Employment & Labor Law
Senior executives in Luxembourg: does your status reflect your actual duties?
A contract may describe an employee as a senior executive even though their day-to-day working arrangements resemble those of the rest of the team. Conversely, some roles involve genuine autonomy that is not clearly reflected in the job title. Assessing the status requires comparing the contract’s wording with the reality of the role.
Two dimensions to examine together
The ITM sets out cumulative conditions relating to remuneration and duties. Remuneration must be substantially higher than that of employees covered by a collective agreement or otherwise paid according to a salary scale, taking account of the time required for the role. It must correspond to genuine management powers or duties involving defined authority, considerable organisational independence and substantial freedom over working hours. The statutory overtime pay regime does not apply to genuine senior executives. [1]
This definition calls for avoiding a shortcut: a high salary, a director’s title or a signed clause does not replace an assessment of all the criteria.
Describe the decisions you actually make
Prepare concrete examples of your work. Can you authorise expenditure, decide priorities, organise a team or approve a project without systematically seeking permission? Which decisions remain subject to your superior’s approval? Also describe what usually happens when you are absent or change your working hours.
An organisation chart is a starting point, but it must be compared with delegated powers, approval processes and the instructions actually applied. Avoid summarising autonomy as “I work alone”: the absence of constant supervision does not, by itself, establish what powers you hold.
Compare the contract with how the work is performed
Gather the job description, amendments, appraisals, working-time rules and remuneration details. Note changes over time. An employee may have been recruited for responsibilities that were later reduced or, conversely, may have received additional powers. The assessment must identify the period concerned by the disagreement.
For employers, this check is also useful before using a standard clause. The classification must be explainable by the organisation of the business and the substance of the duties, rather than simply by a choice of terminology.
Separate the status issue from the financial claim
If the dispute concerns hours worked, prepare two connected files: evidence of your status and a breakdown of the hours claimed. Challenging senior executive status does not remove the need to document the work performed. Conversely, a list of hours does not answer the whole classification question.
Do not award yourself compensation by stopping work on certain days. First have the documents, applicable rules and deadlines reviewed.
Is a manager’s title enough?
The title must be assessed against the conditions described by the ITM and the duties actually performed. It is no substitute for that analysis.
Which documents should you prepare first?
The contract, job description, working-time rules and a few examples of decisions are a good starting point. Remuneration records then complete the assessment.
KM Legal assists employees and employers in checking classification and its implications for the employment relationship.
Sources and references
Institutional sources consulted on 6 November 2026.
Further reading
[ Recent Publications ]
