Employer of Record in Belgium & PEO

A reputable Belgium PEO or EOR may take care of critical HR duties like payroll, contract administration, and ensuring tax compliance for a monthly fee based on a percentage of the co-employed employees’ salaries. 

When an employee is handled by an EOR, they may get access to a range of services, including increased employee benefits, complete legal protection, local knowledge of all employer obligations, timely and correct payment, and more. 

Working with a Belgium EOR allows you to relocate personnel or hire new ones legally, safely, and practically. With the help of this method, outsourcing is permissible for both short-term and long-term projects. 

There may be a minimum or maximum number of employees you can recruit with some PEO companies. However, with INS Global’s worldwide services, you can co-employ as many people as your plans calls for. 

In order to assist you in finding the best candidates among Belgian citizens and international residents, INS Global makes use of the most recent hiring technology and industry-specific knowledge. To avoid any potential problems, we take into account any changes in local customs and legislation regarding nationality when we hire employees on your behalf. 

Members of our recruiting team have access to professional networks, in-depth knowledge of offline and online business resources, experience adhering to the region’s best practices, and more to help you locate the appropriate new team members in Belgium. 

Payroll expenses must include indirect or supplemental costs like social insurance contributions, bonuses, or incentives in addition to wages and any payments made to recruiting firms or specialists. 

Even though signing bonuses are optional, they must be taken into account when calculating the expense of recruiting competitively abroad. 

No, it is necessary to use a local entity abroad to comply with each country labor law.

To provide the most competitive package to possible candidates, employees of a firm having a presence in Belgium should be allowed to select between a physical workplace and a home office. 

Yes, an EOR protects you everywhere you go while taking into consideration all changes to local or regional employment laws. 

Foreign companies can either set up a local entity in each country or use the services a local PEO (Professional Employment Organization) to hire the staff on-site directly.

In 2023, the minimum wage is €1,955 per month, with variations at the regional or industry level due to CBAs.   

The Schengen Visa allows holders to visit Belgium as well as other Schengen Zone countries for up to 90 days within a 180-day period. This visa includes the option for the holder to perform business activities.  

A Work Visa (D) can be obtained which allows the holder to work in Belgium for periods longer than 90 days. This can then be used to apply for a combined Work and Stay Permit or EU Blue Card which allows the holder to live and work in the country for up to 3 years at a time.  

An Intra-Company Transfer permit can also allow workers to move from abroad to Belgium while working for a company with multiple subsidiaries around the world.  

The employer of record is the legal entity liable for the staff employed in a specific country. In practice, a foreign company can either open a subsidiary to become the employer of record of its abroad employees or use a PEO to act as the employer of record.

In general, 1-month is necessary to have an employee based out abroad using an existing PEO as the employe of record. When incorporating a new subsidiary to be the employer of record, the delay varies from 4-12 months.

Contractors that connect with customers through an EOR or Belgian PEO have access to many of the same benefits and protections as normal employees while also keeping total control over their work process. 

When looking for a quick, simple, and safe way to join the Belgian market, companies of all sizes, from SMEs to multinational corporations, should take into account hiring an EOR.  

INS worldwide provides crucial PEO or worldwide Employer of Record services to businesses in a range of sectors, with our legal knowledge being suitable for anybody who either lacks their own internal structures or wants to avoid scaling issues while expanding.  

It is possible to hire independent contractors both directly and through an intermediary, such as a staffing firm or an umbrella company. You might be able to identify the best contractors to fit your needs through networking, job boards, social media, trade organizations, and other channels. 

Typically, independent contractors work for themselves or as the proprietors of small businesses through which they may send consumers invoices. Because of this, rather than through an employment arrangement, they should be employed under a work agreement for specific projects. 

Before starting, an independent contractor could be required to provide a CV, portfolio, verified references, and possibly a signed NDA. The recruiting procedure, however, could change based on your requirements.  

Payroll in Belgium is generally organized every month and paid at the end of each month. Employees will also often receive a 13th-month bonus at the end of the year.  

Belgium has 10 paid public holidays per year with employees who work on holidays eligible for increased pay or time off. Holidays that fall on a typical rest day must also be compensated with a day off on the next available work day.  

Multiple governmental departments oversee labor rights and conditions in Belgium, with the Labor Inspectorate operating day-to-day inspections of workplace safety and employee well-being.  

Employers are required to provide a payslip each month detailing employee salary. This payslip should also include all deductions which the employer must make for tax and social security contribution management.  

Exact employer contributions to social security in Belgium differ according to the region and industry, but currently, employers are expected to provide the equivalent of around 27% of an employee’s salary.  

Employees who pay social security payments have access to standard employee benefits including annual leave (20-24 days), parental leave, and sick leave as well as extra benefits like pensions and healthcare insurance. 

Many companies also offer an additional benefit in Belgium where they offer a 40-hour contract to employees despite the typical workweek being 38 hours. These additional hours worked then go towards an average of 12 additional days of holiday per year.  

While contracts in Belgium don’t have to be made in writing, all changes or amendments have to be agreed upon in advance by both parties.  In general, it is expected that contracts are carried out in full, so amendments may be difficult to manage.  

Thanks to social security, workers in Belgium generally pay a fee when receiving medical care which is then reimbursed through national or private health insurance.  

Workers with 6 months of seniority can make a written request to know the reason for termination in most cases, and the employer must prove that the termination is justified. If the employer cannot, the worker will be eligible for compensation.  

Notice periods depend on whether the worker was contracted before 2014 or not, as well as whether their job counts as blue-collar or white-collar.  

There are no national mandates on severance pay, although CBAs and individual contracts may include requirements.