New Banking Collective Bargaining Agreement in Luxembourg
Is your bank compliant?
To follow the general evolution of the banking sector, the ABBL and trade unions worked together to develop a new Collective Bargaining Agreement (hereafter CBA) that is in line with the development of jobs and business lines in the banking sector. The new CBA is:
- Adapted to the rapidly changing banking sector;
- Clearer and more transparent;
- Financially more attractive.
What does the new CBA cover in terms of job structure?
The new CBA presents a new patent matrix of competencies, along with a change in job grading. In this context, the former 1-6 classification will disappear by 2020 and will be replaced with a revised four-level group classification from A – D. The classification takes into account five evolution criteria, namely:
- Human relations and
- Team management, coordination & expertise.
The sum of the five evolution criteria are then re-arranged in the 4 levels from A-D, depending on the function and role.
The remuneration system has also been simplified and modernised and all ABBL members will have to comply with the minimum reference salary as well as other remuneration prerequisites. The driver for salary evolution will be acquisition, development and use of competencies. An annual envelope of 1% is granted and allocated to employees who have demonstrated new competencies. The starting scales and seniority allowances will increase.
Deloitte’s tailored approach prepares you for the new job classification model
In light of the new Banking CBA in Luxembourg 2018-2020, all Banks will have to comply with the job structure and documentation by January 2020.
Our Human Capital Advisory Services team can support you by conducting the job grading exercise, ensuring compliance with the CBA requirements and a smooth transition to the four new job groups.
Our approach can be tailored to your needs and may include reviewing and updating your job descriptions, conducting the job grading exercise, making recommendations or adapting the remuneration structure if required and supporting you on communication regarding the project.
Key benefits of implementing the new CBA with the help of Deloitte
- Compliance with the Banking CBA in terms of job structure and documentation;
- Fast and smooth implementation of the CBA requirements;
- Customised approach to your individual specificities;
- Unique combination of our Banking sector experts working hand in hand with our Human Capital Advisors.