The sectoral pension plan JC 118 is the sector pension for blue-collar workers in the food industry: bakeries, breweries, dairy, cured meats, chocolate and the committee's other subsectors. Since 1 January 2014 you have paid 1.52% of every worker's reference wage, of which 0.06% for the solidarity part. The NSSO collects the contribution through your DmfA, and the Fund for the 2nd pillar JC 118 runs the plan. The worker pays nothing.
This guide covers the JC 118 sector pension. How sector plans work in general is explained in our guide on the sectoral pension plan. Pay scales, bonuses and the rules per subsector are in the guide on joint committee 118.
Sectoral pension plan JC 118 at a glance
| Item | Rule |
|---|---|
| In force since | 1 April 2004 with the insurer |
| Who | Every blue-collar worker of a JC 118 employer whose pay is subject to NSSO contributions |
| Pension contribution | 1.46% of the reference wage |
| Solidarity contribution | 0.06% of the reference wage |
| Special contribution | 8.86% on the pension contribution |
| Reference wage | The NSSO wage raised to 108% |
| Worker contribution | None |
| Organiser | Fund for the 2nd pillar JC 118 |
| Collection | NSSO, through the DmfA |
| Pension institution | AG Insurance Belgium |
| Legal basis | Contributions in CLA 130432/CO/118, pension rules in CLA 190339/CO/118 of 22 October 2024 |
The plan has existed by CLA since 2003 and has run through a group insurance since 1 April 2004. Next to the pension part there is a solidarity part, with its own contribution and its own rules. The group insurance includes a financing fund: the contributions go from there to the workers' individual accounts.
Who builds up a sector pension in JC 118?
Every blue-collar worker of an employer under the Joint Committee for the food industry whose pay is subject to social security is enrolled automatically and compulsorily. That applies to all subsectors, from the small bakery to the sugar factory. The contract does not matter: seasonal workers and workers on fixed-term contracts build up too. If you use seasonal workers, also read our guide on seasonal work in Belgium.
| Who | Builds up in the sector plan? |
|---|---|
| Worker with pay subject to NSSO in JC 118 | Yes, automatically |
| White-collar employee at a food company | No, falls under JC 220 with its own plan |
| Retired person working again | No, since 1 January 2016 |
| Student worker paying the solidarity contribution | No, as long as his pay is not subject to ordinary NSSO contributions |
| Worker at a company with an equivalent plan on 31 December 2002 | Possibly not, if the company is outside the sector plan |
White-collar staff at a food company fall under JC 220; what applies there is in the guide on joint committee 220. Not sure about your workers' committee, for instance because you both produce and sell food? Read our guide on how to find your joint committee in Belgium first.
How much is the contribution for the sectoral pension plan JC 118?
The contribution has not changed since 1 January 2014. It is a percentage of the reference wage: the worker's total pay subject to NSSO, increased by 8%. So the year-end bonus counts.
| Contribution | Standard | Increased (employer's choice) |
|---|---|---|
| Pension commitment | 1.46% | 1.86% |
| Solidarity commitment | 0.06% | 0.08% |
| Special contribution | 8.86% on the pension contribution | 8.86% on the pension contribution |
The increased contribution. If you want to give your workers more through the sector plan, you can opt for the increased contribution. You send a declaration by registered letter to the Fund for the 2nd pillar JC 118. It starts on the date in the declaration, but at the earliest on the first day of the second quarter after the postmark. If your company number or NSSO number changes, report it at once: otherwise you fall back to the standard contribution.
The contributions also cover the insurer's costs, except any taxes. They reach the individual account with a value date of the first day of the second quarter after the quarter they relate to.
Worked example: the JC 118 sector pension of a dairy worker
A full-time dairy worker on the starting rate earns at least € 18.21 an hour, so € 2,998.58 a month at 38 hours a week. All pay scales by subsector are on the JC 118 pay scale page. His year-end bonus is 4 1/3 weeks of pay, about one month; the rules are on the end-of-year bonus JC 118 page.
- NSSO wage over a year: € 2,998.58 x 13 = € 38,981.54.
- Reference wage: € 38,981.54 x 108% = € 42,100.06.
- Pension contribution: € 42,100.06 x 1.46% = € 614.66.
- Special contribution: € 614.66 x 8.86% = € 54.46.
- Solidarity contribution: € 42,100.06 x 0.06% = € 25.26.
- Total cost: € 694.38 a year, or € 57.87 per calendar month.
With the increased contribution, the same worker costs € 886.12 a year. Food industry wages rise at every indexation; the next step is in our guide on the JC 118 indexation in January 2027. The contribution rises with it, because it follows the wage.
