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Recent developments in the social security coordination trESS Seminar 24 September 2012 Jackie Morin Overview • Mobility debate • Recent legislative developments • Miscellaneous amendments 2010 • EEA and Switzerland • External dimension • Work of the Administrative Commission • New decisions and recommendations and other forms of guidance • EESSI • Outcome of Working Parties • Next steps Mobility today 3% EU citizens living in another Member State in 2012 0.5% EU workers are cross-border commuters = around 1.2 million workers 15 % EU citizens would not consider working in another Member State: too many obstacles Economic opportunities are a major driver of mobility: people go where jobs are Impact of the crisis: increasing diversity in unemployment East to West - decline in mobility of EU-10 citizens + signs of return migration South to North - early signs of increasing flows Low intra-EU mobility: 0,35% per year compared with 2,5% in the USA Debates Sustainability of social security systems Consequences of enlargement Mobility drivers Miscellaneous Amendments 2010 • Commission Regulation (EU) No 1244/2010 • Update of country-specific Annexes • Published in OJ L 338, 22.12.2010, p. 35 • Entered into force on 11 January 2011 • Regulation (EU) No 465/2012 of the European Parliament and of the Council • Published in OJ L 149, 8.6.2012, p. 4 • Entered into force on 28 June 2012 Regulation (EU) No 465/2012 • Main changes • Applicable legislation: change of rules for working in 2 or more MS - Article 13 BR and 14(5) and (5b) IR • Introduction of the concept of “ home base” for air crew members - Article 11(5) BR and 14(5a) IR • Solution for formerly self-employed frontier workers who were covered in the Member State of last activity, but whose MS of residence does not have an unemployment benefits scheme - Article 65a BR EEA and Switzerland • EEA Joint Committee Decision No 76/2011 • Adopted on 1 July 2011 • Published in OJ L 262, 6.10.2011, p. 33 • Regulations (EC) Nos 883/2004 and 987/2009 apply in relation to IS, LI and NO since 1 June 2012 • EC-CH Joint Committee Decision No 1/2012 • Adopted on 31 March 2012 • Published in OJ L 103, 13.4.2012, p. 51 • Regulations (EC) Nos 883/2004 and 987/2009 apply in relation to Switzerland since 1 April 2012 Communication on the External Dimension of EU Social Security Coordination • COM(2012) 153 final of 30 March 2012 • Makes the case for strengthening cooperation between Member States to achieve a more coherent approach to social security coordination with third countries • Sets out ways in which the EU rules currently impact on social security coordination with third countries • Describes existing components of common EU approach to social security coordination with third countries Are the Member States totally free when negotiating bilateral agreements? Can we improve the way the Member States are sharing their experiences when negotiating bilateral agreements? Key questions What are the minimum provisions to be included in the EU rules? How to monitor the implementation of the association agreements? What are the next steps? Can we suggest the negotiation of EU agreements on social security? The Communication proposes • The creation of a new annual forum at EU level to strengthen cooperation between Member States as regards third countries • Exploring the use of EU social security agreements with selected third countries • Developing the common EU approach, including the adoption of a second package of Association Council decisions with Turkey, Albania, Montenegro and San Marino New Decisions and Recommendations of the Administrative Commission • E3: prolongation of transitional period for EESSI (OJ C 12, 14.1.2012, p. 6) • U4: reimbursement of unemployment benefits for former frontier workers (OJ C 57, 25.2.2012, p. 4) • Recommendation No S1: healthcare coverage for cross-border living organ donation (OJ C 240, 10.8.2012, p. 3) Practical Guide on applicable legislation • Replaces the "Posting Guide" • Working instrument to assist institutions, employers and citizens in the area of determining the applicable social security legislation • Available on the Commission's website: http://ec.europa.eu/social-security-coordination • Planned update – Regulation (EU) No 465/2012 and other general developments EESSI Development and improvement 2014 2013 Possibility to full exchange SEDs Possibility to exchange SEDs / Pilot phase Presentation layer Business component (SEDs agreed, flow attribution) Transport and reliable messaging EESSI – Current activities at EU level Central system • Validation and prioritization of requirements (October 2012) • Agreement on specifications (December 2012) Baseline version Business model • Legal validation of SEDs and Flows - 3rd review, alignment process (December 2012) • Updated guidelines (December 2012) Working Parties of the AC Child-raising periods (14 April 2011) Patients' mobility (4 October 2011) Recovery (17 November 2011) Family benefits (18 April 2012) Applicable legislation (4 October 2012) 1st Revision of the social security coordination rules Coordination of long-term care benefits (LTC) Coordination of unemployment benefits … 2009 – 2011 Evaluation 2012 – 2013 2014 Impact Assessment Commission' proposals Revision of the social security coordination rules • Aim • Improved social security protection for migrant persons • Enhanced effectiveness of the coordination regime • Legal certainty for all stakeholders • Simplification Coordination of LTC benefits • Is the current system of coordination of long-term care benefits satisfactory? Is a new set of rules needed & how radical the changes should be? • LTC within material scope of coordination Regulations • Coordination under Chapter 1 – Sickness, maternity and equivalent paternity benefits • Court of Justice (recent: C-208/07 Chamier-Glisczinski, C388/09 da Silva, C-206/10 Commission v Germany, C-538/11 Sax - pending) • No definition, no list of benefits See also: trESS Think Tank Report 2011; trESS analysis of selected concepts 2010 Chapter 6 - Unemployment benefits Room for simplification and clarification? • Complex coordination regime for cross-border workers (Article 65 BR and new Article 65a BR), including the new reimbursement mechanism (Decision No U4) • Application of the case-law of the Court of Justice (C131/95 Huijbrechts, 1/85 Miethe) • Extension of the period of export of unemployment benefits • Application of the principle of aggregation of periods Visit us @ http://ec.europa.eu/social-security-coordination http://www.facebook.com/#!/socialeurope Thank you for you attention!