Higher minimum wages are back on the political agenda. Despite this wage having increased by €444 in recent years, Labour Minister Pierre-Yves Dermagne (PS) argues that another rise is needed.
The European Directive on Adequate Minimum Wages – aiming to ensure all workers in the European Union, will be paid decent wages for their professional activities – was given the green light in October 2022. Member States have until October 2024 to transpose the Directive into their law.
On Friday 3 May, just two days after Labour Day, the transposition of the Directive will be on the agenda of the Council of Ministers for the first time. While it will have little impact in Belgium itself, the indirect impact should not be underestimated, Dermagne said.
"Especially in the longer term, the positive impact could be significant thanks to the focus on collective bargaining and the protection of workers against unfavourable treatment or dismissal should they denounce a violation of the right to a minimum wage," he noted.
Belgium started substantially increasing minimum wages in the country before the Directive was passed. On 1 April 2022, the minimum wage rose by €75, a move bolstered by unions. This marked the first wage increase for the lowest incomes in 13 years.
Two years later, in April 2024, came a further increase of €35.7: the minimum wage surpass €2,000 gross per month for the first time. The total amount that staff on this salary take home is around €50/month higher as the fiscal work bonus went up for people paid the minimum wage. On 1 April 2026, the minimum wage will rise by another €35 (indexation not yet included).
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"That makes a substantial difference. About 70,000 people who went to work every day for less than €10 an hour will finally get €12.33 an hour," said Dermagne. With automatic indexation factored in, the minimum wage increased by €444 net per month since five years ago. Additionally, self-employed delivery workers in the parcel sector now get the same minimum wage as employees.
Dermagne's party, the French-speaking socialists, vowed it will push in the next legislature to raise the minimum wage to €2,800 gross, reaching €17 per hour.
