Newsflash: Summer update

1. Wage margin and corona premium

The Royal Decree determining the maximum “wage margin” was published in the Belgian Official Gazette on 9 August 2021. The wage margin determines how much the average wage cost per employee may increase during a two-year period. For the period 2021-2022, a maximum margin 0.4% has been set.

Furthermore, the government has introduced a “corona premium” (granted by means of a voucher) that gives companies that have achieved good results (despite the corona crisis) the opportunity to grant a one-off increase on top of the 0.4% wage margin in 2021. Please note that there is no legal interpretation of the term 'good results'. The government leaves this interpretation up to the social consultation.

• the premium can be granted until 31 December 2021 and is granted via a collective bargaining agreement or an individual agreement with the employees;
• the premium amounts to a maximum of EUR 500 net per employee for the year 2021;
• an employer social security contribution of 16.5% is due on the premium;
• the premium should be granted via vouchers which are valid until 31 December 2022; and
• the premium/vouchers can be spent in multiple stores and establishments.

2. Unemployment regime with company allowance, “end-of-career jobs” and unemployment for economic reasons

On 23 July 2021, the National Labour Council (NLC) published a large number of collective bargaining agreements (CBAs) on (i) the unemployment regime with company allowance (UCA), (ii) “end-of-career jobs” and (iii) unemployment for economic reasons for white-collar workers.

i. The NLC has concluded a collective agreement concerning UCA on:

• the extension and modification of the more flexible age conditions within the framework of UCA (CBAs n°. 150, 151 and 152) for persons who are in the regime of UCA medical reasons, heavy occupations and night work and long occupational history; and
• losing the condition to remain available for the labour market within the framework of UCA (CBAs n°. 153, 154 and 155).

i. The NLC also amended the conditions in CBAs n° 156 and 157 regarding access to the rights to benefits in the context of “end-of-career jobs” for employees with a long occupational history, heavy occupations or within a company in difficulty or restructuring.

ii. The NLC also concluded a CBA regarding the extension of unemployment for white-collar workers for economic reasons (CBA n° 159). This national CBA ensures that, in the absence of a sectoral CBA, companies do not first have to negotiate a CBA or draw up a business plan to introduce economic unemployment for white-collar employees.

3. Corona: Lump-sum office allowance of EUR 144.31

The social security and tax authorities accept a fixed office allowance of EUR 129.48 per month for homeworking. This flat-rate office allowance is thus exempt from social security and withholding tax for employees who structurally work from home.

It was now decided to temporarily increase this maximum amount during the months July, August and September 2021 to EUR 144.31 per month.

4. Corona: Extension of support measures in care, education and contact tracing centres until 30 September 2021

During the corona crisis, the government has already taken several support measures for health care, education, contact tracing centres and vaccination centres. The government has extended these measures until 30 September 2021.

It concerns the following measures:

• successive employment contracts for a definite term for employees who are temporary unemployed;
• posting of employees in healthcare institutions;
• engaging temporary employment of temporarily unemployed persons and unemployed persons with company allowance in care, education or contact tracing centres;
• student work in the care and education sectors;
• additional voluntary overtime quota of 120 hours on top of the legal quota of voluntary overtime hours for crucial sectors;
• volunteers in care for the elderly (that are not established as non-profit associations); and
• temporary unemployment due to force majeure via a simplified procedure.

Also some new measures were introduced. Most important ones are:

• sectors with reduced activity due to COVID-19, that had to close due to COVID-19, or that created employment can obtain a reduction in social security contributions for a maximum of five employees per establishment unit; and
• for the socio-cultural sector: an increase of exemption of social security contributions up to 50 days in 2021 (previously 25 days).

5. Corona: Update generic guide

A new version of the generic guide has been published now that teleworking is no longer compulsory (please note that the English version is not modified yet). The generic guide contains a set of practical measures for working in conditions that are as safe and healthy as possible. Sectors and companies can further tailor these measures to the workplace.