In the last 10 years, Luxembourg has become one of the top 25 destinations for job candidates from all over the world. Specifically Belgian, German and French professionals place it high on their list of preferred countries. This is the main conclusion of a study by recruitment agency Michael Page, which celebrates its 10th anniversary in Luxembourg this year.
Among Belgian job seekers, Luxembourg is in the top 5 of the most popular destinations: more than 43% of all professionals who are willing to relocate see the country as an attractive option to boost their career. The same goes for many German (37%) and French (25%) candidates. The results come from more than 18,000 candidates in Finance, Marketing, Engineering, HR and Sales who took the questionnaire worldwide.
Recruiting foreign talent
The numbers confirm what Michael Page has experienced in the last 10 years. “We have never seen such a high influx of foreign talent than at this moment”, says Maxime Durant, Director of Michael Page Luxembourg. “The main reason is that the country is rapidly becoming the gateway to Europe for international businesses.”
There is a high demand for quality talent from abroad, says Maxime Durant, “In Sales & Marketing, for example, around 30% of the senior positions are recruited from other European countries. Because of the good salaries, Luxembourg has become a very attractive place to work. To keep on attracting talent, the government is now investing a lot in new infrastructure and housing, which will make it easier for professionals to relocate or to commute. The additional benefit is that these big infrastructure projects also lead to more jobs in Property & Construction.”
Finding candidates in Risk Management
The market for finance professionals has also improved after a period of crisis, Maxime Durant continues, “The finance industry in Luxembourg completely reinvented itself after the challenges it faced. In the 10 years that Michael Page has been active in Luxembourg, the economic crisis of 2008 was the most difficult time for both our clients and candidates. Many operational jobs in finance were lost or relocated to Eastern Europe or Asia. Now that the market in Finance is booming, we see a shortage of specialist candidates in some positions”
The banks also had to reconsider their business model due to changing regulations, explains Maxime Durant: “Because of the new rules, which were put in place to avoid fraud and to be completely transparent for authorities, banks are now obliged to report on their activities. This led to an increasing need of specialists in Risk and Compliance Management, with knowledge of regulatory reporting. The job market for finance candidates shifted from generalists to highly skilled specialists. Those candidates cannot be recruited abroad, because they need to be specialised in Luxembourgish regulation. The percentage of foreign finance professionals is lower than in other roles: around 15%. It´s not easy to find candidates, however, because of our knowledge of the market – most of our consultants in the Finance Division have worked in the industry themselves – we can help companies to recruit the right person.”
Attracting global players in Finance
The finance industry is benefiting from the fact that many financial corporations are looking at Luxembourg as an alternative home after Brexit. Global players in Finance, such as Citi Group and M&G and insurers like AIG and FM Global already chose to open subsidiaries or divisions in Luxembourg. On top of that, the country managed to become the second largest fund domicile after the US, with more than €4 trillion in assets under management.
Helping international companies to relocate
In the 10 years that Michael Page has been active in Luxembourg, the business environment became more diverse and international, says Maxime Durant. “We often help companies, both in finance and in other industries, that are considering opening an office in Luxembourg,” says Maxime Durant. “Our added value is that we can advise them on things like salary bench marks, and social legislation and the type of candidates they can find in Luxembourg. Because of our international structure, we are also actively in contact with foreign candidates. Thanks to the pragmatic economic policy of the government, the country has become more accessible for foreign investors than ever before.”
The policy resulted in growing number of companies in all kinds industries: from biotechnology to the automotive industry. One of the growing industries is the IT sector. All big IT companies, like Microsoft, Skype, IBM, Amazon and Vodaphone, have offices in Luxembourg. “The IT industry in Luxembourg is still in development”, says Maxime Durant, “but I definitely see it as one of the most promising industries in Luxembourg, which will generate a lot of new jobs in the future.”
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