2010 - New Social Security Regulations 883/2004 & 987/2009

DG Employment, Social Affairs and

Equal Opportunities

Modernised Social Security Coordination

New Social Security Regulations883/2004 & 987/2009

Vit HOLUBEC

trESS seminar: Warsaw 16/4/2010

2DG Employment, Social Affairs and Equal Opportunities 2

Overview

• Modernised Social Security Coordination • Key innovations in the individual sectors• Recent and future developments


What is Coordination? Organisation

Decision Making Administrative Commission Task Force

Ad Hoc groups

Prepare documents and reports

Technical Commission

Audit Board

Prepare and coordinate work

Approve average costs and accounts

Support AC on technical

aspects

Advisory Committee

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Reg 1408/71

Reg 574/72 (Implementing Reg.)

Consolid Reg

Reg 987/09 (Impl. Reg)

Reg 883/04

Regulations 3 & 4

Over 50 years of Social Security Coordination

1959 1972 1997 2010

5

Key Themes of the Modernised Regulations

• Updating • Simplification • Improved protection of rights • Clarification • Strengthened and Streamlined institutional

procedures


Examples: • Inclusion of paternity benefits• Explicit provision to take into account credits

for child-raising periods• New provisions on posting• New procedures for recovery• Improved and speedier procedures for reimbursement

of healthcare costs• Requirement for data to be exchanged electronically

Updating to reflect current practices

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Enhanced Cooperation

"Clear and more effective cooperation between social security institutions is a key factor in allowing the persons covered by regulation (EC) 883/2004 to access their rights as quickly as possible and under optimum conditions"

[Preamble of the IR, para. 2]

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99


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Dialogue and conciliation mechanisms

Conciliation – Administrative Commission – Conciliation Board

Optional Max 6 months

Dialogue between competent authorities - Phase 2

Optional Max 6 weeks

Dialogue between institutions - Phase 1

Obligatory Max 6 months

DG Employment, Social Affairs and Equal Opportunities 10

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+ 3 months+ 3 monthsWithin 3 monthsWithin 3 months

Dialogue and conciliation procedure

Doubt about the validity of a document/ correctness of supporting evidenceDoubt about the validity of a document/ correctness of supporting evidenceDifference of views between Member States about the determination of the legislation applicableDifference of views between Member States about the determination of the legislation applicable

2. Improved protection for individuals

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Agreement


13




No agreement


14

OPTIONALWithin 6 weeksWithin 6 weeks+ 3 months+ 3 monthsWithin 3 monthsWithin 3 months


Agreement


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Conciliation Board

Within 6 weeksWithin 6 weeksWithin 6 weeksWithin 6 weeks+ 3 months+ 3 monthsWithin 3 monthsWithin 3 months



No agreement


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Conciliation Board

Within 6 weeksWithin 6 weeks+ 3 months+ 3 monthsWithin 3 monthsWithin 3 months


Agreement

OPTIONALWithin 6 monthsWithin 6 monthsWithin 6 weeksWithin 6 weeks+ 3 months+ 3 monthsWithin 3 monthsWithin 3 months



Determination of Applicable Legislation - Key Innovations

• Article 11 BR

• Principle of “unicity” of applicable legislation strengthened – no exceptions as it is now under art 14c (Annex VII) and Art. 14f

of Reg 1408

• Strengthening of “lex loci laboris” principle• Residence for non-active persons

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6(1) IR:

Divergence of views about the legislation applicable: person provisionally subject to one legislation identified with an order of priority

6(2) IR:

Divergence of views about which institution should provide the benefits: institution identified with an order of priority

Provisional application of legislation and provisional granting of benefits

Improved protection for individuals

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New provisions on posting

Posting of employed persons (art. 12(1) BR)• Maximum of two years - no extension of period • Main conditions remain applicable:

– Definitions in article 14 Implementing Regulation– New Decision on posting adopted by Administrative Commission

on 12 June 2009– Revised posting guide


Determination of Applicable Legislation - Key Innovations

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Activities in more MS:

- for the same employer :

Introduction of a new criterion in Article 13 BR

• The proportion of activity in the Member State of residence has to be substantial for the legislation of residence to apply

