New Article 23 of the law of 12 April 1965 on the protection of remuneration

The deductions an employer can make from the remuneration of its workers are limited: only the deductions included in Article 23 of the law of 12 April 1965 on the protection of workers’ remuneration are permitted.

Any other deduction is illegal and is subject to criminal penalties (Article 163, 1°, a) of the Social Penal Code - level 2 penalty).

The law of 15 January 2018 containing various provisions in the matter of employment has adapted/expanded the list of authorised deductions: unilateral deductions could be legally made for contributions paid by the employee as a result of the facilities the employer wishes to make available to him or her.

However, such a deduction is only possible for the “facilities” listed in Article 6 of the law on the protection of remuneration, in the knowledge that the facilities covered by the new regulation are themselves not a benefit in kind within the meaning of that Article 6.

In other words:

• the facilities that may give rise to a deduction are accommodation, gas, electricity, water, heating and fuel, use of land, food eaten in workplaces, tools and a service or work uniform as well as their maintenance/cleaning, provided that the employer is not required by law or any regulation to supply and/or maintain the tools or supply and/or clean the uniform, any materials or equipment required for work and for which the worker is responsible under the terms of his or her employment or based on custom;
• the employer must offer a facility to its worker in addition to the latter’s remuneration, i.e. without considering this facility as a benefit in kind within the meaning of Article 6 of the law of 12 April 1965.

This new provision (with entry into force on 15 February 2018) is solely aimed at creating a framework. The decision will fall to the joint committees.

Specifically, it has been provided that it is the responsibility of the King, based on a proposal by the relevant joint committee, to:

• give concrete effect to the possibility of expanding the list of authorised deductions with employee contributions for facilities obtained; and
• determine their application methods.

To this end, a Royal Decree, based on a proposal by the joint committee, must prescribe the method of valuing the facility, but while being sure to take into consideration the valuation as recommended under Article 6 of the law of 12 April 1965. This Royal Decree will also determine, objectively and in accordance with the proposal of the joint committee, how the contribution that the employer can deduct for the facility is calculated.

Furthermore, in the context of employing seasonal workers, this new opportunity will in fact only apply to workers who are citizens of a Member State of the European Union. For nationals (seasonal workers) of third countries, it is prohibited to automatically deduct the rent from the net salary of the seasonal worker.

Sources: Articles 6 and 7 of the law of 15 January 2018 containing various provisions in the matter of employment, Belgian Official Gazette, 5 February 2018.