How you pay: through the NSSO and your DmfA
You do not pay the sector pension separately. The NSSO collects the contributions through the DmfA and pays them to the Fund for the 2nd pillar JC 118. The fund calculates the contribution each quarter based on the wage reported to the NSSO and passes the amounts on to the insurer. For you, it all comes down to a correct DmfA:
- Every worker is under JC 118, with his full pay subject to NSSO.
- Absences carry the right codes, so the solidarity part counts the right days.
- Start and end dates are correct, so membership starts and stops on time.
There is no pension deduction on the payslip. A correct Dimona declaration at every hire is the basis of membership.
Illness, economic unemployment and death: the solidarity part
The solidarity part works with fixed amounts, as long as the solidarity fund has the means:
| Situation | Solidarity benefit |
|---|---|
| Economic unemployment | € 1 per day to the pension account |
| Maternity protection, birth or adoption leave, breastfeeding breaks | € 1 per day |
| Incapacity of 100 days over two quarters, after the guaranteed wage | € 100, at most € 600 over the career |
| Employer's bankruptcy | The missing allocations up to 1 month after the bankruptcy |
| Death during the career | An annuity of € 500 a year for 5 years |
Illness, work accidents and occupational diseases count towards the 100-day threshold. The amounts are modest, but they keep the build-up going. How to put blue-collar workers on economic unemployment is in our guide on temporary unemployment; what you pay yourself during illness is in employee off sick.
What the worker receives and when
The capital on the individual account grows with the return the insurer allocates. Overall, the statutory minimum return guarantee applies, 2.50% in 2025 and 2026. If the reserves are below that minimum when the worker leaves, retires or dies, they are topped up from the group insurance's financing fund. If that fund is insufficient, the worker can only turn to the Fund for the 2nd pillar JC 118, not to the insurer. So as an employer you do not bear that shortfall directly in this plan.
The worker receives his capital or a life annuity on the first day of the month after his statutory pension age. Earlier is possible on retirement, or on bridging pension from age 60. If he keeps working in the sector after the end date, the contribution remains due until he retires. If he dies before, the reserve goes to his beneficiaries. He sees his balance on mypension.be, where Sigedis updates the reserves every year.
Leaving: what happens to the JC 118 sector pension
If a worker leaves the sector, the Fund for the 2nd pillar JC 118 informs him of his vested reserves and his options. He has 30 days to choose:
| Choice | What happens |
|---|---|
| Leave it | The reserve stays with AG Insurance Belgium without changing the pension promise |
| Transfer it to a new employer's pension institution | Under the rules of the supplementary pensions act |
| No choice within the period | He is deemed to have chosen to leave it, and can still transfer later |
A reserve of no more than € 150, indexed, always stays with the pension institution. For you, what counts is that the exit is correct in Dimona and the DmfA and that the social documents are right, such as the C4 form. The notice period does not change the contribution: it runs on the wages paid during notice.
Sectoral pension plan JC 118 in 2026 and 2027
In 2026 the rates of 1.46% and 0.06% apply, as they have since 2014. The CLA on contributions is concluded for an indefinite period. The sector's social programming has, however, adapted the solidarity part in recent years, extending it to maternity protection and birth leave.
Common mistakes with the sectoral pension plan JC 118
- Forgetting seasonal workers or short contracts. Every worker with pay subject to NSSO builds up.
- Expecting white-collar staff in the blue-collar plan. White-collar staff fall under JC 220.
- Leaving the 8.86% special contribution out of wage costs. It comes on top of the pension contribution.
- Not reporting a change of company number with the increased contribution. You then fall back to the standard contribution.
- Coding absences incorrectly. The solidarity part counts days based on the DmfA codes.
- Enrolling a retired person. Since 2016 a working pensioner no longer builds up.
What to check now
- Are all your workers under JC 118 in the DmfA, with their full pay subject to NSSO?
- Are your white-collar staff under JC 220?
- Is the sector contribution of 1.52% on your NSSO statement, plus the special contribution?
- Have you opted for the increased contribution, and does the fund know your current company number?
- Are economic unemployment, illness and maternity reported with the right codes?
- Do new workers know they build up a sector pension and where to see it?
What Business Centrum does for you
Business Centrum processes the payroll of food companies together with Acerta, with one dedicated contact in Ghent who knows your subsector and your shifts. We check the committee for every employee, process the sector contributions in your payroll administration and take your subsector's indexation and bonuses into account. Also read what a social secretariat through Acerta handles for you, or request a call back.