The HRPro Loop #19 - HR News that Matters
Find our take on the wage increases in Belgium, access two recent reports from Eurofound and WE Forum. Rewatch the EAPM Webinar on Inclusion.
No Additional Wage Increase: Wage Margin Remains at 0% for 2025-2026
The wage margin for 2025 and 2026 has been set at 0%, maintaining the level of the past two years. This means that wages governed by collective labor agreements (CLAs) in the private sector may not increase beyond the adjustments prescribed by automatic indexation.
This decision aligns with Belgium's Wage Norm Act, which aims to ensure that labor costs remain competitive in comparison to key trading partners such as Germany, France, and the Netherlands. By capping wage growth, the government seeks to prevent excessive labor cost increases that could pressure business profitability, while also safeguarding employment levels and overall economic stability.
For businesses, this wage freeze provides greater cost predictability, enabling companies to plan long-term investments and hiring decisions with more financial certainty. Maintaining a wage margin at 0% also ensures that Belgian businesses remain competitive within European and global markets.
However, a prolonged wage cap may make it more challenging for companies to retain skilled employees, particularly in industries where wage growth in neighboring countries is more flexible. As a result, many employers may feel increasing pressure to offer alternative benefits, such as improved working conditions, enhanced career development opportunities, or additional non-wage compensation.
From the perspective of labor unions, concerns about purchasing power are likely to resurface, especially in light of inflationary pressures. Although automatic indexation ensures that wages keep pace with inflation, the absence of additional wage growth could be perceived as insufficient in maintaining or improving workers' real income.
This concern may lead to intensified negotiations for sector-specific agreements, where unions will push for additional bonuses or benefits to compensate for the lack of wage increases under the general wage norm. Furthermore, the continued limitation on wage growth could trigger industrial action, particularly if employees feel that wage stagnation does not reflect productivity gains or company profitability. Or when they feel that they have to carry the burden of the fiscal and budgetary reforms in Belgium.
Beyond its direct impact on workers and businesses, this wage policy also raises broader economic considerations. With no additional wage increases beyond indexation, real disposable income may remain stagnant, potentially affecting consumer spending, which is a key driver of economic growth. Moreover, constrained labor costs may encourage companies to accelerate investments in automation and productivity-enhancing technologies, reshaping the labor market and shifting demand toward highly skilled workers. These developments could further fuel discussions about the future of work and labor market adaptability.
At the policy level, this decision is likely to reignite debates over the Wage Norm Act, with growing calls for a more flexible approach to wage-setting. Policymakers will need to balance economic competitiveness with social equity, ensuring that Belgium remains an attractive business environment while also addressing the expectations of workers and trade unions. The new federal government has decided to keep the index mechanism but also to keep the wage norm act.
As businesses, employees, and policymakers deal with his constrained wage environment, the challenge will be to find sustainable ways to maintain productivity, protect purchasing power, and foster economic resilience. Whether through innovation in employee benefits, policy adjustments, or sector-specific agreements, the coming years will likely shape the long-term dynamics of Belgium’s labor market.
Participate to the Remote Work Survey
Five years after the start of the COVID-19 pandemic, teleworking has become an integral part of our society. The percentage of employees working remotely at least one day per week has increased from 18% in 2018 to 31% in 2024. Meanwhile, the number of commuting kilometers has decreased by 34 million kilometers per day.
But what lies behind these numbers? How do employers, HR professionals, and managers perceive telework today? What challenges and opportunities do they see?
On behalf of the Federal Public Service Mobility and Transport, Vias Institute, in collaboration with Antwerp Management School, is conducting a survey on this topic. The goal is twofold: to understand how organizations are adapting to this shift in work and to develop practical tools to facilitate hybrid work in the future.
What do we ask?
Your participation (max. 10 minutes, anonymous) will help us gain a clear picture of the current role of telework in your organization. The results of this study will be widely shared, including through articles by our partners. If you wish, you can also sign up at the end of the survey to stay involved in the research.
Click here to complete the survey. https://app.keysurvey.com/f/41766963/3ef8/
This study is supported by VBO FEB, De Tijd/L’Echo, HRmagazine, HRpro.be, Securex, and SD Worx.
(C) 2025 Hrpro.be
WEForum Global Risk Report
The annual Global Risks Report explores some of the most severe risks we may face in the coming years. Underpinned by the Forum’s Global Risks Perception Survey, the report brings together leading insights from over 1,200 experts across the world.
You can access it here:
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EAPM Webinar on Inclusion
The 2024 World Economic Forum’s Global Gender Gap Index reveals that Europe continues to dominate in gender equality, with 9 of the top 12 countries in the region. Iceland leads the rankings once again, achieving an impressive score of 93.5%, and has held the top spot for 15 consecutive years. Iceland’s dedication to both gender parity and inclusion is further demonstrated through its Inclusion Index, which measures broader aspects of equality beyond pay equity.
However, achieving genuine inclusion goes beyond pay equity and gender parity. It requires ongoing effort, transparency, and a shift in how businesses approach diversity, equity, and inclusion (EDI). Words alone are no longer enough—employers must take meaningful action and demonstrate their values through their identity, not just their branding. There are no quick fixes, but progress is essential.
With seven of the United Nations’ Sustainable Development Goals (SDGs) centred on equality and inclusion, this webinar will explore how businesses can contribute to advancing these global objectives. Our expert panel, featuring HR and People Management leaders from Iceland, Belgium, and Lithuania, will discuss the current state of EDI across Europe and offer practical strategies for fostering inclusion within organisations.
Watch the recording of this webinar here:
Eurofound Quality Of Life Survey
Eurofound’s e-survey captures the situation of European respondents and their post-pandemic concerns. This factsheet outlines the most recent data on the main challenges faced by Europeans, with a particular emphasis on the rising cost of living, health and mental health, access to healthcare services, work–life balance, and changes in telework opportunities.
The key findings are:
Increases in the cost of living continue to be the main concern for respondents across the EU, with low and middle-income households particularly impacted. These households struggle more with making ends meet and affording energy, housing and leisure expenses compared to 2023.?
The decrease in working from home, observed in each round of the e-survey since the end of the pandemic, has continued in 2024. There are significant country differences: in some countries, hybrid working in teleworkable occupations is common, suggesting that company policies have introduced permanent rules around teleworking. In other countries, hybrid work has become less frequent, as more respondents return to working fulltime at the workplace.?
Trust in institutions, such as the EU, national governments and healthcare systems, has remained relatively stable since the end of the pandemic, at least on average among EU respondents. However, there has been a slight decline in trust toward the EU and satisfaction with democracy compared to 2023 levels.?While trust in national governments has shown a consistent decline over the past four years, trust in the EU has remained stable overall.
The deterioration of mental well-being continues, with respondents reporting lower mental health scores. This apparent decline in mental health is visible across all age groups, except those aged 65 or over.?
Unmet healthcare needs continue to affect respondents, especially those aged 50–64 and those in low-income households. Older respondents report greater difficulty accessing hospital and specialist services, while younger respondents most frequently cite unmet mental health service needs.?
Respondents with disabilities report lower levels of well-being compared to others.?However, their life satisfaction scores increase when individuals are aged 65 or over, are employed and have a high income.
Respondents with disabilities are far more likely to live in households facing difficulties making ends meet?compared to those without disabilities. In fact, the gap between these groups has widened since 2021.?
Respondents with disabilities are more likely to experience unmet medical needs, especially those who struggle to make ends meet. Cost is the most frequently cited barrier for accessing healthcare services among this group.?
You can access the full report here:
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