BELGIUM Law and Practice Contributed by: Michel Bonne, Hannelore Matthys and Virginie Lescot, Van Bael & Bellis
in the case of a dismissal of one or more employ - ees. However, this is different in the case of an asset deal under CBA 32bis. Pursuant to CBA 32bis, the rights and obligations of the transferred employees arising from their employment agree - ments are automatically transferred to the trans - feree. This implies that, on the date of the trans - fer of a business, all employees of the target will be automatically transferred from the transfer - ring employer to the acquiring company, with preservation of all rights (exceptions for pension rights may apply) and obligations resulting from the employment agreement. In principle, all employees belonging to the transferred business will automatically transfer to the acquiring company. The acquirer cannot choose which employees will be transferred and the transfer of a business, as such, does not constitute justified grounds for dismissal. In the event of a dismissal, damages for manifestly unfair dismissal of up to 17 weeks’ gross sal - ary may be due on top of mandatory severance pay. However, a dismissal remains permitted for serious cause; or for economic, technical or organisational reasons (not directly linked to the transaction) entailing changes in the employ - ment in general. In addition, the acquiring company may not uni - laterally alter the working conditions to the detri - ment of the transferred employees. If important working conditions are amended unilaterally (for example salary, working time or function level), the employee can, amongst other things, claim that the acquiring company has terminated the employment agreement. In such cases, the acquiring company will be liable for the payment of a severance pay and potential additional dam -
ages resulting from the termination of up to 17 weeks’ gross salary. The acquiring company and the transferred employees are, however, free to negotiate a new employment agreement or new terms of employment subject to the employees’ consent and as long as these are in line with the terms of employment resulting from applicable collective bargaining agreements. Moreover, the transferring employer and the acquiring company are jointly and severally lia - ble, vis-à-vis the employees concerned, for the payment of any debts resulting from the employ - ment relationship and existing at the time of the transfer. 2.6 National Security Review Belgium introduced a national foreign direct investment (FDI) screening mechanism on 1 July 2023. The mechanism was adopted against the backdrop of Regulation (EU) 2019/452 establish - ing a framework for the screening of FDI into the EU. The scope of the mechanism is broad and open- ended as any investments that can affect nation - al security, public order or the strategic interests of the Belgian federated entities are being tar - geted. The mechanism requires foreign investors to notify certain investments relating to a broad range of sectors – including energy, transport, water, health, biotech, cybersecurity, communi - cations, media, data management, critical infra - structure (physical and digital), critical inputs, food security, tech (such as AI, robotics and semiconductors), aerospace, defence, private security, media pluralism, electoral institutions, financial infrastructure and dual-use products – to the newly established Interfederal Screening Committee (ISC), prior to their implementation,
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