Revision of the social security coordination Regulations (EC) No. - - PowerPoint PPT Presentation
Revision of the social security coordination Regulations (EC) No. 883/2004 & 987/2009 - COM(2016) 815 final Malcolm Scicluna Director (International Affairs) Overview Political & policy context for revision Impact assessment
Director (International Affairs)
Current situation Under the new proposal
For economically inactive mobile citizens, a Member State may make access to both social assistance and social security benefits subject to the requirement that such citizens legally reside there. In practice this means the citizen concerned must have comprehensive sickness insurance and sufficient resources so as not to impose an unreasonable burden on the social security system of the host state. This principle derives from case-law and is not expressly stated in the EU social security rules. The proposal makes these principles more explicit, so that Member States and citizens have more clarity on their rights and obligations.
Current situation Under the new proposal
As a jobseeker you can take your unemployment benefits with you to another Member State for 3 months, with a possible extension to 6 months. The employment services of your home country may request a monthly report on your activities from your host country. You can take your unemployment benefits with you to another Member State for 6 months, with a possible extension to your whole period of entitlement. Your host country must send a monthly report to your home country on your efforts to re-enter the labour market.
Current situation Under the new proposal
When you become unemployed after taking up work and residence in a new Member State, you may request that periods of previous insurance in
taken into account when your host country assesses if you meet the minimum period to qualify for unemployment benefits (so called “aggregation”). The current rules do not specify a minimum period of prior employment in the new Member State before you can ask for such “aggregation”. The “aggregation” principle is not changed, but now there will be a minimum period set. You must work for at least three months in a new Member State before you can ask for aggregation. Your existing rights to unemployment benefits remain protected. If you have worked in your new country for a shorter period, you can seek unemployment benefits from the Member State where you previously worked.
Current situation Under the new proposal
When you become unemployed as a frontier worker, you must claim your unemployment benefits in the Member State where you live. As a frontier worker you will now receive your unemployment benefits from the Member State of former employment, if you have worked there for at least 12 months. If you have worked there for less than 12 months, you will receive your unemployment benefits from the Member State where you live.
Current situation Under the new proposal
Long-term care benefits are currently not explicitly defined in the rules. In practice they are coordinated as sickness benefits. This means that the Member State of insurance provides long-term care benefits in cash and reimburses the cost of benefits in kind provided by the Member State of residence. The rules will provide a common definition of long-term care benefits, criteria to identify them and a list of benefits in each Member State. The same coordination rules continue to apply.
Current situation Under the new proposal
Child-raising allowances are currently considered as traditional family benefits and therefore are coordinated as such. In the case of a family in a cross-border situation, the secondary competent Member State does not make a distinction between traditional family benefits and benefits intended to replace the income of the parent due to child raising. The rules will update the coordination mechanism where it concerns child-raising allowances. Member States will have the option to treat these kind of allowances separately from the traditional family benefits and thus pay them in full to both working parents.
Current situation Under the new proposal
If you are posted for no longer than 24 months, and if you don’t replace another posted worker, you can remain insured in your home country. No details are given on the specific obligations of the issuing country or the timeframe for its response, in case a host EU country has a doubt about the social security documents of a posted worker. The 24-months rule is unchanged. The requirement that in order to remain insured in the sending country you must not replace another posted worker will also cover self-employed workers sent to another EU country. The sending country issuing the social security documents of a posted worker must properly assess the relevant facts and guarantee their
to respond to a host country’s request to verify the documents. In case of fraud, the withdrawal
Current situation Under the new proposal
If you are employed in more than one Member State and you don’t carry out any substantial activity in your home country, you fall under the legislation of the Member State where your employer is established. In order to avoid abuse, the legislation of the Member State of the employer will only apply in such a case if that employer carries out substantial activity in the Member State where it is established. This reduces the risk of letter-box companies being utilised to circumvent the rules.