Agreement to combine a public sector pension with a replacement income

Global context :

Section 91 of the program law of June 28, 2013 adopted by the government Di Rupo prohibits retroactively  to January 1, 2013, the cumulation of a public sector pension with a replacement income.

The implementation of this provision has however proved that it could lead to very difficult social situations for some people. 

There are people who, because of the nature of their professional career, combined -  until this law came into force - a pension from the public sector due to physical incapacity paid together with unemployment benefits by VDAB or with a work incapacity compensation or disability benefit paid by their medical insurance.

Because of the prohibition of cumulation, these individuals had to give up one of the two benefits.  Now taken separately, while however neither of these two benefits allows to reach a level of income which enables people to live a decent life. Moreover, these people were also sometimes called upon to reimburse several months of benefits.  

Case story:

A person works full-time until the age of 50 years, but by combining two different activities: she works part-time as an employee and the other part-time she is working as a civil servant.  Due to a serious illness,  she is declared unfit for employment in the public service and therefore receives a physical disability pension.  She also receives a disability allowance from her mutuality (medical insurance) because of the suspension of her part-time contract as employee.

She is informed by the Administration that by lack of refraining from her disability compensation, she loses the right to her pension for incapacity and must refund all allowances unduly paid.    

è In order to avoid dramatic the social consequences that might entail from Article 91 of the Programme Law of 28 June 2013, Daniel Bacquelaine will submit this Friday to the Council of Ministers a draft-proposal which restores the ability to combine a pension due to physical incapacity with a replacement income when it comes to unemployment benefits or compensation paid by the mutuality (medical insurance of the National health Office). The measure is retroactive to January 1 of the year 2013.

For the years 2013 and 2014, more than 1,500 people will benefit from this measure.

Real examples :

Henriette, divorced and 50 years old, has been working a part-time nurse in a public hospital for 20 years.  Due to a serious illness,  she is finally declared unfit for employment in the public service and therefore receives a physical disability pension.  She also has been dismissed  at her other half time job exercised in a medical home, which allows her to also claim unemployment benefit. 

Both benefits she is entitled to claim are :

• Pension for  physical disability  (PDOS) 581,86 €/month
• Unemployment benefit (VDAB): 827,74 €/month.

George, 52 years old, has been a teacher for 30 years now. He was appointed permanently at a rate of 5/20 and also performs services such as being a contractual in teaching at a rate of 12/20. After having fallen seriously ill, he became a pensioner because of physical unfitness and will be banned at mutuality office because of his work as a contractual.

Both benefits he is entitled to claim are :

• Pension for  physical disability  (PDOS) 1,011,86 €/month
• Disability compensation (Mutual) 971,87 €/month

Since the program law has been greenlighted by the government Di Rupo, Georges is no longer entitled to receive his disability compensation from the mutual office of € 971,87.

According to the Bacquelaine reform, he will be fully entitled again to receive the total monthly amount of € 1983,73.

Contact

Koen Peumans, porte-parole de Daniel Bacquelaine, Ministre des Pensions
+32(0)473 81 11 06 -  koen.peumans@bacquelaine.fed.be