The Commission welcomes this important step towards modernising the EU’s social security coordination rules

Representatives of the EU Member States have approved theagreementbetween the Council Presidency and the European Parliament on therevision of the rules on social security coordination. The European Commission welcomes this approval.

The revised rules represent an important step towards fair labour mobility within the EU. They make it easier for people to work, live or retire in other Member States, or to seek employment across the border, thereby ensuring that their social security rights are protected. They also reduce the administrative burden and legal uncertainty for businesses operating internationally.

Key changes in the revised coordination rules

• Improved protection of social security rights for people working or living abroad, with the establishment of a coherent system for the coordination of long-term care benefits and new rules on family benefits.
• Greater fairness in labour mobility thanks to a new definition of fraud in social security coordination. Workers must be registered with the social security system of their country of origin for at least three months before being posted to another Member State. After 24 months of posting, a period of at least two months must elapse before a new posting. Postings must be notified in advance, except in the case of business trips. This notification is also not required for short-term postings of up to three days in all sectors, except the construction sector.
• New provisions for the coordination of unemployment benefits in cross-border cases, as well as an extension of the period during which a person may move to another country to seek work whilst retaining the right to unemployment benefits.
• Clearer rules defining which social security laws apply, in particular for the posting of workers and for work carried out in two or more Member States.
• Administrative cooperationbetween national authorities has been strengthened through improved exchange of information on the social security status of people working in another country, the introduction of clearer procedures and deadlines in cases of doubt regarding the validity of documents, and new tools to prevent fraud, abuse and errors.

Next steps

 The European Parliament and the Council of the EU must now formally approve it before it enters into force. The revision updates the regulations in force since 2010.

Background

Each Member State is free to determine the characteristics of its own social security system, including:

• which benefits are provided
• eligibility criteria
• how these benefits are calculated
• what contributions must be paid

At the same time, around 16 million European citizens live or work in another Member State. The EU sets rules to coordinate national social security systems and ensure social protection when a person moves within EU Member States, as well as to Iceland, Liechtenstein, Norway and Switzerland.

Regulations 883/2004and987/2009have governed this coordination framework since 2010. The Commission proposed the revised rules in 2016 to reflect increased labour mobility, developments in national social security systems and relevant case law.

More information: European Commission.