How EOR Services Work in Belgium

Employee Hiring: The EOR hires employees on your behalf and becomes the legal employer.
Contract Management: Employment contracts are drafted according to local labor laws and your business requirements.
Payroll and Taxation: The EOR manages payroll processing, ensures accurate tax deductions, and remits social security contributions.
Compliance Monitoring: The EOR ensures that your business adheres to Belgian labor laws, tax regulations, and statutory benefits.
Employee Support: Provides assistance with onboarding, benefits, and local HR issues.

Advantages of Using Global EOR Services in Belgium

No Need for a Legal Entity: Expand your business without establishing a subsidiary, saving time and resources.
Faster Market Entry: Start operations quickly by outsourcing compliance and administrative tasks to the EOR.
Risk Mitigation: Minimize risks of non-compliance with Belgium’s complex labor laws and tax regulations.
Cost Efficiency: Reduce overhead costs associated with maintaining a legal entity and administrative staff.
Local Expertise: Benefit from the EOR’s in-depth knowledge of Belgium’s labor market and regulations.

Employment Law and Considerations for EOR Services in Belgium

Belgium has one of the most comprehensive and employee-focused labor law frameworks in Europe. Its legislation ensures strong employee rights and establishes clear obligations for employers. Below is an overview of the key aspects of employment laws in Belgium.

Key Employment Laws in Belgium

Types of Contracts:
Fixed-term: Must include an end date and specific conditions.
Indefinite-term: The most common type of contract with no pre-determined end date.
Part-time: Includes all terms proportional to working hours.
Temporary: Typically used for short-term projects or specific events.
Language Requirement: Contracts must be written in the official language of the region: Dutch (Flanders), French (Wallonia), or German (German-speaking region).
Mandatory Clauses: Contracts must include job roles, salary, benefits, and working hours.

Employment Contracts in Belgium

Types of Contracts:
Fixed-term: Must include an end date and specific conditions.
Indefinite-term: The most common type of contract with no pre-determined end date.
Part-time: Includes all terms proportional to working hours.
Temporary: Typically used for short-term projects or specific events.
Language Requirement: Contracts must be written in the official language of the region: Dutch (Flanders), French (Wallonia), or German (German-speaking region).
Mandatory Clauses: Contracts must include job roles, salary, benefits, and working hours.

Working Hours and Overtime

Standard Workweek:
The legal maximum is 38 hours per week.
Employers may arrange for flexible work schedules with average working hours calculated over a reference period.
Overtime Rules:
Allowed only under specific conditions and must be compensated with additional pay or equivalent time off.

Leave Entitlements

Annual Leave: Employees are entitled to 20 days of paid annual leave, calculated based on work performed in the previous calendar year.
Public Holidays: Belgium observes 10 public holidays, including New Year’s Day, Easter Monday, Labor Day, and Christmas Day.
Sick Leave: Employees are entitled to full pay for up to 30 days of illness, after which social security benefits apply.
Parental Leave: Parents can take up to 4 months of parental leave per child, which can be taken in blocks or part-time arrangements.
Maternity and Paternity Leave:
Maternity leave: 15 weeks (up to 19 weeks in certain cases).
Paternity leave: 15 days, with partial pay from social security.

Employee Benefits and Contributions

Belgium mandates several benefits for employees, including:
Health insurance
Pension contributions
Unemployment benefits
Family allowances
Meal vouchers or allowances (commonly negotiated in CBAs)

Termination and Severance

Notice Periods:
The notice period varies based on tenure and must be specified in the employment contract.
Example: One week for the first three months of employment, increasing progressively.
Severance Pay:
Employees terminated without notice may be entitled to severance pay.
Protection Against Dismissal:
Certain categories, like pregnant women and union representatives, have additional protections.

Anti-Discrimination Laws

Belgium enforces strict anti-discrimination laws. Employers cannot discriminate based on age, gender, religion, disability, or other protected characteristics.

Social Security Contributions

Employers and employees contribute to the social security system, which covers healthcare, pensions, unemployment, and family allowances.

Employee Contribution: Around 13.07% of gross salary.
Employer Contribution: Approximately 25-30% of the employee’s gross salary.

Wages and Salary

Minimum Wage: Belgium has a statutory minimum wage, which is adjusted annually based on indexation. The minimum wage also varies by sector and collective bargaining agreements (CBAs).

13th-Month Pay: Employees are often entitled to an additional month’s salary, known as a holiday allowance or end-of-year bonus.

Collective Bargaining Agreements (CBAs)

Many employment conditions, including wages, benefits, and working hours, are governed by CBAs negotiated between employers and trade unions.

Health and Safety Regulations

Employers must ensure a safe working environment, comply with occupational health standards, and provide adequate training to employees.

Understanding Belgium’s employment laws is essential for businesses hiring locally. For compliance and seamless workforce management, consider using Employer of Record (EOR) services to handle these legal complexities effectively.

Get Started with EOR Services in Belgium

If you’re ready to hire employees in Belgium and expand your operations, our EOR services can help you navigate the complexities of employment laws and compliance.
By partnering with an Employer of Record (EOR), businesses can ensure full compliance with these employment laws while focusing on their core operations.
Contact us today to learn more about how we can support your growth in Belgium!