Belgium boasts a rich history and culture, a strong economy, and a robust talent pool, making the small European country a great destination for employers looking to hire remote workers. However, without existing operations in Belgium, you will need to work with an Employer of Record (EOR) to ensure you are fully compliant with Belgium’s labour and tax laws.
In this article, we will go over the role and responsibilities of an EOR, the benefits of working with an EOR when hiring workers in Belgium, what the hiring process will look like when hiring people through an EOR, and more.
The Benefits and Challenges of Hiring Remote Employees in Belgium
Hiring abroad has become incredibly popular following the global pandemic as workers and employers are no longer tied to one particular location.
Belgium is particularly desirable, as Belgians tend to be highly educated, skilled, and hardworking. Plus, a high percentage of Belgium’s population is proficient in English.
While there are many other benefits to hiring workers in Belgium, it also poses some challenges. For example, quickly and efficiently hiring remote employees and managing a remote team in a different country can be challenging without existing operations in that country.
An Employer of Record is a great solution.
What is An Employer of Record?
Any business looking to hire employees in a country where they do not have an office must set up an entity in that country before they can establish a presence there. This process can be incredibly long and drawn out due to the numerous legal challenges involved. For most companies, the complicated nature of setting up operations in a new country is not worth the trouble. This is why Employers of Record exist.
An Employer of Record is a legal entity in the country you are looking to hire from. The EOR is a proxy for your business and acts as the legal “employer” on paper. Its main responsibility is ensuring your company is compliant with Belgium’s tax and employment laws.
The Benefits of Working With an EOR in Belgium
As previously mentioned, working with an EOR helps you bypass the legal headaches caused by setting up your own entity in a new country. It also helps you save a lot of money, as setting up operations abroad can be an incredibly expensive process.
An Employer of Record also eliminates the risk of accidentally violating Belgium’s complex tax and employment laws, as the EOR will have specialized knowledge when it comes to the law and standard hiring practices.
Areas an Employer of Record Can Help With
Below, we have listed some of the specific tasks an EOR will be responsible for.
Drafting Contracts and Legal Documents
The EOR will help manage the administrative tasks involved in hiring abroad, including collecting banking information and drafting employment contracts and any other required legal documentation.
Managing and Setting Up Employee Benefits
Under Belgium’s employment laws, Belgian workers are entitled to certain benefits, such as:
- Spouse’s pension
- Maternity leave
- Disability benefits
- Paid vacation
- Medical benefits
- Retirement benefits
Vacation and Public Holidays
Belgium has 14 statutory holidays in each calendar year, which can be hard to keep up with when you are based in another country with entirely different public holidays.
Belgian employees are also entitled to four weeks of annual leave. An EOR will ensure your staff are receiving their vacation pay and are taking their allotted time off.
Taxes
In Belgium, employers are required to pay payroll taxes which help fund social security. An EOR will take care of all necessary payroll deductions so you can rest assured that your business is compliant with Belgium’s tax laws.
Remember, an EOR simply handles the administrative and HR-related tasks involved in managing a team of employees overseas. They will not be responsible for:
- Managing or overseeing day-to-day operations
- Onboarding and training employees
- Managing employee communications
- Assigning projects
- Hosting team meetings
- Overseeing employee progress
What to Look For in an EOR
When it comes to choosing an Employer of Record to take care of hiring and managing your staff in Belgium, there are certain features you should be looking for. This includes:
Specialized Knowledge in the Country You Are Looking to Hire In
Some Employers of Record operate in many different countries, so it’s important to ask lots of questions and make sure that the one you are considering has a team of legal experts specific to the country you are looking to hire from.
Easy-to-Use Online Solutions
Look for an EOR with an online platform that is user-friendly while still being powerful enough to offer numerous functions.
Services That Meet All Your Needs
An EOR should offer a full suite of services that meet all of your specific needs. Ask lots of questions and make sure the EOR you work with is able to meet all of your requirements and is equipped to handle complex requests.
A Strong Customer Support Team
When it comes to retaining top talent, ensuring they are being paid on time and important administrative tasks are being handled is crucial. Because your EOR will be handling these responsibilities, having 24/7 customer support is essential in the event that any issues arise.
Steps For Hiring and Managing Employees Through an EOR in Belgium
Wondering what the process of hiring and managing workers based in Belgium through an EOR might look like? When you work with the right EOR, it’s actually fairly simple, and involves the following steps:
- Determine the staffing needs of your business
- Begin your recruitment efforts
- Conduct interviews and check references
- Find a reliable Employer of Record
- Have your EOR draft employment contracts
- Onboard and train your Belgian employee(s)
- Your EOR will register the new employee with the Belgian authorities
- Your EOR will set up payroll and handle other HR tasks
- EOR will consistently make sure you are compliant with Belgian laws
- You focus on day-to-day operations and retention efforts
Why Borderless Should Be Your Top Choice When Seeking an Employer of Record
Working with an Employer of Record is a requirement for any business looking to hire workers in Belgium without having an office there. However, not all EORs are equipped to handle your unique needs and requirements. Always look for an Employer of Record that has experience hiring and managing workers in Belgium and is well versed in the country’s complex laws and employment practices.
Borderless is an Employer of Record that is set up to help manage employees in over 150 countries, including Belgium. Our platform is designed to help companies like yours grow their team and hire, pay, and manage Belgian workers while ensuring you are fully compliant with Belgium’s tax and employment laws.
If your business is looking to hire workers in Belgium and requires the services of an Employer of Record, contact our team at to book a demo.
Disclaimer
Borderless does not provide legal services or legal advice to anyone. This includes customers, contractors, employees, partners, and the general public. We are not lawyers or paralegals. Please read our full disclaimer here.
