Newsletter 2023 – 03
1 Office news
The 160 participants in the venue and online reflected on another successful edition of Spitsuur HR.
You can here see some impressions
2 Publications
Mr. Ludo Vermeulen provided training on collective dismissals and business closures for the Institute for Judicial Training.
, he gave Steven Renette a presentation on “Enforcement in Discrimination Law” during the social law study evening dedicated to “Current Issues in Equal Treatment” at Hasselt University. Renette is a teaching assistant at that university.
3 Social elections: usually an average of 50 or 100 employees
Companies that typically employ an average of 50 workers during the reference period must initiate the social elections procedure to appoint the employee representative to a committee for prevention and protection at work. Companies with an average of at least 100 workers must also hold elections to appoint this representative to the works council.
The counting of the number of “employees” is done in a special way.
Action point for employers: If you believe your company is approaching the 50 or 100 employee mark, you can make choices today that will determine whether or not you should initiate the social elections process. In that case, be sure to perform the exercise in a timely manner to determine your current number.
The decision to hire an additional employee or a temporary worker in the coming period, or to outsource the work to a contractor or supplier instead, may determine whether you need to initiate the social election procedure.
1. The number of “employees” in a reference period
Not only the employees you employ are included in the assessment of the number 50 or 100, temporary workers are also charged.
Furthermore, the count is done on the basis of the number of employees who were employed in a certain reference period and in a special way.
2. Counting your own employees
All employees are included in the assessment of the number of employees, including your long-term sick leave or other employees whose contract performance has been suspended. In principle, employees who work for you abroad should also be taken into account (for example, you employ someone who works for you in the South Asian market to recruit customers).
Several categories are considered equivalent to employees: students, employees placed in your company for vocational training by the VDAB (Flemish Employment Agency), and researchers from the Research Foundation - Flanders (FWO). Employees employed under a replacement contract are excluded.
For all these employees, you must count the number of days they were bound to you with an employment contract during the period from October 2022 to September 2023. Divide the result by 365.
Employees whose actual hours are less than 3/4 of a full-time schedule should only be counted for half their total (i.e., divide by 730 instead of 365). An employee who gradually returns to work at a rate of 50% therefore only counts for half their total.
Example: An employee initially works part-time for 100 days during the reference period; afterward, they are switched to a full-time contract. This employee's full-time equivalent will be 100/365 + 265/(365X2) = 0.64.
3. Counting the temporary workers
Certain temporary workers must also be included in the calculation to determine whether the standard of 50 or 100 has been achieved.
However, not all temporary workers: temporary workers who replace an employee whose employment contract has been suspended should not be included in the count.
A different – and shorter – reference period applies to temporary agency workers. The calculation is based on the average number of days the temporary worker was made available to you during the period from March 1, 2022, to June 30, 2022.
For these temporary workers, you must divide the total number of days by 91. Here too, the temporary worker with an hourly schedule of less than 3/4 of a full-time employment only counts for half.
4. Points of attention
A significant number of people who may perform services for you are not taken into account when determining whether you must organize social elections:
- Self-employed persons who provide services for you (managing director, independent contractors, etc.)
- Employees who are employed by another employer and provide services to you under a service agreement (e.g., employees of a sheltered workshop working in your enclave, the external cleaning crew, etc.)
If you require additional staff in the period April – June 2023:
- will a choice to meet this need with a temporary worker result in you being deemed to employ 1 additional employee on an annual basis;
- If you choose an employee that you hire yourself during this period, this will result in him counting for only 0.25 on an annual basis;
- the use of a subcontractor or an external supplier will not lead to an increase in the number of employees for the count for the social elections.
5. More than 50/100 employees and yet no social election procedure is initiated
In some situations, you will meet the standards for establishing a works council and/or committee, but you will not need to initiate the procedure.
"Usually" average number of employees
The number of employees you employ in your company may decrease significantly over the course of the year. If you can demonstrate that this decrease is structural, and that as a result, you have fallen below 100 or 50 employees at the time you should have initiated the social elections procedure, you may decide not to initiate the procedure for electing a works council, works council, or committee, respectively. If you dispute this, the employer must demonstrate that the workforce will not increase again quickly in the future.
