Luxembourg is small country with the highest GDP per capita in the EU. Yet, the employment gap between men and women remains very large. In accordance with the population’s high living standards, long term care insurance is covering most of the care needs.

However, in household-related non-care PHS undocumented work continues to be culturally accepted. Tax deductions and a simplified administrative procedure for direct employment of domestic workers have been introduced in order to facilitate a transition from undeclared work to formal employment for households, but so far only high income households seem to have profited from it.

As far as domestic workers are concerned, their situation has improved, but remains problematic especially in the case of migrant workers.