Factsheet for measure
BE-2020-40/1442
– measures in Belgium
New Flemish protection mechanism for businesses
Nieuw Vlaams Beschermingsmechanisme (NWB)
Background information
The resurgence of the virus in September-November has led to a re-introduction of strict measures that have a significant impact on the working of businesses. To reduce contacts and further spreading of the virus, the federal government has decided to restrict the activities of a large group of shops and HORECA that are considered to be non-essential. Because of this, many businesses that were struck by previous measures are now confronted with another period of little to no income. Because of this, new measures were implemented, like the New Flemish Protection mechanism. This provides financial support to businesses that have been faced with significant turnover losses in the period of October until mid November.
Content of measure
Concretely businesses that have been faced with a reduction of their turnover (because of federal measures) by 60% in the period between October and the 15 November are able to make use of additional financial support from the Flemish government. This support also applies to businesses that were forced to shut down because of these measures.
The calculation of the loss in turnover is calculated in comparison with the same period last year. This is firstly done based on a declaration on honour, the applicant is obliged to keep the documentary evidence for five years.
The mechanism will from now on repeat on a periodic basis, every time businesses that are struck can apply for financial support for the previous period.
The financial support amounts to 10% of turnover with a minimum of €1000 and a maximum of €60,000 (mainly based on the number of employees).
Use of measure
The measure is very new and it is therefore currently not possible to estimate the amount of applicants.
Target groups
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Workers
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Businesses
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Citizens
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Does not apply to workers
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Applies to all businesses
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Does not apply to citizens
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Actors and funding
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Actors
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Funding
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Local / regional government
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Regional funds
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Social partners
Social partners' role in
designing the measure
and form of involvement:
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Trade unions
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Employers' organisations
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Role
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Unknown
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Unknown
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Form
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Not applicable
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Not applicable
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Social partners' role in the
implementation, monitoring and assessment phase:
-
Unknown
-
Main level of involvement: N/A
Involvement
It is unclear to which extent the social partners were involved in this measure.
Views and reactions
Employers' associations (e.g.: Unizo) have been positive and supportive of the measure. They believe it is absolutely necessary to support Flemish businesses.
Sources
