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The recruitment of people aged 50 and older in the Flemish Region has been supported by a system of premiums managed by VDAB for years. This premium wil disappear when the new Flemish target group reduction for older employees takes effect - based on the draft decision on 1 July 2016.
The premium supports the recruitment of people aged 50 years and older under certain conditions, including a permanent contract and continuation of employment during a minimum period.
50 to 54
55+
unemployed for less than 1 year
no premium
premium 1
unemployed for 1 year and less than 2 years
unemployed for 2 years and over
premium 2
premium 1 = 50% of the wage costs during 4 quarters (maximum per quarter €4,505.46)
premium 2 = 50% of the wage costs during 8 quarters (maximum per quarter €4,505.46)
Recruitment of people aged 50 years and older until 30 June 2016 gives entitlement to the premium with retention of the benefits until 31 December 2018 at the latest. This transitional period is sufficient because the premium covers a maximum of eight quarters. The payment in quarterly installments will take place after validation of the data in dmfa as usual.
The premium is terminated for recruitments starting from 1 July 2016 and onward.
The Flemish recruitment reduction for people aged 55 and older starts on the same date and replaces the premium.
Not unimportant: the age group 50-54 also loses the premium but is not entitled to the recruitment reduction.
Sources:Decree of 4 March 2016 containing the Flemish target groups policy, Belgian Official Gazette 4 April 2016; Draft decision of the Flemish Government in implementation of the Decree of 4 March 2016 containing the Flemish target groups policy, approved in principle by the Flemish Government.
Author: Els Poelman
08/06/2016
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