Michel I Government


The Michel I Government was the Federal Government of Belgium formed following the 2014 Belgian government formation and sworn in on 11 October 2014. The administration is a centre-right coalition of the New Flemish Alliance, the Christian Democratic and Flemish, the Open Flemish Liberals and Democrats and the Reformist Movement. The prime minister is Charles Michel. The government had an agenda of socio-economic reforms, especially through austerity measures, with its priorities being improving Belgium's economic competitiveness and reducing unemployment. It fell in December 2018 over the Global Compact for Migration.

Investiture and status in parliament

The government was sworn in on 11 October 2014, taking the oath of office before King Filip of Belgium. The four parties had a majority in the Chamber of Representatives with 85 members out of 150. On 16 October 2014, the motion of confidence from the Chamber of Representatives was approved by a vote of 84 in favour, 58 against and one abstention.
The government's number of seats was reduced to 83 when two N-VA members, Hendrik Vuye and Veerle Wouters, left the party in September 2016.

Coalition

The government consists of a centre-right coalition of the New Flemish Alliance, Christian Democratic and Flemish, the Open Flemish Liberals and Democrats and the Reformist Movement. It is nicknamed "Swedish coalition" inasmuch as the party colours yellow and blue and the cross are combined on the Swedish flag. Initially the government was also called a "kamikaze coalition", inasmuch as the MR is the only French-speaking party in the coalition.
For the first time in 25 years, the French-speaking Socialist Party did not become a part of the federal government, whereas the Flemish nationalist N-VA helped form a government for the first time. Initially no French-speaking party wanted to partner with the N-VA, but in negotiations MR agreed to do so on the condition that the government's focus would be on socio-economic issues and that no "community-related" issues or constitutional reform plans would be part of the cabinet programme.

Policies and events

Despite three parties having been part of the preceding Di Rupo Government as well, the programme of this coalition differs substantially from the previous one. The emphasis is on socio-economic reforms, especially through austerity measures. Important goals for the parties include helping businesses become more competitive, and increasing job growth.
The announced measures were met by protests primarily from the labour unions, which argued that the measures favour employers and disproportionately burden employees and families. The unions, ACV/CSC, ABVV/FGTB and ACLVB/CGSLB, which play an important and institutionalised role in Belgium's political process, did not accept the government's offer for dialogue, maintaining that the government was not seriously inclined to reconsider any of the measures. Instead, the unions organised several regional and national strikes in November and December 2014, culminating in a one-day general strike on 15 December.
An often recurring subject was whether or not a capital gains tax should be introduced, together with a general tax reform. In the summer of 2017, the corporate gains tax was announced to be reduced from 33.99% to 29% starting 2018 and further down to 25% from 2020 whereas a capital gains tax of 0.15% on gains on financial securities was introduced for wealthier citizens holding accounts of at least 0.5 million Eur in value. Meanwhile the first 627 Eur of income through dividends became tax exempt.
The government presided over the arrest of suspects who were accused of playing a role in the Paris attacks of November 2015, as well as a terrorist attack in Brussels in March 2016.
In December 2018, a political crisis emerged over whether to sign the Global Compact for Migration; N-VA was against whereas the other three parties supported it. On December 4, the Prime Minister of Belgium, Charles Michel, announced that the issue would be taken to parliament for a vote. On 5 December, parliament voted 106 to 36 in favor of backing the agreement. Michel stated that he would endorse the pact on behalf of the parliament, not on behalf of the divided government. Consequently, N-VA quit the government; the other three parties continue as a minority government.
On 18 December 2018, Michel submitted the cabinet's resignation to the King, who accepted it on 21 December.

Composition

The Constitution requires an equal number of Dutch- and French-speaking ministers. Since MR is the only French-speaking party, it has more ministers than it would otherwise get with its electoral weight; this is compensated by having only Dutch-speaking Secretaries of State.

Changes in composition