Changes from plenary report to adopted text

RemovedSHORT JUSTIFICATION

Added‘3. For the purposes of the application of Article 12(2) of the basic Regulation, the words ‘who normally pursues an activity as a self-employed person’ shall refer to a person who habitually carries out substantial activities in the territory of the Member State in which he or she is established. In particular, that person must have already pursued his or her activity for a period of at least three months before the date on which he or she wishes to take advantage of the provisions of that Article and, during any period of temporary activity in another Member State, must continue to fulfil, in the Member State where he or she is established, the requirements for the pursuit of his or her activity in order to be able to pursue it on his or her return.’;

RemovedOn the 13th of December 2016, the European Commission published its proposal for 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 proposal aims at modernising and simplifying the existing rules for social security coordination to respond to the social and economic reality in the Member States, and enhance the exercise of citizens’ rights under these regulations.

Added(d) paragraph 5a is replaced by the following:

RemovedThe rapporteur is of the view that any amendment to the existing rules concerning social security coordination should be governed by the common values of universality, equity and solidarity, especially with regard to access to health care benefits. In particular, students and disabled persons should retain the portability of their social security rights and entitlements when moving from one Member State to another without discrimination.

Added"5a. For the purpose of the application of Title II of the basic Regulation, ‘registered office or place of business’ shall refer to the registered office or place of business where the essential decisions of the undertaking are adopted and where the functions of its central administration are carried out.

RemovedIn this regard, the rapporteur takes note of the new chapter on long-term care benefits proposed by the Commission, and welcomes the fact that disability benefits are now clearly covered by this chapter; she suggests that the Administrative Commission work closely with associations of beneficiaries, including representatives of disability organisations, when determining the detailed list of benefits covered under this chapter. The rapporteur also stresses the need to ensure the swift implementation of the European Disability Card in all EU Member States, and calls on the Administrative Commission to promote the adoption of a common disability definition and criteria for the purpose of social security coordination. The rapporteur hopes that the implementation of the European Disability Card will allow for discussions on the benefits covered by the card, with a view to include further important benefits in the area of care, health care and assistance, for people with disability to fully enjoy their freedom of movement within the EU.

AddedThe identification of the registered office or place of business relevant for determining applicable legislation shall be carried out in the framework of an overall assessment, based on factors relevant to the case, due weight being given to each relevant factor depending on the circumstances of the case. The Administrative Commission shall lay down the detailed arrangements for the determination.";

RemovedThe Petitions Committee is regularly seized with petitions concerning all social security areas in cross-border situations. Issues relating to the portability of pension rights and benefits have been regularly brought to the attention of the PETI Committee, in particular concerning the long delays suffered in obtaining adequate information from the competent authorities, as well as concerning the calculation of pension benefits for citizens who have worked in more than one Member State. The rapporteur proposes establishing time-limits for the institutions of the competent Member States to determine the habitual residence of claimants, to calculate the amount of benefits and to resolve possible differences of views with other Member States. Access to tailored and concise information in this often complex field is also paramount to ensure that citizens can exercise their freedom to move and work within the EU without discrimination.

Added(e) paragraph 10 is replaced by the following:

RemovedThese proposals would contribute to the objectives set by the Commission to enhance the exercise of citizens’ rights while ensuring legal clarity and enforceability of the rules in the field of social security coordination, and respecting the overarching values of universality, equity and solidarity which are shared across the European Union.

Added’10. The determination of the applicable legislation under Article 13 of the basic Regulation shall apply for a maximum of 24 months, taking into account the situation projected for the following 12 calendar months.

RemovedAMENDMENTS

AddedOnce the period of 24 months has elapsed, the applicable legislation shall be reassessed in the light of the situation of the person concerned.’;

RemovedThe Committee on Petitions calls on the Committee on Employment and Social Affairs, as the committee responsible, to take into account the following amendments:

Added(f) the following paragraph is added:

RemovedRecital 3 a (new): (3 a) The definitions and criteria for determining disability and invalidity differ widely across the Member States, which can constitute a major obstacle to the mutual recognition of national decisions on disability and invalidity issues, in particular as regards access to specific services and facilities, and can put people with a disability or invalidity at a particular disadvantage in the field of social security when moving from one Member State to another. It is therefore necessary, with a view to facilitating the travel and movement of persons with a disability or invalidity from one Member State to another, to ensure the adoption of a common European definition in line with the UNCRPD and a mutual recognition of disability status between Member States, in particular through the swift implementation of the European Disability Card in all Member States which will be connected to the European Health Insurance Card and the European Social Security Card.

