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Employer Of Record in Belgium

Employer Of Record in Belgium

Skuad's Belgium Employer of record (EOR) solution helps your business expand to Belgium without the need to set up a business entity here. Skuad has an automated HR service platform that assists in the end-to-end management of your remote team. You can leverage its global network to streamline your expansion process. Know more about Skuad’s customized and cost-effective solutions.

Belgium At A Glance 

Population: 1.15 Crores (2019)

Currency: Euro

Capital City: Brussels

Languages: English, Dutch, French, German

GDP growth: 1.74% (2019)

What You Must Know Before Employing In Belgium

Before trying to set up and expand your local entity in Belgium, one needs to be familiar with the laws of employment of Belgium related to hiring a local citizen or foreign national. Also, decide whether you need an internal team or hired members for your expansion project. In any scenario, partnering with a local entity reduces your time and effort in understanding employment laws in Belgium. Learn how Skuad as your employer of record in Belgium can make the employment process simple for you.

Entitlement Explanation
Statutory Working Hours 38 hrs per week
Overtime Eligibility Overtime is allowed with a maximum of 78 hrs per three months.
  • Employees are free to work overtime voluntarily within certain limits up to 100 hrs per year.
  • A bargaining agreement allows an employee to work voluntarily overtime for 350 hrs per year.
  • A written agreement should be made for arrangements voluntarily over time.
  • An employee working overtime gets paid a certain percentage of the basic salary.
  • An employee working overtime on a holiday or a Sunday gets paid a higher percentage of basic salary.
Paid Public Holidays Employees in Belgium are eligible for paid public holidays. The holidays are:
  • New Year's Day (1 January)
  • Easter Monday (5 April 2021)
  • Labour Day (1 May 2021)
  • Ascension Day (13 May 2021)
  • Prophet Mohammed’s birthday: October 21, 2021
  • Belgian National Day (21 July 2021)
  • Assumption of Mary (15 August 2021)
  • All Saints' Day (1 November 2021)
  • Armistice Day (11 November 2021)
  • Christmas Day (25 December 2021)
Holiday Pay
  • Employees in Belgium get holiday pay based on the length of the holidays during which the employees were paid.
  • An employee working on a full-time contract for the full calendar year is eligible for four weeks of legal holiday the following year.
Medical Leave An employee in Belgium is entitled to a paid sick leave* of 30 days. Employees should immediately inform the employer about the sickness and provide a medical certificate. A medical officer may also be appointed by the employer to verify the inability of the employee to work.
  • A white-collar employee is provided with a normal basic salary during the first 30 days of illness.
  • After 30 days, employees can avail themselves of sickness benefits through Belgium's subsidized health insurance system.
  • If the illness lasts over a year, the employee can avail of government invalidity benefits.
  • An employee is entitled to get sick leave to care for a family member's illness.
Maternity Leave According to Belgian labor laws,
  • A female employee who has worked for 120 days out of the six months before the start of the maternity period is eligible for maternity leave.
  • Before the expected birth date, a woman employee can avail six weeks of maternity leave.
  • After the birth, a woman can take nine weeks of maternity leave.
  • When the woman employee returns to work, she can take breastfeeding breaks until the child is nine months old
  • A male employee is also eligible for paternity leave which he can avail four months after the child's birth.
  • Parents who are adopting a child are entitled to six weeks of leave which should be taken within the two months.
In case of death of any loved ones, one can take leave upto 4 days on a fully paid basis and up to 20 days total leave.
Annual Leave Accrual Entitlement The employees in Belgium get an annual paid leave of:
Duration of Service Leaves
One year, working five days a week 20 days
More than a year, working six days a week 24 days
  • Employees aged less than 25 years and who have worked at least for a month after the year following graduation are eligible for youth leave which can last up to 4 weeks.
  • Employees having age more than 50 years and who have resumed work after unemployment are eligible for senior citizen's leave.

