
May 2025
2 minutes
Labour Laws in Belgium vs USA: What You Need to Know

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Introduction
Whether you're hiring your first employee abroad or scaling across borders, understanding the differences between labour laws is essential to avoid costly missteps. Belgium and the USA offer a striking contrast in how they regulate employment - and assuming the rules are similar could leave your business exposed.
Why does this matter now? Global hiring is accelerating. Remote work has broken down location barriers, and more companies are operating across time zones without always understanding local rights, risks, and responsibilities. With US employment law largely governed at state level, and Belgium operating under one of the most protective labour systems in Europe, this comparison is a prime example of why localisation matters.
Quick Tips
Belgium has statutory notice periods and just-cause dismissal rules. The US permits at-will termination in most states.
Working hours, leave entitlements, and sick pay are heavily regulated in Belgium - far less so in the US.
Collective bargaining and union representation are more common and structured in Belgium.
Social security costs in Belgium are significantly higher than in the US.
Written contracts are mandatory in Belgium. In the US, many employment agreements are verbal or implied.
Termination: Process vs. Discretion
In Belgium, terminating an employee requires either mutual agreement, just cause (with proof), or payment of a legally defined notice period or severance. Employers must follow a formal process, and in many cases, notify or consult the employee council. Dismissals that breach procedure can lead to significant compensation awards.
In contrast, the US operates under 'at-will' employment in most states, meaning either party can end the relationship at any time, for any lawful reason. However, this doesn’t mean there are no risks. Discrimination, retaliation, and wrongful termination claims are on the rise.
For HR leaders, this means understanding the administrative burden of terminations in Belgium, and the litigation risks in the US. Ensure local legal guidance is part of your exit strategy in both jurisdictions.
Pay and Benefits: Statutory vs. Negotiated
Belgium mandates a high level of employee protection through national law and collective agreements. Employees are entitled to paid annual leave, sick pay, end-of-year bonuses, meal vouchers, and pension contributions. Employers also contribute heavily to social security - around 25 percent of gross salary on top of wages.
In the US, employers have far more discretion. There is no national paid leave law, and benefits such as healthcare, pension contributions, and bonuses vary widely by employer. Minimum wage and overtime rules differ by state.
One client I supported recently struggled with pay equity when expanding from the US into Belgium. They had assumed a flat global bonus model would suffice. Instead, we worked together to localise their reward package and align with collective labour agreements, ensuring both compliance and staff retention.
Contracts and Documentation: Clarity is Key
Belgium requires written contracts that define job terms, working hours, remuneration, and any probationary conditions. Failure to provide this can lead to automatic assumptions of indefinite employment or full-time status.
In the US, although written contracts are common in executive roles or unionised settings, many employees work under implied or 'at-will' terms. This can create ambiguity, especially when hiring remotely across state lines.
As part of an HR audit for a US company hiring in Brussels, we discovered they had issued offer letters without legally binding terms. We rebuilt the documentation, ensured language alignment with Belgian employment codes, and helped them navigate post-hire registration requirements.
If you're hiring in Belgium, ensure all contracts are legally drafted and signed before employment begins. If you're hiring in the US, double-check your offer letters and ensure you're aware of state-specific requirements.
Final Thoughts
Hiring globally means playing by local rules. Belgium and the US might both be highly developed economies, but their approach to labour law couldn't be more different. Assumptions are where most compliance failures begin.
Navigating these differences isn't about adding complexity - it's about building a sustainable, fair, and scalable business. A misstep in Belgium could mean months of back pay and reputational risk. A slip in the US could mean costly litigation. Prevention is always better than cure.
What’s next for your global people strategy?
Book a free compliance check-in or HR audit with ThinkGlobal HR. Whether you're hiring in Belgium, the US, or beyond, we can help you assess risk, localise contracts, and build smart systems that grow with you - without the guesswork.