Another 43.000 unemployed lose their allowance on Wednesday

As of 1 July 43.000 unemployed will lose their allowance. The Belgian government decided to end long-term unemployment, which will likely result in a total of 173.000 people losing their allowance this year.

As of now, in principle, people can only receive an unemployment allowance for a maximum of two years. In several ‘waves,’ people who have been unemployed longer lose their allowance. At the beginning of this year, the first two waves hit the people who had been unemployed for longer than 20 and longer than 8 years.

According to the government, given current labor market shortages and the federal government's large budget deficit, it’s unacceptable for people to remain outside the labor market. In practice, only a limited number of those involved return to work. Of the 46.000 people involved in the first two waves, only ten per cent have found a job by now. People who haven’t found a job and have no other income or financial means can turn to municipal social services.

Flexi-jobs

On 1 July there’s another change in the labor market policies in Belgium, which is in contrast with the policy concerning long-term unemployed, experts say. As of Wednesday, the system of flexi-jobs is expanded to nearly all sectors.

Flexi-jobs are a system in which people who already have a job or are retired can work a limited number of hours without paying taxes. The employer only pays limited social contributions. The system became popular rapidly. In 2025, more than 250.000 people worked in nearly 53.000 companies, although the system was limited to bars, restaurants, and retail. From now on, nearly all sectors are allowed to claim the tax advantages, although not all will.

Experts point out that flexi-jobs are often easy jobs, requiring little training or know-how. These jobs would be ideal for the long-term unemployed. Their capacities are limited given the long period they didn’t work. But for employers, it’s much cheaper to use flexi-jobs than to hire people in a regular way.

_{| © BELGA PHOTO SISKA GREMMELPREZ}