Wage top-ups capped after March, Brussels police zones' merger OKed

Cash index introduced later than planned

There was uncertainty about the capping of the index – the so-called cash index – particularly regarding the timing. The government has now decided that everything will remain unchanged for the upcoming wage and benefit indexations, both for employees in the private sector (in January) and for civil servants and pensions (in March).

Only the first time after that – and that may not be until 2027 – will people with a gross salary higher than €4,000 receive a lower indexation than normal. This cap will be applied twice during the government’s term in office.

Cash index ceiling depends on number of working hours

The government has also decided that the ceiling above which the index is capped will depend on your working hours. The ceiling of €4,000 gross applies to those who work full-time, while for those who work half-time, the ceiling is €2,000 gross.

The “basic wage” is used as the parameter for the ceiling. This means that bonuses, a company car or other fringe benefits are not taken into account.

Stricter conditions on social benefits for newcomers

Guaranteed minimum income benefit - called 'living wage' in Belgium - for recognised refugees will be linked to their integration efforts Asylum, Migration and Social Integration Minister Anneleen Van Bossuyt (Flemish nationalist-NVA) has decided. If refugees with recognised status do not follow an integration programme or make ‘insufficient efforts’ to do so, they will lose up to a third of their living wage. The new rules will also apply to people with recognised refugees status, who are currently receiving social benefits.

For other newcomers, such as students from third countries and EU citizens who are not looking for work, a waiting period will apply. From now on, they will only be eligible for social benefits if they have been legally resident in Belgium for at least five years. ‘An exception will continue to apply to vulnerable groups, such as people whose medical status is being regularised or victims of human trafficking,’ the minister said.

Earlier this year, Van Bossuyt also introduced a measure whereby people who are not entitled to call on reception facilities can no longer claim social benefits.

Merger of Brussels police zones OKed

The federal government has also approved preliminary draft legislation on the merger of the six current police zones in Brussels. The aim is to make the police more efficient and to strengthen the law enforcement agencies’ ability to intervene. Resources for this will be increased from 55 to 65 million euros.

Home Minister Quintin (Francophone liberal MR) hopes that the text will be approved by parliament as soon as possible. The unified police zone will be established within 18 months of the law being promulgated.

‘We are aiming for it to come into force in Brussels in the course of 2027. There is no time to lose. The urgency of the situation requires everyone to take responsibility,’ Quintin added.

The text also provides for ‘important developments at national level,’ Quintin concluded. For example, there will be a framework to encourage voluntary mergers elsewhere in the country, modernised police management and greater democratic transparency, particularly with regard to municipal councils.

VAT increase on takeaway meals also applies in supermarkets

The cabinet finalised the details of the VAT increase on takeaway meals. Last month, it was agreed that the rate would rise from 6 to 12 per cent. The government has decided that this applies to both takeaway meals from restaurants and meals from supermarkets that have a shelf life of less than two days. Meals that can be stored for longer will therefore continue to be taxed at 6 per cent VAT.

Purchase of additional military vehicles

The Defence Ministry is authorised to purchase four new Search and Rescue helicopters, a press release from Defence Minister Theo Francken (Flemish nationalist N-VA) reads. The total investment in these four aircraft amounts to 182.3 million euros.

The new aircraft will replace Seaking helicopters and provide a necessary reinforcement for rescue operations, medical evacuations, urgent organ transport and emergency assistance.

The cabinet has also approved the expansion of the CaMo programme, which involves the purchase of 92 GRIFFON and 123 SERVAL vehicles. ‘This is not a normal purchase dossier, but a thoroughly renegotiated contract,’ says Francken. ‘We are investing in our security in a way that maximises returns for taxpayers and our own industry.’