European Restructuring Monitor (ERM)
Eurofound's ERM database on restructuring-related legal regulations provides information on regulations in the Member States of the European Union and Norway which are explicitly or implicitly linked to anticipating and managing change.
5-8 Programmawet van 26 december 2022 (BS. 30 december 2022) Koninklijk Besluit van 15 januari 2023 tot wijziging van het Koninklijk Besluit van 9 maart 2006 betreffende het activerend beleid bij herstructureringen (BS 31 januari 2023)
The royal decree of 9 March 2006 introduced the system of 'reconversion cells'. The goal of the cell is to aid employees dismissed because of restructuring in finding a new job. The employee receives coaching by third party providers that can vary from administrative information to psychological counselling. The cells are organised separately for the Flemish, Walloon, Brussels and German speaking regions. Several permanent cells are active, there is a possibility to create a new one specifically for the restructuring company.
The employer is responsible for providing the employees with a reconversion cell. Originally, the measure was intended to be used in case of restructuring within a company that wanted to apply the lowered retirement age system but since 2009, all companies with more than 20 employees are obliged to start or participate in a cell from the moment collective dismissals are announced.
All employees that are being dismissed in the context of collective dismissals are obliged to sign up for the reconversion cell, with exception of those older than 58 or have worked for more than 38 years. If they refuse to do so they will be penalised by having their unemployment benefits reduced.
The minimum duration of the programme depends on the age of the employee:
While the employees are enrolled in the cell, they have to accept each outplacement offer and participate in the programme. The costs of the outplacement accompaniment are for the (former) employer or the appropriate sectoral fund (if present). The employer has the possibility to recuperate some of the costs from the unemployment services.
The final goal of the cell is to provide each dismissed employee with at least one outplacement offer.
The programme law of 26 December 2022 and the Royal Decree of 15 January 2023 (amending the Royal Decree of 9 March 2006) abolish the reimbursement that was provided to the to the employer by the unemployment services consisting of the difference between the activation benefit and the statutory severance benefit.
Moreover, companies which employ at least 20 workers are obliged to pay a reclassification allowance, for a period of three months for workers younger than 45 years or for six months for those aged over 45 years. For workers aged 45 or older, additional mandatory regulations are in place, following CA 82bis. For instance, beyond the mandatory severance pay, the social plan that is agreed upon should include measures such as early retirement plans, supplements to social security benefits, conditions to guarantee the employment security for those employees who remain in service and outplacement services. All dismissed workers have access to accompanying advice, guidance and training measures that take account of their skills and experience and the jobs they could potentially do. The measures include organising job interviews with potential new employees, preparation for the interviews and training to extend or update skills. These services are usually paid by the employer. In some cases, the joint committees composed by sectoral social partners may decide to support outplacement costs through sectoral social/training funds. The regional public employment offices and/or private companies specialised in outplacement services are responsible for providing the services throughout the process.
Federgon (a Belgian employers' federation) provides data on outplacement accompaniments.
Eurofound (2017), Belgium: Employers obligation to support redundant employees, Restructuring legislation database, Dublin, https://apps.eurofound.europa.eu/legislationdb/employers-obligation-to-support-redundant-employees/belgium
This Eurofound research paper explores key trends in restructuring in recent years, highlighting the companies that announced the largest job losses and job gains in the EU. It builds on an analysis of company announcements recorded in Eurofound’s European Restructuring Monitor (ERM), alongside a new classification of restructuring events involving changes in company location.
:quality(80))
Employers increasingly use tools such as email, SMS and messaging apps like WhatsApp or Signal to communicate with employees. While these technologies offer both efficiency and convenience, their use in communicating sensitive information, particularly for notifying employees of dismissal, raises legal concerns. This article explores the legal framework on dismissals across the EU, with a special focus on the use of digital means for communicating employment dismissals. Drawing on examples from various Member States, it examines the legal validity of digital dismissals.
:quality(80))
In 2023, thousands of workers in big tech lost their jobs. Meta, Amazon, Google, Apple, Microsoft and Salesforce had been considered to offer good and secure jobs up to this point. Giants of the information and communication technology (ICT) sector, these companies are among the highest paying, with Eurostat data from 2022 indicating that workers in ICT had the second-highest median gross hourly earnings (surpassed only by earnings in the financial sector).[1] These layoffs were a shock, especially as the biggest companies had hired extensively during the COVID-19 pandemic. What happened in the two years after this redundancy wave – was that the end of the cuts or did the companies start expanding again?
:quality(80))
In 2024, the automotive sector in the EU came to the fore in public and policy discussions. The focus was on the slowdown in electric vehicle (EV) sales, rising global competition, belated investments in new technologies, and the potential closure of production lines in Europe. A number of European car manufacturers and suppliers announced their intention to make large-scale redundancies and change long-standing collective agreements on job security and wages, while workers raised concerns amid demonstrations and industrial action.
:quality(80))