Two regimes of UCA extended for 2013-2014

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Date:
22 Apr 2013

<p>On 28 March 2013, the National Labour Council (NLC) approved three CBAs with regard to the regime of unemployment with company allowance (UCA): the CBAs n° 105, 106 and 107.</p>

On 28 March 2013, the National Labour Council (NLC) approved three CBAs with regard to the regime of unemployment with company allowance (UCA): the CBAs n° 105, 106 and 107.

CBA, n° 105 extends the prior CBA n° 91, which provided an additional allowance in the context of UCA for some dismissed elderly disabled employees and employees with serious physical problems to the extent they are at least 58 years old and have a professional career of 35 years. Employees who meet the prescribed conditions will also in 2013-2014 be able to apply for this additional allowance.

CBA n° 106 extends for the same period the possibility to let dismissed employees benefit from UCA as of the age of 56, provided they have a professional career of 33 years, of which 20 years were devoted to night work or, in the building industry, and possess a medical certificate that proves their incapacity. This arrangement only applies to the extent that it is confirmed within the competent joint committee by sectorial CBA. Companies without a joint committee or of which the joint committee is inactive can adhere to the provisions of CBA n° 106. The social partners added a template of an act of adhesion as annex to the CBA.

CBA n° 107 introduces the so-called "click system" for the maintenance of the additional allowance in the context of UCA, introduced by the Royal Decree of 20 September 2012 (cf. our Newsflash of 12 October 2012 ). This regime gives the employee who, at a given time, meets the age and career conditions but whose employment agreement ends later, at a time that the conditions are more strict, the possibility to "recover" the old, less strict conditions, even if he doesn't meet the more strict conditions applicable at the moment his agreement comes to an end. To this regard, the employer can ask the employee before a dismissal whether he/she qualifies for UCA. In that case, the employee has to ask the National Employment Office for a certificate which proves this. This has to be given to the employer within a month after receipt.

Such a certificate binds the employer: the employee concerned will maintain the right to an additional allowance in the event of a later dismissal.

> Action point:

In the context of the management of the termination of agreements and the dismissal of older employees, the following possibilities with regard to access to UCA, provides by the three new CBA's can be taken into account:

- The two specific regimes of UCA as of 56 years or 58 years were extended for the next two years.

- The possibility to assure possible acquired rights of employees prior to the dismissal by the so called 'click system'