Stricter conditions for posted workers
The rules governing the social security position of posted workers will become more stringent. Under the revised framework, an employee must have been subject to the social security system of the sending country for at least three months before the start of the posting to remain insured in that country during the assignment.
In addition, the rules on replacing posted workers will be tightened. Where a posted worker replaces another posted worker, the combined duration of the activities performed by all employees involved may generally not exceed 24 months.
Stricter rules will also apply to consecutive postings to the same Member State. After a posting period of 24 months, including interruptions of up to two months, the posting rules can generally only be applied again after a break of at least two months.
Advance A1 applications become the standard
Employers will be required to notify the competent authority and apply for an A1-certificate before the start of the cross-border activities.
An exception applies to business trips and activities lasting not more than three consecutive working days within a 30-day period. This exception does not apply to activities in the construction sector.
Where an employer relies on an exception, the employer must be able to substantiate the applicability of that exception if requested by the authorities.
Employees working in multiple member states
For employees who regularly work in two or more EU Member States, the revised rules clarify how to determine the employer’s relevant registered office or place of business for social security purposes.
This clarification is intended to improve legal certainty in situations involving multi-state employment.
Increased cooperation and digitalization
Authorities will be granted broader powers to exchange and verify information between Member States.
In addition, formal deadlines will be introduced for the assessment, correction and, where applicable, withdrawal of A1-certificates.
The revised framework also places a stronger emphasis on digitalization, including digital application procedures, automatic acknowledgements of receipt and, in the future, real-time verification of A1-certificates.
What should employers do now?
Although most changes are not expected to take effect immediately, employers should already assess whether their current processes are future-proof.
Key areas to review include:
- Identify employees who are posted abroad, undertake business travel or work in multiple countries;
- Assess the applicable social security position before cross-border activities commence;
- Ensure timely submission of A1 applications;
- Maintain adequate documentation for exemptions relating to business trips and short-term activities
- Monitor maximum posting periods and potential replacement situations.
How can Van Oers help?
Van Oers assists employers for example with: determining the applicable social security position of international mobile employees, applying for and monitoring A1-certificates, getting prepared for the revised European social security rules, and design and optimize internal compliance processes.
More information
Would you like to understand how these changes may affect your organisation? Please contact one of our Global Mobility specialists or learn more about our Global Mobility services. You can contact us via e-mail: info@vanoers.nl.
