Offering the best Belgium compensation and benefits will help your company stand out from others in your industry, attract skilled candidates, and stay compliant. However, it’s easy to overlook benefits and compensation when you’re also running multiple company locations, learning complex tax laws, and hiring a new team.
G-P understands the complexities of an expansion, which is why we offer a solution. You can leverage our Belgium subsidiary to start working without going through the lengthy process of setting up your own entity.
Belgium compensation laws
Belgium’s legal minimum wage varies by region and level. The country also has many Collective Bargaining Agreements (CBAs) and trade unions that could change the minimum wage for certain industries or sectors.
According to Belgium compensation laws, employees who work overtime during the day generally receive 50% above their normal rate and double their normal rate on Sundays and public holidays.
Guaranteed benefits in Belgium
Companies must give out all guaranteed benefits required by law to stay compliant, which includes 10 days off for the country’s public holidays and annual vacation leave at the start of each year (calculated based on how many months the employee worked the previous year).
Office employees should also receive a vacation bonus that’s 1/12 of 92% of their gross salary for the month the holiday starts, multiplied by the number of months they worked in the previous calendar year.
Pregnant employees are entitled to a generous maternity leave that includes 2 periods — a prenatal and a postnatal rest period. Prenatal rest periods can start 6 weeks before the expected date of birth, and the postnatal rest period is a minimum of 9 weeks after the birth. Fathers should receive 20 days of paternity leave, which they must take within 4 months after the birth.
Belgium benefits management
Belgium is known for its generous benefits, and your Belgium benefits management plan should include supplemental benefits that employees may expect. Many employers choose to give out a 13th-month bonus at the end of the year, for example, and some also add half of a 14th-month bonus.
We recommend budgeting an additional 35% for benefits on top of an employee’s gross salary.
Restrictions for benefits and compensation
You must establish a legal subsidiary in Belgium before you can give out compensation and benefits. Depending on your structure and where you choose to incorporate within the country, you could spend several months setting up your subsidiary before being able to pay employees.
Partner with G-P to build your everywhere workforce.
As your partner in global expansion, G-P will handle payroll and compliance, so you can focus on growing your team and scaling your business. Our market-leading global employment platform is powered by the first fully customizable suite of global employment products and backed by the industry’s largest team of in-country HR and legal experts to streamline payroll management and help you offer competitive, compliant local benefits.
Learn more about our platform and request a proposal today.