Added“12. For the purpose of applying Article 13 of the basic Regulation, in relation to a person who resides outside the territory of the Union and pursues his or her activities as an employed or self-employed person in two or more Member States, the provisions of the basic Regulation and of the implementing Regulation on the determination of the applicable legislation shall apply mutatis mutandis, provided that that person’s residence is deemed to be in the Member State where he or she pursues the major part of his or her activities in terms of working time within the territory of the Union.”;

RemovedRecital 3 b (new): (3b) In order to ensure the effective implementation and enforcement of the UN Convention on the Rights of Persons with Disabilities (UNCRPD), and guarantee the portability of disability benefits, the adoption of common definition, criteria and methods of evaluation of disability (percentage of disability) for the purpose of social security coordination should be promoted.

Added(11) Article 15 is replaced by the following:

RemovedRecital 3 c (new): (3 c) It is important to respect the common values and principles of Union’s health systems as referred to in the Council Conclusions of 22 June 2006 on Common values and principles in European Union Health Systems1a, in particular the overarching values of universality, access to good quality care, equity and solidarity. This is particularly significant for categories of citizens who are neither employed, nor looking for a job, such as students, whose mobility should be preserved through their appropriate access to social security benefits, including health insurance, in the host Member State. As stated by the Council, “universality means that no-one is barred access to health care; solidarity is closely linked to the financial arrangement of our national health systems and the need to ensure accessibility to all; equity relates to equal access according to need, regardless of ethnicity, gender, age, social status or ability to pay.” / 1a OJ C 146, 22.6.2006, p.1.

Added‘Article 15

RemovedRecital 4 a (new): (4 a) In its resolution of 15 March 2017 on obstacles to EU citizens’ freedom to move and work in the internal market1a, the European Parliament stressed the need “to ensure the portability of social security benefits (e.g. state pensions, health insurance, unemployment benefits and family benefits) and consequently reduce barriers to labour mobility in the Union” and called for “ resolute effective steps towards a coordinated system of aggregated social contributions and benefits for each individual across the Union, such as a social security card to facilitate the tractability of social security contributions and entitlements”. / 1a Texts adopted, P8_TA(2017)0083.

AddedProcedures for the application of Article 11(3), points (b) and (d), Article 11(4) and Article 12 of the basic Regulation (on the provision of information to the institutions concerned)

RemovedRecital 4 b (new): (4 b) Measures to facilitate the identification and upholding of social security rights and benefits across the Union, such as the adoption of a European Social Security Card, which should be associated with the existing European Health Insurance Card (EHIC), the European Disability Card, and cover all social security areas, should be promoted.

Added1. Where, pursuant to Article 12 of the basic Regulation, a person pursues his or her activity in a Member State other than the Member State competent under Title II of the basic Regulation, the employer or, in the case of a person who does not pursue an activity as an employed person, the person concerned shall inform the competent institution of the Member State whose legislation is applicable accordingly before the start of the activity and shall request the attestation referred to in Article 19(2) of the implementing Regulation.

RemovedRecital 4 c (new): (4c) In order to improve the mobility of workers, students and job seekers across the Union, it is essential that Member States guarantee access to the European Health Insurance Card to all people, including temporary workers, self-employed persons and those in atypical employment relationships, as well as students and mobile jobseekers, without discrimination.

Added1a. Upon receipt of the request referred to in paragraph 1, the competent institution shall issue an attestation of the legislation applicable to the person concerned. Where that attestation is not issued immediately, it shall issue an automatic acknowledgement of receipt of the request, which shall constitute evidence showing that the competent institution has been informed in accordance with paragraph 1. The competent institution shall, without delay, make available to the institution designated by the competent authority of the Member State in which the activity is pursued the relevant information concerning the legislation applicable to that person or, where that information is not yet available, information concerning the acknowledgment of receipt.

RemovedRecital 4 d (new): (4 d) Cross-border healthcare is of particular relevance to guarantee an equitable coordination of social security systems. In this regard, the implementation of Directive 2011/24/EU of the European Parliament and of the Council1a differs greatly across the Member States. In particular, Article 7 of that Directive should be implemented without discrimination to ensure the freedom of movement for Union citizens and their families. / 1a Directive 2011/24/EU of the European Parliament and of the Council on the application of patients’ rights in cross-border healthcare (OJ L 88, 4.4.2011, p. 45).

Added1b. Paragraphs 1 and 1a shall not apply to business trips.

RemovedRecital 8: (8) In the area of unemployment benefits, the rules on the aggregation of periods of insurance should be applied uniformly by all Member States. With the exception of cross-border workers referred to in Article 65(2), the rules on the aggregation of periods for the purpose of conferring entitlement to unemployment benefits should be subject to the condition that an insured person has most recently completed at least one month of insurance in that Member State. The previously competent Member State should become competent for all insured persons who do not satisfy this condition. In this case, registration with the employment services of the Member State of most recent insurance should have the same effect as registration with the employment services of the Member State, where the unemployed person had been previously insured.

