An increased flat-rate bonus for the employees of JC 145 (gardens sector)

As an employer, you have been paying a flat-rate annual bonus to your employees since 2016. This bonus is different for permanent employees (EUR 58.32) and occasional employees (EUR 10.60).

In this infoflash, we rehearse all the information regarding these bonuses. We also answer the question whether you can convert this bonus into another benefit.

Flat-rate bonus regular employees

Since 2016, full-time employees having worked a full reference period receive a flat-rate bonus each year on 1 July.

The reference period runs from 1 July of the previous calendar year to 30 June of the current calendar year.

Pro rata

The gross bonus is prorated for:

• part-time employees in proportion to their working time;
• employees not having worked a full reference year.

Indexation

The amount of the bonus is indexed in the same way as the wages within this JC. Since 01.01.2019, the bonus amounts to EUR 58.32.

Can you still convert this bonus into another benefit?

Yes, this flat-rate bonus can be converted at company level into an equivalent benefit. To do this, you must conclude a collective labour agreement before 01 May 2019. You will then also have to provide the chairman of the JC with a copy of this company collective labour agreement.

The CLA leaves you a free choice as to the benefit, as long as it is an equivalent benefit.

Unless you convert the benefit to meal vouchers. In that case, the CLA prescribes that the employer's share in the meal vouchers must be increased by EUR 0.50/day.

However, please note that conversion to meal vouchers (or an increase in the employer's share in these meal vouchers) will in most cases no longer be possible. The same applies when eco vouchers are granted.

The reason for this is that you must always take into account the specific provisions of the chosen benefit. One of the conditions that must be fulfilled in order to grant eco vouchers/meal vouchers that are exempted from social security contributions is that they must not be granted as a substitute or as a conversion of wage, bonuses, benefits in kind or any other benefit subject to social security contributions or not. If the bonus has already been paid in the previous years, your employees have acquired the right to the bonus and its payment. Consequently, any subsequent conversion of the bonus is illegal and causes the meal vouchers/eco vouchers to be subject to the social security contributions.

On the other hand you can still choose to convert the bonus in one of the following benefits:

• increase in monthly wage,
• contribution to the supplementary pension, hospitalization insurance,...
  
  The CLA says that in such a case you must ensure that the benefit is an equivalent benefit.
  
  For guidance and advice, contact Legal Partners, any time (legalpartners@partena.be or call 02/549.30.20).

Flat-rate bonus seasonal work

Since 2016, occasional employees who have declared on the form at least 50 days' employment for occasional work will receive an annual flat-rate bonus.

The reference period runs from 1 January to 31 December.

Payment

The bonus is paid together with the wages for the month in which the quorum of 50 days is reached.

Indexation

The amount of the bonus is indexed in the same way as the wages within this JC. Since 01.01.2019, the bonus amounts to EUR 10.60.

More info

More details and an exhaustive analysis can be found in the sector information on our website.

Source: Collective Labour Agreement of 19 December 2018 - fixing the applicable scales.