Belgium Government Updates Rules for Employee Dismissal

(Bristol, UK) - Belgian Government introduced a Collective Labour Agreement on 12 February 2014

wherein it is mandatory for employers to state the reasons for dismissal ofemployeesworking for more

than six months. This new harmonised dismissal rule is applicable to both blue-collar and white-collar

workers in Belgium. The new rule is effective from 1 April 2014 and may have severe impact on

company HR policies, reports Nair & Co., the leading provider of Global HR Services for companies

expanding overseas.

This new rule does not apply to employees who are dismissed:

within 6 months of commencing their employment

working under a short-term contract

working under a student contract

working under the unemployment framework within a company allowance regime

working under the contract within indefinite duration from the first day of the month in which

they reach the legal retirement age

ultimate termination of the position

closure of the company

collective dismissal

If employer fails to give reason, the employee may request a formal reason for dismissal within two

months after the employment contract ended. However, if the employment contract is completed upon

notice, request must be made within six months after the notification of the notice but no later than

two months from the end of the employment contract. It is not necessary for the employer to reply to

employee’s request if they have already informed the employee of the dismissal reason in writing.If the

employer fails to provide a valid reason, the employeemay be entitled an additional two weeks’ of

remuneration.

Old rules applying to unfair dismissal are applicable to blue collar workerswho are dismissed or for

whom the exception of fixed notice period applies until 31 December 2015. This means responsibility

lies on the employers to pay an additional six months compensation and provide necessary proof.

Nair & Co. advises companies operating in Belgium to review their process and take appropriate

measures in order to avoid liability and penalties resulting in unreasonable dismissals.

For more information about doing business overseas or to learn more about our International HR Laws

team please contact us.

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About Nair & Co.

Nair & Co., the leader in international business expansion services, provides accounting, HR, legal, tax

and compliance services for the set up and management of your international operations. Our model of

a single-point-of-contact, supported by internal teams of experienced advisors, helps clients expand

business and manage risk so they can focus on their core business and sustain growth with minimal risk,

stress and cost. We support nearly 250 clients in over 70 countries. Nair & Co. is headquartered in

Bristol, UK, has 450 employees and offices in China, India, Japan, Singapore, and the US. Learn more

at www.nair-co.com

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