77% of Belgian employees with a mobility budget use it to pay all or part of their mortgage or rent, according to HR platform SD Worx and Mbrella.
The Federal Government currently provides a mobility budget to 0.4% of Belgian employees. The fund's aim is to encourage workers to live close to their place of work (less than ten kilometres) and therefore reduce traffic on the roads.
The budget typically covers expenses such as bicycle costs, car hire on holidays, public transport and train travel. However, with a sharp rise in remote working brought on by the Covid-19 pandemic, most employees have been authorised to use it to cover accommodation costs if 50% or more of their working hours are remote.
Mbrella co-founder Amaury Gerard believes that the shift towards using the money for rent and paying off mortgages does not prevent the mobility budget from achieving its aim: car travel is still reduced.
"If workers telework more, they will be on the road less," he told L'Echo, adding that employees who discover the fund's accommodation benefits will likely never go back. "95% of workers who have opted for a mobility budget never want to go back to the company car."
Changing rules
Previously, the mobility budget was only available for employees eligible to receive a company car (14.4% of Belgians). However, this changed in January 2022, when employers were authorised to widen the scheme to all workers. The mobility budget is currently offered by one in five companies. The 'Vivaldi' coalition stated in its government agreement that it would extend the budget to all workers but this measure has failed to materialise.
Employers are supposed to check whether or not employees are reaching the teleworking quota every month. The Department of Social Security will soon carry out more in-depth checks, which will ensure that the minimum and maximum amounts awarded check out (criteria is the same as for company cars), as well as how much is being put aside for accommodation costs.
