from day one, and the client and supplier are jointly liable for pay and contributions. The criminal fine is EUR 500 to 10,000 per worker concerned (L.134-3).
Which EOR in Luxembourg says it has its own entity?
One of the 14 providers: Remote says "we own our own legal entity in Luxembourg", and Remote Luxembourg Sàrl is in the trade register. Skuad refers to a local partner. The other 12 don't say who the Luxembourg employer is; a Luxembourg company named after Deel, Multiplier, Pebl or Atlas is registered, but none of them states it as its employer.
Is there a public list of who holds the agency authorisation in Luxembourg?
We found none. The one public list we found, ADEM's list of temporary agency offices (version of 2024-11-07), is not a register of authorisations, and none of the 23 vendors we checked appears in it by name. That is not a finding of non-compliance. Ask a provider for its authorisation in writing.
What is the cheapest EOR in Luxembourg?
Among prices on a Luxembourg page, Playroll is lowest at from $399 per month, then Skuad at $549 on annual billing, Deel and G-P from $599 and Remote at $699. Global lists go lower, to $199 at Remote People. Price says nothing about the legal basis: ask who employs your hire first.
Should I hire a contractor instead of using an EOR in Luxembourg?
If the person works independently, yes: see [how to pay contractors in Luxembourg](/software/contractor-payouts/luxembourg/) and [our hiring guide](/hire-contractors/luxembourg/). See also [EOR vs PEO](/blog/eor-vs-peo/).
Can an EOR in Luxembourg sponsor a work permit?
Sources are silent on whether a temporary work agency or EOR can be the sponsoring employer of a third-country national. The Blue Card needs a contract of at least 6 months and EUR 65,652 gross a year from 2026-03-03; an agency mission is capped at 12 months. Skuad says its local partner can sponsor foreign workers for work permits.
Where to go next
These platforms head to head
The full listings
Hiring contractors in Luxembourg instead
Employer of Record in other countries
Sources
The vendor pages every fact came from, with the date each was checked.
14 platforms tracked in this category. Every fact in the entries above comes from the vendor's own pages — each carries a footnote with the source and the date we checked it, and where a vendor publishes nothing we leave the field out rather than guess. Scores are ours and are not for sale. Full methodology · Report an error
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