Every fifth employee works in the craft

« The craft is the backbone of our economy, » said Minister of Economics Lex Delles (DP) on Tuesday when the presentation of the Handicrafts 2024. The sector has lived through difficult times in recent years.

Tom Oberweis, President of the Chamber of Crafts (CDM), spoke of crises, uncertainty and that the companies would have to prepare for the challenges of the future. « The craft businesses suffer greatly from the unpredictability of the economic future, » he said.

The craft is still the largest employer in Luxembourg. According to the CDM, the number of employees has risen an average of three percent per year since the 1970s – until 2024. At that time, 103,000 people worked in craft businesses and another 1,700 people were trained, in the previous year there were still 107,144 people.

« The difficult economic environment in 2024 led to an unprecedented decline in 4,200 employees in the construction industry, » says the Chamber of Crafts. For the current year, however, the Chamber of Crafts is expecting a trend reversal. « The entrepreneurs repeat more into the economic future, even if they are still careful. »

In other areas of the craft, however, the number of employees increased. In 2024 net 95 butchers, bakers and other food craftsmen were added and the number of building cleaners, landscape gardeners and florists rose by 557 people. The number of employees in the handicraft also rose by 96 people in the same period.

The craftsmen are getting older

The Chamber of Crafts also dealt with the future of the sector. Four points could become challenges. « A survey has shown that the craftsmen do not always find suitable locations, which brakes their economic development, » the CDM writes in its press release. Overall, there is no space of 68 hectares, which corresponds to 95 soccer fields. 78 percent of the companies surveyed stated that the existing properties were too expensive, 62 percent said that there was simply no sufficient building land.

The second problem child of the craft is the offspring. « A almost third of the employees is 50 years and older, » said the Chamber of Crafts. In the coming years, many bakers, mechanics, hairdressers or electricians will retire, and the shortage of skilled workers will continue to exacerbate. « A labor offensive is necessary, » emphasizes the CDM. The craft must be interesting for the Luxembourg youth and at the same time talents from abroad would have to come to Luxembourg.

The employees in the craft are getting older, which also applies to the operating owners. Almost half are older than 50 years, it is now important to prevent craft businesses from having to close when the boss retires. « We suggest promoting the handover of the company within the family or to an employee, » said the CDM.

« The craft is the engine for the transition to a more sustainable economy, » said Minister Delles. But this engine threatens to stutter in the future. The Chamber of Crafts determines a decline in investments into new technology. The number of employees in the administration, on the other hand, continues to increase: in 2024, almost every third employee was no longer in the kitchen, in the workshop or on the building, but took care of the bureaucracy.

The CDM calls on the state to improve in the field and to secure the productivity and competitiveness of the Luxembourg craft businesses. The minister then promised improvements. « By supporting the craft, we are building together on the future of Luxembourg, » says Lex Delles.