From 1 February 2025, Belgian employers transferring (part of) their business will face new obligations under CLA 32bis (“TUPE”). These changes are designed to enhance transparency and employee involvement in the lead-up to a transfer by bringing the acquiring company more squarely into the conversation. If you’re planning a transfer—or think you might be affected—here’s a quick overview of what to expect.
Why the Change?
Historically, Belgian legislation did not explicitly outline how the transferee (acquiring company) should participate in the information and consultation process with employees of the transferring company (the “transferor”). With these amendments, the National Labor Council aims to:
- Increase transparency on the details of the transfer.
- Promote active involvement of the acquiring company in employee consultations.
- Strengthen employee rights by ensuring they can engage directly with their future employer.
Key Takeaways for Employers
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Sharing of Information and Consultation
- At the request of employee representatives—or the employees themselves if no representative bodies exist—the transferor must share the content of the information and consultation process with the identified transferee.
- This disclosure must take place before the transfer is completed, ensuring the transferee is aware of all relevant points discussed with employees.
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Invitation to Introduce the Acquiring Company
- If requested, the acquiring company must be invited to present itself to the employee representatives (or the employees directly if there are no representatives) during the consultation phase.
- Even if the acquiring company declines or fails to respond, the duty to share the information remains—transferring employers cannot bypass this obligation due to a lack of participation from the transferee.
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Timing Is Key
- These obligations apply before the actual transfer.
- Employers should build these new requirements into their transition timeline to ensure compliance.
What Does This Mean for You?
If You’re the Transferring Company
- Plan Ahead: Incorporate these new obligations into your timeline early. When you’re scheduling information and consultation meetings, remember that you may need to invite the acquiring company to introduce itself.
- Open Communication: Employees (or their representatives) can demand that the transferee receives all the relevant consultation information. Be prepared to share details promptly and transparently.
If You’re the Acquiring Company
- Be Available: You might be called upon to present your plans, values, and intentions to the workforce you’re about to inherit.
- Build Trust: Engaging with employees early fosters goodwill and can smoothen your eventual takeover of the business.
Practical Tips
Review Your Procedures
Make sure your current protocols for business transfers incorporate these new obligations. You might need to update internal checklists or timelines.
Keep Records
Document all communication, especially if employees or representatives request the transferee’s involvement. This can be crucial if questions arise later.
Train Your HR and Legal Teams
These changes will require close coordination between your legal department and HR. Ensure they understand the new requirements and the importance of timely compliance.
Anticipate Questions
Employees often have concerns about job security, working conditions, and benefits. Prepare clear, honest answers and share them in a transparent manner.
Why Compliance Matters
Failing to meet these obligations can have serious consequences—both in terms of employee relations and potential legal fallout. Taking the time to properly involve the acquiring company and keep your workforce informed fosters a smoother transition and demonstrates good faith.
The rules surrounding business transfers in Belgium can be complex. If you have any questions or need tailored advice, our HR Legal team is here to help. Reach out to us for guidance on ensuring a compliant, efficient, and positive transfer process.