Cessation of (part of) the company's activities
If the employer decides to (partially) close down by ceasing all or some of the company's activities, thereby falling below the threshold of 50 or 100, respectively, you can ask the inspector/district head of the Social Law Inspectorate to suspend the start of the social elections procedure (for the works council and committee, respectively). This permission is granted after a special procedure. The suspension is valid for one year. The existing bodies will continue to function.
The joint committee for the construction industry
The construction industry is actually an outlier. For years, sometimes after difficult negotiations in the joint committee, an agreement has been reached in which the unions commit not to submit candidate lists for the social elections. The union delegation appointed by the unions takes over the tasks of these consultative bodies.
In this case, the employer must of course start the procedure in December, but can stop it in March due to a lack of candidates.
Dirk Wijns, senior consultant
dirk.wijns@mploy.be – 0476 84 24 91
4 How a fixed-term contract ceases to be fixed-term
1. An employment contract can be concluded for a fixed term. Putting it in writing is stating the obvious.
The Employment Contracts Act stipulates the consequences if several successive employment contracts are concluded or if the collaboration continues after the agreed term has expired.
But the essence has always been that the agreement for a fixed period is indeed for a fixed period: the agreement ends on the specified date.
2. This evidence is now being thrown overboard by the legislator.
The Act of 7 October 2022 [1] introduces a new provision into the Labour Act, namely Article 40a. It states that if an employee whose employer is aware of her pregnancy or childbirth does not have her employment contract for temporary work or a fixed-term employment relationship renewed, this non-renewal will be deemed to be related to the pregnancy or childbirth.
At the employee's request, the employer will inform her in writing of the reasons for the non-renewal. The employer must prove that the non-renewal of the employment contract or employment relationship in question is unrelated to the pregnancy or childbirth.
If the employer does not respond or if the reason invoked to justify the non-renewal of the employment contract or employment relationship is not unrelated to the pregnancy or childbirth, the employer must pay the employee a lump sum compensation equal to three months' gross salary.
At the same time, the employee can also claim compensation equal to six months' salary as provided for in the Act of 10 May 2007 on combating discrimination between women and men (Gender Act).
When it comes to temporary employment, the user of the temporary worker is considered to be the employer.
3. It is not made clear what such a renewal actually implies.
- Does the employee have to apply for a renewal?
The law itself does not explicitly state this. The wording in the law (“When the female employee (…) does not see her employment contract (…) renewed”) and the text of the explanatory memorandum (“The non-renewal of employment essentially amounts to the fact that the employer in question does not offer new employment to the employee concerned”) give the impression that an application by the employee is not necessary. - What is the scope of “renewal”?
Must that renewal be for the same duration, or may it be shorter? Does it concern a one-off renewal, or does a new renewal become necessary? Do the same terms of employment apply by definition? Neither the law nor the explanatory memorandum provides any indication of an answer. - What is meant by “being aware of pregnancy or childbirth”?
Renewal is mandatory when the employer is aware of the pregnancy or childbirth. An employer who hires a female employee who has children is evidently aware of the birth. Does this imply that the 'right to renewal' applies to all female employees with children? - Within what timeframe can the employee request the reason for the non-renewal, and within what timeframe must the employer respond?
The law nowhere specifies (unlike, for example, the case with a request for justification of dismissal in application of Collective Labour Agreement 109) within what timeframe the employee must submit the question and within what timeframe the employer must respond. Particularly where compensation equal to three months' salary may be due, it would be practical for the employer to know the timeframe for responding, and for the employee to know when they can claim that compensation.
[1] Art. 5 of the Act of 7 October 2022 partially transposing Directive (EU) 2019/1158 of the European Parliament and of the Council of 20 June 2019 on work-life balance for parents and carers, and repealing Council Directive 2010/18/EU, and regulating certain other aspects of leave
dirk.heylen@mploy.be