The skilled crafts sector in Luxembourg remains stable, but pressure is mounting, according to Tom Wirion, Director of the Chamber of Skilled Trades and Crafts, who presented the 2025 report at a press conference on Tuesday.

Although the sector appears stable, with nearly 10,000 businesses and over 105,000 employees, profitability is increasingly under pressure. Declining productivity, rising costs – particularly for energy, materials, and wages – and a digital transformation that remains insufficiently exploited are making it increasingly difficult for many businesses to operate profitably. The figures presented on Tuesday confirm this trend.

In the construction sector, productivity dropped by 33% between 2019 and 2024. In 2024, more than one in three craft businesses failed to make a profit, a situation affecting nearly 30% of jobs in the sector. Additionally, since the end of 2022, many companies have scaled back their investments owing to economic uncertainty and increasingly difficult access to finance.

To address these challenges, the Chamber of Skilled Trades and Crafts is calling for a proactive approach. Key priorities include improving access to finance, providing targeted state support, significantly simplifying administration, and boosting the appeal of the skilled trades – both for young people in Luxembourg and for skilled workers from abroad. Reviving the construction of affordable housing is also viewed as a key factor in stabilising demand and production.

According to the chamber, artificial intelligence offers substantial potential as well. Currently, around four out of ten businesses are already using AI tools, but their integration remains limited and will require more training and support.