Belgian labor laws are focused on the well-being of the employees and protect them from discrimination. Collective bargaining agreements are usually between the trade union and the employer (a company or an individual).
Employee Contract
Public and Provincial Holidays
Leave Information
Basic
As for the language of the employment contract, either Dutch, French, or German is mandatory, depending on the employee’s place of work or the registered office of the business firm.
Probation Period
There is no statutory law for probation period in Belgium.
13th Month Pay
Most companies pay the 13th-month salary as a bonus to their employees, at the end of the year, before Christmas.
Employee Benefits
Employers in Belgium may provide the following benefits to their employees:
- Social Security.
- Pension Insurance.
- 13th Month Salary.
- Maternity Leave.
- Paternity Leave
- Holiday Bonus
- Annual and other leaves
- Healthcare and Insurance
The payroll cycle is set once a month, and salaries are usually paid at the end of the month.
As of 2023, the minimum wage set by law in Belgium is €1,955 per month.
Any hours exceeding the regular 38 working hours a week are considered overtime and should be paid at 150% of their regular rate. Overtime is paid at 200% of their regular wage rates on Sundays and public holidays.
Employer Payroll Cost:
| Type of Contribution |
Contribution |
| Social Security Contribution |
18.75% (Minimum wage: 1400, Maximum wage: 9,400) |
Employee Payroll Cost:
| Type of Contribution |
Contribution |
| Social Security Contribution |
11% (Minimum wage: 1,400, Maximum wage: 9,400) |
Employee Income Tax
| Annual Taxable Income |
Tax rate % |
| From 0 to 15,000 |
0 |
| 15,000 to 30,000 |
2.5% |
| 30,000 to 45,000 |
10% |
| 45,000 to 60,000 |
15% |
| 60,000 to 200,000 |
20% |
| 200,000 to 400,000 |
22.5% |
| More than 400,000 |
25% |
VAT
Belgium follows a standard VAT of 21%.
An employment contract can be terminated depending on the employment agreement between the parties by serving a notice period, payment of indemnity, or a combination of both. Employees with service over six months have the right to be informed of the reason for termination.
Notice period varies depending on the length of employment. During the probationary period, it is up to 3 weeks, and for permanent employees, it ranges from two to thirteen weeks.
Severance pay
In the absence of a notice period on termination, employees are entitled to severance pay which would equal the amount they would earn during the notice period.
Belgium allows the citizens of the European Economic Area (EEA) and Switzerland to work freely in the country. A work and/or residence permit is needed for other citizens to work in the country.