Besides introducing a new regime for certain investors, the law of 8 March 2017 (modifying the law of 29 August 2008, the “Law of 2008”) foresees a new status for third-country nationals (“TCN”) in the case of temporary Intra-company transfer (“ICT”). This new law implements the Directive 2014/66/EU on the conditions of entry and residence of TCNs in the framework of an intra-corporate transfer (“Directive 2014/66/EU”)

An Intra-group temporary transfer is defined, by the Law of 2008 (in identical terms to the definition provided by the Directive 2014/66/EU), as the temporary secondment for occupational or training purposes of a TCN who, at the time of application for an intra-corporate transferee permit, resides outside the territory of the Member States, from an undertaking established outside the territory of a Member State, and to which TCN is bound by a work contract prior to and during the transfer, to an entity belonging to the undertaking or to the same group of undertakings which is established in that Member State, and, where applicable, the mobility between host entities established in one or several second Member States.

This new regime applies to qualified executives, experts and trainees (as defined by the Law of 2008).

The application is filed by the host entity that shall, among others:

• provide proof that the host entity and the company established in the third country belong to the same undertaking or group,
• provide evidence of employment within the same company or group from 3-12 months (for managers and experts) and 3-6 months (for trainees)
• provide a work contract containing certain information on the details of the transfer and the work conditions (e.g. duration, location, remuneration, required qualification, etc…)

The authorisation of stay as ICT is granted for a minimum of 1 year up to the duration of the assignment (however max. 3 years). For trainees, the authorisation of stay is limited to 1 year maximum.

A new application by the same TCN for an ICT work permit is possible, however only after a period of 6 months after the end of the validity of the ICT work permit and the new application.

Once issued, this authorisation to stay gives an employee and his/her family members the right to reside and to work in Luxembourg. The authorization of stay of the family members expires simultaneously with the ICT work permit.

With regard to intra-EU mobility, the ICT regime foresees the following:

For short term mobility:

A TCN that holds a valid ICT work permit of another EU country is entitled to work in Luxembourg in a company part of the same group for a period of up to 90 days in any 180-day period, provided certain notification requirements are fulfilled.

For long-time mobility:

A TCN that holds a valid ICT work permit of another EU country may also be authorized to work in Luxembourg in a company part of the same group for a longer period than 90 days. Such authorization is however subject to a separate authorization and a simple notification to Luxembourg authorities is not sufficient. In certain cases, the TCN may already start working in Luxembourg also before the Luxembourg authorities have decided upon the application.