Contractors vs Full-Time Employees

Belgium is a country that prefers full-time employees over contractors. The employment law of Belgium fully favors full-time employees. It is a costly business to let go of a full-time employee. 

When laying off an employee, the severance package includes paying salary for multiple months based on seniority level and years of service provided to the company. A contracted employee is usually hired as a temporary replacement for employees of experience and skill. Contractors provide flexibility to the company in staffing and simplifying the payroll process. 

Due to high tax rates imposed on full-time employees, many are switching to contract-based work to reduce the tax burden on themselves. The strict employment laws have created more opportunities for contractors in Belgium. Talk to Skuad Experts to know more about its customized business offerings for your needs.

Hiring in Belgium

To be able to hire employees in Belgium, you do not necessarily have to hire a local entity. An applicant applying for a job in Belgium is assessed based on the professional skills required for the offer. Various common background checks like education, criminal records, health checks, experience, permission to work in Belgium, etc. are carried out before hiring an employee. An employer is forbidden by law to ask only those questions to the applicant that are related to the nature and working conditions of the job offered. The applicant has the right to not answer the question that violates the law and is not related to the job. When an employer hires an applicant, they need to assure the employee has a single permit to work in Belgium. Connect with Skuad, one of the best in the business for a smooth hiring experience.

Probation & Termination

Probation Period

The probation period is not allowed in Belgium unless you are a student or a temporary worker. Depending on both parties, a student or a temporary resident may have a probation period of three days, less than that, or no probation period. The following table gives the probation period for workers:

Types of Probation Periods:

For blue-collar workers - 2 weeks

For white-collar workers - 1-6 months 

Termination Of Service

Notice for Termination of Employment

By a mutual agreement between the employee and the employer, the employment contract can be terminated as the fixed-term contract ends.

In case of misconduct, the fixed-term contract of the employee can be terminated by the employer, even if it has not reached the end of the due date. Even an employee can resign if the employer behaves inappropriately. The notice period may differ for every employee.

Type of the employment Notice period
Manual worker Less than 20 years - 4 weeks
Greater than 20 years - 8 weeks
White-collar worker salary less than 25,277 euro - 3 months
salary greater than 25,277 euro - as per the agreement

Learn more

EOR solution in Belgium 

While your team at the headquarter focuses on expanding your business, the EOR (Employer Of Records) takes care of hiring and onboarding the new employees as per the employment law of Belgium. Ther EOR is the new employer for the workforce that you hire and is responsible for local regulations, taxes, payrolls, labor laws, HR, etc. With the help of EOR, the hiring can be done even without setting up an entity. Skuad EOR can help you with all the local information you need to know about Belgium. The experts will also handle tax and even register in the social security office for your company. book a demo today.

Outsourcing Employment Through An Employer of Record

Many businesses use outsourcing services like EOR, PEO to hire employees in a new country. It is also dependent on the decision of the company, whether they want to create their team for hiring or hire a local entity who is familiar with the law of the country and helps in speeding up the process of hiring. Skuad EOR solution provides such services that take care of hiring, payroll, compliance, etc.

Types of Visas in Belgium

Some nationals like the EU (European Union) and EFTA ( European Free Trade Association) do not require a visa to travel to Belgium. Also, they do not require a work permit to work in the country. 

A non-EU/EFTA citizens require a visa if they wish to stay in Belgium for more than 90 days. If the visit is for less than 90 days, the foreigners need to apply for a short-stay visa.

