On 10 October 2011, an updated version of the “Claeys formula” was published. The “Claeys formula”, developed by attorney Thierry Claeys, offers a formula for the calculation of the notice period for white-collar employees whose annual gross salary (including fringe benefits) exceeds EUR 30,535 (amount for 2011, indexed annually). The formula is based on a statistical analysis of court decisions and is widely applied in Belgium.
In order to reflect the current state of the case law, the “Claeys formula” is regularly updated. The new “Claeys formula” of 2011 leads to lower notice periods, as courts appear to have granted lower notice periods in 2010.
The updated version of the formula is as follows:
- for white-collar employees with an annual gross salary of up to EUR 120,000:
(0,87 x seniority) + (0,055 x age) + (0,038 x annual gross salary/1000) – 1,95 = months notice
- for white-collar employees whose annual gross salary exceeds EUR 120,000:
(0,87 x seniority) + (0,055 x age) - (0,0029 x annual gross salary/1000) + 2,96 = months notice
A law adopted on 12 April 2011 replaced the “Claeys formula” by a new rule: the notice period for white-collar employees whose annual gross salary exceeds EUR 30,535 (amount for 2011, indexed annually) should amount to 30 days per year of commenced seniority (excluding the trial period), with a minimum of 91 days (See VBB on Belgian Business Law, Volume 2011, No. 4, p.12, available at www.vbb.com). However, the new rule only applies to employment relationships involving employees hired from 1 January 2012 onwards.
