Revision of Regulation on social security coordination - LABOUR MOBILITY PACKAGE

In “Supporting people, strengthening our societies and our social model”

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The coordination of social security systems is regulated by Regulation No 883/2004 and Regulation No 987/2009 on its implementation.  Its basic principles are:

  • Citizens are covered by the legislation of one country at a time and only pay contributions in one country (prevention of overlapping benefits).
  • Foreign citizens have the same rights and obligations as the nationals of the country where they are covered (principle of equal treatment or non-discrimination).
  • Previous periods of insurance, work or residence in other countries are taken into account (principle of aggregation).
  • Cash benefits from one country may generally still be received, if the citizen is living in a different country (principle of exportability).

In its resolution of 14 January 2014 on social protection for all (2013/2111(INI)), including self-employed workers, Parliament called on the Commission to review legislation and monitor the implementation and coordination of social security systems so as to safeguard EU migrant workers' entitlements to benefits.

On 13 December 2016, the European Commission proposed a regulation of the European Parliament and of the Council amending Regulation (EC) No 883/2004 on the coordination of social security systems and regulation (EC) No 987/2009 laying down the procedure for implementing Regulation (EC) No 883/2004. The revision sought to

  • clarify the circumstances in which Member States can limit access to social benefits claimed by economically inactive EU mobile citizens,
  • establish a coherent regime for the coordination of long-term care benefits by introducing a separate Chapter for their coordination in Regulation (EC) No 883/2004 and  by including a definition and providing for a list of those benefits,
  • propose new arrangements for the coordination of unemployment benefits in cross-border cases,
  • establish new provisions for the coordination of family benefits,
  • clarify the conflict rules on applicable legislation and the relationship between the Regulations and Directive 96/71/EC of the European Parliament and of the Council of 16 December 1996 concerning the posting of workers in the framework of the provision of services.

 At the European Parliament, the file has been assigned to the Committee on Employment and Social Affairs (EMPL).

The EMPL Committee report was adopted on 20 November 2018. 

The European Economic and Social Committee adopted its opinion on 5 July 2017, and the Committee of the Regions on 12 July 2017.

In the Council, the topic was discussed on several sessions of the Working Party on Social Questions. On 21 June 2018, the EPSCO Council agreed its negotiating position (general approach).

On 11 December 2018 the plenary confirmed the decision to enter into interinstitutional negotiations. After 8 trilogue negotiations, a provisional agreement was reached between the Council Presidency and the European Parliament, but was rejected at the Coreper meeting on 29 March 2019. On 10 April 2019, the Council Presidency informed the EP that it has not succeeded to secure a qualified majority in Council to approve the provisional political agreement.

On 18 April 2019  the Parliament Plenary voted not to close the first reading procedure, but to leave it to the next parliamentary term. According to a decision taken on the October Plenary 2019, the text was a part of the unfinished business to be carried over. Trilogue meetings continued. Negotiations came to a halt on the 1st of March 2021, because it was not possible to reach an agreement on the modalities concerning prior notification before sending a worker from one Member State to another.

On 27 May 2021, the Portuguese Presidency of the Council tried to revive negotiations with the European Parliament by submitting a new proposal to the European Parliament negotiating group to unblock the negotiations on prior notification. Council proposes two types of prior notification: one for short stays not requiring the publication of an A1 form and another for longer stays requiring the publication of an A1 form.

In July 2021, the Slovenian Presidency of the Council indicated its willingness to find a solution which makes use of digital technologies in order to unblock the negotiations.

On 26 October 2021, the EMPL committee adopted by majority a resolution and an oral question calling on the European Commission to be more ambitious on digital solutions to facilitate worker mobility, and in particular on the European Social Security Pass (ESSP).

On 16 December 2021, the European Council and the European Parliament reached a provisional agreement.

The Spanish presidency (second half of 2023) sought to revive the file. Council indicated that it could be split and only the four chapters agreed in 2021 could be adopted, leaving aside the two remaining chapters (the rules on compensation for the cross-border unemployed and the rules on the legislation applicable in cases of pluriactivity).

The Parliament officially informed the Belgian presidency of the Council that it cannot accept the limited review. 

The file is listed in the Commission work programme 2025, among 'pending proposals'. The Polish presidency of the Council has discussed possible openings with national delegations and organised trilogues. Ministers of Labour and Social Affairs discussed the file on 19 June in Luxembourg. For notw, the Polish presidency did not schedule another trilogue.

 

References:

Further reading:

Author: Marketa Pape, Members' Research Service, legislative-train@europarl.europa.eu

Visit the European Parliament homepage on Social Europe.

As of 15/12/2024.