A new royal decree providing for a salary freeze in 2013 and 2014 was published today in the Belgian State Gazette. [1]

The decree provides that wages effectively cannot be increased in 2013 and 2014, i.e. the applicable percentage increase is 0%.

This measure applies as from today.

It should be noted that this provision is not related to the automatic indexation of salaries, which continues in effect based on the applicable industry-level collective bargaining agreements. In addition, wages still can be increased further to the application of pre-existing salary scales.

Moreover, certain types of benefits are not take into account for the purpose of determining whether an employer complies with this provision.