The draft law facilitating the reintegration of civil servants on long-term sick leave was adopted by the House of Representatives. The reform provides for a transitional period until 1 January 2028.
A Royal Decree allowing civil servants to reduce their working hours to two-fifths came into force on 1 July 2024.
The reform of the pension for physical unfitness for civil servants who are permanently unfit for work was adopted by the House of Representatives.
The text aims to reform the current system, under which if a civil servant with a long-term illness is declared permanently unfit for work, he or she is entitled to an early pension, regardless of age or period of contribution. This system poses many problems as the decision to enter this system is definitive. The system prevents civil servants with long-term illnesses from returning to work, although some, given the right support, may want to consider this. Every year, this system forces more than 1,000 civil servants under the age of 50 to retire.
The new law revokes this ill health pension for young civil servants and replaces it by an allowance for temporary unfitness for work. The reform increases the responsibility of public employers as the statutory link between the civil servant and his or her public employer is not completely and definitively broken during temporary unfitness for work. The reform also provides for better monitoring and support for the return to work, as well as an allowance for temporary unfitness for work sufficient to protect these civil servants against the risk of poverty. Provisions on work-life balance are also provided to encourage people to return to work.
The preliminary draft law had been criticised by the Legislation Section of the Council of State with regard to a competence issue concerning the pensions budget, which is a federal competence. The Federal Government decided to proceed with the text with a transitional period allowing the Regions and Communities to amend their regulations to implement an allowance for temporary unfitness for work.
As a result, the new reform provides for a transitional period until 1 January 2028.
From 1 January 2025, civil servants will no longer be eligible for a permanent pension for physical unfitness. Pensions for physical unfitness between 1 January 2025 and 31 December 2027 will continue to be granted exclusively in the form of a temporary pension for physical unfitness for a maximum of 3 years. This temporary pension will then be replaced from 1 January 2028 by a temporary incapacity allowance for civil servants.
For civil servants who have already received a temporary or permanent pension for physical unfitness on 31 January 2024, nothing will change on 1 January 2025. Temporary pensions will be converted into permanent pensions for physical unfitness after a maximum of 2 years.
From 1 January 2028, all those entitled to a permanent pension for physical unfitness will be able to register voluntarily for the new temporary unfitness allowance scheme for civil servants.
The Royal Decree of 2 June 2024 amending the Royal Decree of 19 November 1998 on leave and absences granted to employees of government administrations concerning the refinement of work percentages in the system of reduced benefits on personal grounds came into force on 1 July 2024. This Royal Decree will allow civil servants to reduce their working hours to two-fifths, meaning that their working hours will be reduced to two-fifths of full-time work.
Key message
The reform of the pension for permanent physical unfitness of civil servants increases the responsibility for public employers of civil servants who are no longer able to carry out their duties due to physical unfitness for an indefinite period.
Temporary unfitness for work is a new form of temporary pension for physical unfitness and will have to be included in all the various staff regulations for the statutory employees concerned by the competent authorities.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.