Behind this budgetary compromise concluded by the Bart De Wever government emerges the confirmation of a move away from Arizona’s initial mantra: making work more remunerative.
It’s not a good deal, but hey, it’s a deal. And he will spare no one. This is roughly how, between fatalism and stoicism, that Bart De Wever described the compromise reached on the multi-year budget by Arizona.
In fact, apart from the government partners who ensured the survival of their coalition with the realization of this complicated budgetary exercise and opposed a media snub to the union protest, it is difficult to find a social or professional category that is not directly affected by the agreement. Certainly not the middle class, which will be largely involved. Neither culture or sport. Nor the broadest shoulders, pensioners, banks or SMEs. Nor even public finances.
But behind this compromise which casts a wide net, emerges the confirmation of a trend, of a move away from the initial mantra of the coalition in place: make work more profitable. The narrative had already largely evolved on this cornerstone of Arizona. The campaign’s “additional 500 euros in the pockets of workers” had gradually become a “500 euro differential between workers and those who do not work” once the government was in place.
The budget agreement confirms the direction taken to make inactivity less attractive.
The budget agreement confirms the direction taken to make inactivity less attractive, since in addition to the limitation of unemployment benefits in the time already in progress, the “return to employment of long-term sick people” component has been validated. The roadmap now also states that workers will not be spared from austerity measures. In fact, capping indexation should affect the purchasing power of nearly one in two workers. And for this category of workers, there is a risk that the measure will slow down the productivity, mobility or desire for advancement of certain employees. As for sectors which generally offer salaries below the median, the question of competitiveness gains, which would aim to support activity and make work more attractive, remains raised.
As for the self-employed and the liberal professions, we knew that management companies were in the government’s sights. But the budgetary tightening will have been more severe than expected and it is therefore the vast majority of SME bosses who will be affected by the way in which they are remunerated.
And then, above all, more discreetly but certainly, the tax reform was overhauled. If the employment bonus, which should make it possible to bring the net salary level closer to the gross, has been brought forward by one year, the increase in the tax-exempt portion was partially postposed. This measure was to come into force gradually to give its full potential in 2029. But this last phase was postponed to 2030. However, its execution was to reduce the tax burden on all taxpayers, which was to help increase the net salary in the worker’s pocket. It is now at the discretion of a future government.
But hey, it’s a deal. And no, he doesn’t spare anyone.