• Otherwise: legislation of MS of employer applies

- for more employers in different Member States:

• Legislation of MS of residence applies

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B

Activities in 2 or more Member States for the same employer

ALegislation applicable = Member State BLegislation applicable = Member State B

3. Modernisation and clarification

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B

Activities in 2 or more Member States for the same employer

AOnly if substantial part of activities in the Member State of residence

Legislation applicable = Member State ALegislation applicable = Member State A


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C B

Activities in 2 or more Member States for 2 or more employers, with registered offices or plase of business in different Member States

AIf 2 or more employers and registered offices/place of business in different member states

= Member State of residence



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B

Activities in 2 or more Member Statesfor 2 or more employers, including in the Member State of residence

AIf 2 or more employers, Member State of residence



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Determination of legislation applicable

Transitional provisions

Article 87(7) BR

• Legislation determined under 1408/71 continues to apply– if as a result of application of 883 person would become subject

to different legislation– as long as relevant situation remains unchanged – For a maximum period of 10 years

• Person can request to become subject to the legislation applicable under 883.


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Key Innovations

Sickness and Maternity

• Clarification of who is responsible for providing EHIC to persons not residing in competent State (Article 27 BR)

• New procedures and rules for scheduled treatment (with prior authorisation)(Article 26 IR)

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Key Innovations

Pensions

• 'Investigating Institution' renamed 'Contact Institution' and given more proactive role (Article 47 IR)

• Importance of summary pension note: new basis for a possible review request from the claimant in relation to interaction between decisions notified therein (Article 48 IR)

• Specific provision as regards aggregation of child-raising periods (Article 44 IR)

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Key Innovations

Unemployment

• Principle of aggregation applies also to self-employed persons (Article 61 BR)

• Direct payment of exported unemployment benefit to the person concerned without need for consequent reimbursement between institutions (Article 64 BR)

• MS may extend export of unemployment benefit from 3 to 6 months (Article 64(1)(c)

• Improved special regime for frontier workers

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Key Innovations

Family Benefits

• Clearer process for establishing order of priority for paying family benefits (Article 68 BR);

• Distinction between 'family benefits' and 'family allowances' removed;

• Same rules for pensioners and

employed persons.

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EESSI

Network

Electronic Exchange of Social Security Information

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I

II

I

I

I

AP AP

I

EESSI


EESSI Implementation: How will it work?

MAY2010

DEC.2010 2011

MAY2012

EESSI FULLY OP

PAPER E-FORM

PAPER SED'S ________ ________ ________ ……..…... ……….....

NATIONAL APPL. AS E-FORMS

__ ________ ________ ________ ……….....

FINAL SED'S ………….. ………….. ………….. ________ ________

SED = Structured Electronic Documents

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SED

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Structured

Electronic

Document

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Public EESSI Directory Interface

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EESSI newsletter


363636

Recent Developments in the Administrative Commission

• AC Decisions and Recommendations• Portable Documents• Structured Electronic Documents (SEDs)• Miscellaneous Amendments 2010

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Decisions and Recommendations of the Administrative CommissionA + Number Applicable Legislation

H + Number Horizontal, concerning general issues and rules of procedure, and also Financial provisions

E + Number Electronic Data Exchange

F + Number Family Benefits

S + Number Sickness Benefits

U + Number Unemployment Benefit

P + Number Pensions

38Source: European Commission, DG Employment, Social Affairs and Equal

Opportunities 38

A document for individuals

Portable documents

393939

Recent developments in the Council

• Proposal for a Regulation extending the provisions of Regulation 883/04 to nationals third country nationals

• Association Council Decisions

404040

The Future

• International dimension of social security coordination

• Long-term care benefits• New patterns of mobility

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New Website on Social Security

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Access to national information page

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Other information sources


Funding for Transnational Actions

Actions:

• Improving information and cooperation between the institutions of Member States, and/or

• Improving citizens’ knowledge on their rights

• Subsidy up to 80% • Call for proposal VP/2010/004 (deadline 17/05/2010)• Published on DG EMPL website• Publication again in 2011

2010 - New Social Security Regulations 883/2004 & 987/2009

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