There are three types of visas for Belgium:

  • Short-term visa
  • Non-immigrant visa
  • Immigrant visa
Visa category Explanation
Short-term visa A short-stay Schengen visa allows you to stay in the Schengen area but is allowed to work for 90 days. Following are the types of Short-term visas:
Visa Category Explanation
Airport Transit Visa
  • To travel through an International transit zone while waiting for a connecting flight, one needs to have an airport transit visa.
  • If you are a family member of an EU/EFTA citizen, you do not require a transit visa.
  • Apply for the airport transit visa at least 15 days prior to your trip at the Belgium embassy in your home country.
Tourist visa
  • A tourist visa is eligible for those visitors willing to stay in Belgium for a maximum of 90 days in six months.
  • Apply for a tourist visa at least 15 days before the trip at your nearest embassy or consulate in your home country.
Visitor visa
  • If you are visiting your family or friends in Belgium, you need a visitor visa.
  • Apply for a visitor visa at least 15 days before the trip at your nearest embassy or consulate in your home country.
  • You may need a letter of invitation along with proof of relationship with the family.
Business visa
  • For short-term business-related trips to Belgium, you require a business visa. The validity of the business visa is 90 days.
  • An invitation letter from Belgium organization (employer) requesting your attendance is required that explains the purpose of your visit and employee tripone-stop shop
  • Apply for a visitor visa at least 15 days before the trip at your nearest embassy or consulate in your home country.
Short-term Study visa
  • This visa can be issued for educational purposes or study trips lasting less than three months.
  • The application process is similar to that of a tourist visa. A declaration of consent from the school and parents both should be provided.
Medical Visa A medical visa is issued for an individual to receive medical treatments and stay for less than three months.
Non-immigrant visa If you intend to stay in Belgium for more than 90 days, apply for a non-immigrant ( long-stay category D) visa according to the purpose of your stay. Following are the types of non-immigrant visas:
Visa Category Explanation
Student visa A student visa is issued to those who wish to study in Belgium for more than 90 days. The following are the eligibility criteria for a student visa:
  • The main occupation during your stay in Belgium will be studying.
  • The applicant has enough resources to support themselves during their stay in Belgium.
  • Has health insurance coverage in Belgium
  • No outstanding criminal charges against your name
  • Proof of your acceptance into a recognized institution in Belgium for a course.
Visa for temporary worker There are three types of temporary visas in Belgium. Each temporary visa has a validity of 12 months. The following are the types of visas:
  • Category B work visa- this visa is issued to an applicant with a specific employer and specific job. This visa is issued to the applicant when there is a shortage of certain skills or professionals among the Belgium workforce.
  • Category C work visa- This visa is eligible for those applicants who are already in Belgium temporarily but not for work purposes. Example family members, students, etc. The category C visa holder can take up jobs for which they are skilled or qualified.
  • Au Pair visa- The applicants who do not have a work visa and are aged between 18-26 can work on an Au Pair visa if they meet certain criteria.
Non-immigrant family visa: If you want to stay with a relative or a partner for a limited period in Belgium, apply for the D category family reunion visa. Along with a family visa, you also need to apply for a temporary resident permit. The validity of the visa is up to five years and can be renewed.
Immigrant visa If you wish to stay in Belgium for more than a year or relocate, you need to apply for a long-stay D category visa. According to your purpose to move to Belgium, apply for a particular visa. Following are the types of immigrant visas:
Visa Category Explanation
Family reunion visa
  • If the applicant has permission to live and work in Belgium, they can be accompanied by the parent, spouse, Etc. upon certain conditions to get a family reunion visa.
  • Must have proper accommodation, enough resources to support your family, proof of relationship.
Work visa
  • The work visa is usually applied by the employer on behalf of the employee.
  • The long-term work visa which allows an individual to work for an employer is called A category work visa.
Entrepreneur Visa
  • Individuals who want to be self-employed or want to start their own business in Belgium need to apply for a professional card.
  • A professional permit allows trade and carrying out business activities independently.
  • Apply for a long-stay D category visa in the Belgium embassy in your home country.

Work permits

For a foreign national to work in Belgium, they need to issue a work permit provided by employers.

