Luxembourg knows how to attract and retain talent. That is the conclusion of the 2021 version of the Global Talent Competitiveness Index (GTCI). Compared with the 2020 edition, Luxembourg has maintained its 8 th position at international level but has now climbed to 5th among EU Member States. The index confirms that Luxembourg is one of the most attractive countries in the world.
Attractive and appealing
In an increasingly globalised world, having a well-trained, motivated labour force is a key factor in national competitiveness. The results of the GTCI study confirm that Luxembourg does best when it comes to attracting and retaining talent.
Luxembourg performs particularly well in attracting talent – it is even ranked first in this category, mainly because of its external openness, especially its ability to attract foreign companies and talent. Luxembourg's welcoming culture, the openness of its population to foreigners and its multilingualism are other factors that draw talent.
The country is also very good at retaining talent, thanks to its pension system, environmental performance and social protection. The "Talent Impact" sub-pillar reveals that the country has a high degree of entrepreneurial spirit, which contributes to a strong pool of global knowledge skills, indicates INSEAD.
Alongside the cities of Geneva, Dublin and Zurich, Luxembourg also puts in a strong performance in terms of advanced technologies such as fintech, healthtech and medtech. However, Luxembourg's pool of vocational and technical skills is its main weakness.
Europe in the lead
This year's ranking sees European countries dominating the top spots, with 17 among the top 25. Switzerland, Singapore and the United States lead the field, followed by the Nordic countries (Denmark, 4th; Sweden, 5th; Finland, 7th; Norway, 9th and Iceland, 10th), while Western European countries such as the Netherlands (6th), Luxembourg (8th) and the United Kingdom (12th) are also among the best performers.
With regard to Luxembourg's neighbours, Germany comes in 14th position, Belgium in 17th, and France makes its entry into the top 20 this year, climbing to 19th position.
The GTCI ranking for cities is dominated by the United States and Europe. The most competitive city in terms of talent in the 2021 edition is San Francisco. Two other US cities also figure in the top 10 (Boston and Seattle), while the other seven are in Europe – Luxembourg, Geneva, Zurich, Dublin, London and Helsinki – and Asia – Singapore.