Guide to hiring employees in Belgium

Employee benefits in Belgium

Mandatory benefits 

Bonuses
Employers must pay two additional salaries per year, as well as a voucher according to Belgian employment law. Details of these bonuses are as follows:

• 13th month bonus -  a holiday allowance payment delivered in May. This payment is calculated based on the previous calendar year.
• 14th month bonus - an end-of-year payment delivered in December. This is representative of the monthly salary.
• Eco voucher - a one-time voucher paid in June and to the value of 250 EUR

Retirement benefits
All monthly pensions are linked to the cost-of-living index, with a full pension representing 75% of the base salary for a married employee with a dependent spouse and 60% for single employees.

In Belgium, the 'single' pension is paid to each spouse in the majority of cases since both spouses generally have a professional income. Base earnings are the average lifetime base earnings adjusted in line with the cost of living index. Benefits are adjusted similarly. However, salaries used for pension calculations of monthly paid employees and hourly paid employees are limited to a ceiling.

That said, a minimum pension is guaranteed for employees with a full career (or a partial career representing at least 2/3 of a full career).

Disability benefits 

Employees are entitled to disability benefits equal to 30 days’ income. Hourly paid employees are eligible for full income for one week, with a lower rate paid for the subsequent three weeks. The latter payment is shared between the employer and the state.

If the employee’s loss of earnings due to disability is at least two-thirds, they will receive a statutory benefit for the next 11 months, equal to 60% of their yearly gross salary (up to a maximum of 45,858.79 EUR if the employee is the breadwinner, single or living with a person receiving income).

Medical benefits
Belgium has a strong healthcare system and employers can provide medical and hospital care reimbursements. These are determined in agreement with the government's health authorities, hospitals, clinics and physicians.

Supplementary benefits

Workplace perks
When considering supplementary benefits for your employees, think about what would be most helpful to their needs and how you can help them create the best possible sense of work-life balance. This will help to create a more productive and engaged workforce, thus having a positive impact on your business output.

Additional benefits could include:

• Flexible and remote working options
• Transportation allowance
• Profit sharing
• Additional holiday allowance

Types of leave available in Belgium

Annual leave

Employees in Belgium must work continuously for a full year before receiving any holiday entitlement. Full-time employees are entitled to 20 paid holidays per year if they are working a 38-hour week. Those who work a 40-hour work week are entitled to 21 days of paid leave per year.

Part-time employees receive paid annual leave entitlement on a prorated basis.

Sick leave

If an employee needs time off for sickness, they are entitled to a guaranteed salary during the first 30 days of incapacity. After the first month, the social security system takes over the payment, limited to 60% of the employee’s salary. In order to receive this, employees must:

• Notify the employer immediately if they are unable to work
• Provide a medical certificate stating their inability to work and the estimated period needed to recover
• Agree to an additional check-up by a doctor, chosen by the employer

Maternity and paternity leave

In Belgium, maternity leave is split into two periods:

• The prenatal rest period - maximum period of six weeks of maternity leave (eight weeks in the event of a multiple pregnancy) before the presumed date of birth. Only one week is considered as a mandatory period of time off while the remaining five are optional.
• The postnatal rest period: minimum of nine weeks (11 weeks in the event of a multiple birth) after giving birth

Pregnant employees do not receive a salary during maternity leave, but they should receive statutory maternity allowance from the health insurance fund.

After the birth of a child, fathers or co-parents are entitled to 20 paid days of paternity leave. Belgium employers pay the first three days at 100% of the employee’s wage, and the following days are paid by the health insurance fund at 82% (limited to the wage limit of the illness benefits).

Employees can choose to plan the days within a four-month period, starting from the day of birth. Multiple births have no impact on the number of paternity leave days.

Public holidays in Belgium

Belgium observes 10 public holidays, many of which are religious holidays as well as regional holidays:

• New Year’s Day
• Easter Monday
• Labour Day
• Ascension Day
• Whit Monday
• National Day
• Assumption Day
• All Saint’s Day
• Armistice Day
• Christmas Day

Attracting talent in Belgium

According to data from the OECD, 64% of Belgian citizens are currently employed, and the nation has a high ranking among the happiest workforces in the world.

Belgium has stringent employment regulations, meaning that compliance with mandatory benefits are of paramount importance during the recruitment process. Supplementary benefits are also very common across the nation from employers looking to hire the best talent in Belgium.

Some of the most common ways to attract talent in Belgium include:

Competitive salary

Belgian employees are often open to travel, and its location as a gateway to Europe means that national employees are prepared to consider international job positions if the salary offered is attractive.

Regardless of how many additional benefits a company offers, it is difficult to attract top talent if the position doesn’t have an internationally competitive salary. Therefore, it’s important to ensure the salary you propose competes with the global industry average.

Private health insurance

Private healthcare benefits are a tax-free perk that enables employees to save on insurance expenses. You could consider dental coverage, optical insurance, or food and drink allowances to help in attracting high-quality candidates.

There is also the option of more specific wellness benefits, such as health club or gym memberships, mental health leave or therapy allowances.

Additional paid leave

As well as giving your employees more time to recharge, generous time off signals that your company genuinely cares about the well-being of its employees.

Offering a few additional days off in addition to the mandatory annual leave and public holiday allowance means a lot to potential employees, particularly in Belgium where people tend to have a passion for travelling.

Termination of employment in Belgium

Notice period

The minimum notice period for employees in Belgium is two weeks for less than three months of employment. This is then increased based on the length of continuous employment. The termination of an employment relationship can be initiated by either the employer or employee or through mutual agreement.

Belgian employers can terminate an employment contract by either providing proper legal notice or by paying an indemnity in lieu of notice. In the latter case, the employment agreement will be terminated immediately. The employee can appeal to the court if they feel the dismissal is unjustified, and additional compensation may be due if the court deems the dismissal to be unfair.

Individual dismissals
In the event of an individual dismissal, the employer and the worker must decide between proceeding with serving a notice period or ending the contract immediately with severance pay. For the latter case, the severance pay will typically equal the wage and benefits of the employee, multiplied by the intended duration of the notice period. 

Collective dismissals
Belgian labor laws also dictate that full-time workers who are affected by collective dismissal be eligible for severance pay in addition to certain unemployment benefits.

Protection against dismissal

Employees who have been unfairly dismissed by a company are entitled to compensation worth three to 17 weeks of their annual salary. An unfair dismissal is one that is carried out without relation to an employee's performance or to the business needs of the organisation.

Probationary periods

Probation periods are not permitted in Belgium, the only exception being the first three days of a temporary agency work agreement.

Severance pay

Severance payment is generally only applicable if the employer has not provided proper notice of termination.

Are background checks compulsory in Belgium? 

In Belgium, criminal background checks are only required in specific industries. A company can view a candidate’s information on social media as long as the record is public. Employers can conduct medical tests in particular sectors, but this must not involve genetic testing.