Tax Explanation
Can Skuad sponsor a work permit in Belgium? Yes
Processing time 15 working days
Work permit process Step 1: Submit a work permit application to the Belgium immigration authorities.
Step 2: The work permit is forwarded by the authorities to the Belgium embassy in the home country upon approval.
Step 3: The applicants need to visit the Belgium embassy and apply for a residence visa. The employee can travel to Belgium once they receive the visa and the permit.
Step 4: Upon arriving in Belgium, the applicant registers with the authorities and records their residential address.
Work Permit Validity 12 months
When can an employee travel to Belgium? After issuance of a one-stop-shop work visa and residence permit, the employee can travel to Belgium.
Switch resident visa to work permit? No
After issuance of work visa and the residence permit, can the employee travel to Belgium switch resident visa to a work permit? No

Connect with Skuad experts to know more about its work permit sponsorship solutions.

Things You Must Know to Set Up Payroll in Belgium

To set up payroll in Belgium, the company need not register legally. To make payments for taxes and employees the setting up of an in-country bank account is not mandatory. To maintain payroll compliance in Belgium, employers have to deduct withholding tax from employees' salaries. Withholding tax should be paid monthly or quarterly to the tax authorities, filing tax returns, and preparing an individual payslip for employees. An employee also has to pay a certain amount of the salary into the social security fund.

Taxes in Belgium

Tax Explanation
Income Tax
Gross Income Tax Rate (%)
Up to €13,250 25
€13,250–€23,390 40
€23,390–€40,480 45
€40,480+ 50
Tax Returns Yes
Financial Year End Date December 31
Tax Documents Not applicable
Corporate Tax 25%
Withholding Tax (For Non-Residents) : 25%
Payroll Tax No payroll tax applicable
Sales Tax 21%
Employers Social Security and statutory contributions Employers contribution- 25%
Employee contribution- 13.07%
Public Pension Belgium has a statutory pension scheme for all. The contributions are:
Employee - 7.5%
Employer - 8.86%
Medical Insurance Belgium provides a public health insurance scheme to every self-employed worker or employee in Belgium.

Skuad’s Belgium EOR solution can take care of all HR-related tasks for you while ensuring compliance with the local laws, including those on taxation. To learn more, get in touch with Skuad experts.

Incorporation: How to Set Up A Subsidiary In Belgium

A company willing to set up a subsidiary in Belgium needs to consider factors like the location, business goals, availability, cost, laws, and regulations of the city where you will be setting up the subsidiary. If you are not aware of any of how things work in Belgium, then a consultant can help you and advise you about the incorporation of the subsidiary. To set up a subsidiary in Belgium your company goals play an important role. 

Belgium permits different subsidiary structures like PLC (public limited liability company, PLLC (private limited liability company), S-PLLC (starter-private limited liability company). Based on the operations and activity in Belgium, the company has different levels and needs to choose a structure that best fits the goals for your subsidiary. To set up your subsidiary in Belgium as PLLC, follow the given steps: 

  • Create an account in a Belgium credit institution and deposit a minimum of 20% of your initial capital in that account.
  • A standard certificate is obtained that confirms your capital is in a blocked capital account.
  • Deposit a financial plan, sign the deed of in-laws, and incorporate in the presence of a notary. 
  • Register the deed of incorporation and notarize the documents.
  • Register for social security funds, payrolls, and more with the welfare agency. 
  • Arrange for workplace insurance and get visas for professional staff, if necessary.

Skuad offers an easy alternative to all your HR needs by taking over the HR tasks of establishing a subsidiary as your EOR partner. Talk to us to learn more.

PEO

A Professional Employer Organization (PEO) is an organization that shares the responsibility of managing employees and payroll with your company. Unlike EOR services where the complete responsibility of compliance management lies with the outsourced company, a PEO works jointly with your business.

Responsibilities EOR PEO
Legal employer Yes No. Legal co-employer
Services for a minimum of 1-5 employees 5-10 employees
Local business registration Not required Required
Insurance Workers Compensation provided Not provided

Skuad provides comprehensive HR services for globally managing your employee teams. Learn more by connecting with our professionals today.

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