AddedMoreover, with the exception of activities in the construction sector as defined in Annex 6, paragraphs 1 and 1a shall not apply to activities with a total duration of no more than three consecutive days of work within a period of 30 consecutive days.

RemovedRecital 9: (9) There is a need to extend the duration of export of unemployment benefits until exhaustion of the rights acquired by the job seeker in order to improve the opportunities for unemployed persons moving to another Member State to look for work and their chances for requalification and reintegration into the labour market and to address skills mismatches across borders..

Added1c. In situations falling under Article 12 of the basic Regulation, where no attestation as referred to in Article 19(2) of the implementing Regulation has been issued, the employer or, in the case of a self-employed person, the person concerned, at the request of the competent institution of the Member State in which the activity is pursued, shall provide either the acknowledgment of receipt referred to in paragraph 1a of this Article, or evidence showing that the activity falls under an exemption as referred to in paragraph 1b of this Article.

RemovedRecital 11 a (new): (11 a) There is a need to ensure that the competent authorities determine habitual residence for the purpose of establishing social security benefits within a reasonable time-limit.

AddedEmployers shall remain responsible for providing the necessary evidence and supplying persons pursuing an activity as an employed person in another Member State with the relevant supporting documents for that purpose. Such evidence may be provided in paper or electronic form.

RemovedRecital 11 b (new): (11b) Individuals should be able to choose their habitual residence for the purpose of establishing social security benefits, with competent authorities certifying it within a reasonable timeframe on the basis of proven sufficient roots to the concerned Member State.

Added1d. Where the competent institution of the Member State where the activity is carried out has a doubt about the information provided by the employer or the person concerned, the validity of a document or supporting evidence or the accuracy of the facts on which the document is based, that institution may request the competent institution of the Member State whose legislation is applicable to provide further information. Article 19a and Article 20(3) and (4) shall apply.

RemovedRecital 12: (12) In order to enable a timely update of this Regulation to the developments at the national level, the Annexes to this Regulation and Regulation (EC) No 987/2009 should be amended on a regular basis. / (deleted)

Added2. Where a person covered by Article 11(3), point (b) or (d), of the basic Regulation pursues his or her activity in a Member State other than the competent Member State, the employer or, in the case of a person who does not pursue an activity as an employed person, the person concerned, shall inform the competent institution of the Member State whose legislation is applicable accordingly, whenever possible before the start of the activity. That institution shall, without delay, make information concerning the legislation applicable to the person concerned available to that person and to the institution designated by the competent authority of the Member State in which the activity is pursued. Paragraph 1b of this Article shall apply mutatis mutandis.

RemovedRecital 13: (13) With a view to supporting Member States in their efforts to combat fraud and error in the application of the coordination rules, it is necessary to establish a further permissive legal basis to facilitate the processing of personal data about persons to whom Regulations (EC) No 883/2004 and (EC) No 987/2009 apply, paying due respect to the relevant Union data protection acquis, in particular Regulation (EU) 2016/679 of the European Parliament and of the Council1a. This would enable a Member State to periodically compare data held by its competent institutions against that held by another Member State in order to identify errors or inconsistencies that require further investigation. / 1a Regulation (EU) 679/2016 of the European Parliament and the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data, and repealing Directive 95/46/EC (General Data Protection Regulation) (OJ L119, 4.5.2016, p. 1).

Added3. An employer within the meaning of Article 11(4) of the basic Regulation who has an employee on board a vessel flying the flag of another Member State shall, whenever possible in advance, inform the competent institution of the Member State whose legislation is applicable accordingly, pursuant to Article 11(4), second sentence, of the basic Regulation. That institution shall, without delay, make information concerning the legislation applicable to the person concerned, pursuant to Article 11(4) of the basic Regulation, available to the institution designated by the competent authority of the Member State whose flag, the vessel on which the employee performs the activity, is flying.’;

RemovedRecital 15: (15) With a view to expediting the procedure for the verification, rectification and withdrawal of documents (in particular concerning the social security legislation which applies to the holder) in case of fraud and error, it is necessary to strengthen the collaboration and the exchange of information between the issuing institution and the institution requesting a withdrawal. Where there is doubt about the validity of a document or about the correctness of supporting evidence or where there is a difference of views between Member States concerning the determination of the applicable legislation, it is in the interest of the Member States and the persons concerned that the institutions concerned reach an agreement within a reasonable period of time. In the absence of a response within the specified deadline, the requesting institution should become competent to determine the legislation applicable.

Added(12) Article 16 is amended as follows:

RemovedRegulation (EC) No 883/2004

Added(a) paragraphs 1, 2 and 3 are replaced by the following:

RemovedArticle 1 – paragraph 1 – point 3, Recital 5 a: deleted

Added"1. A person who pursues activities in two or more Member States shall inform the institution designated by the competent authority of the Member State of residence accordingly. That information may also be provided by the employer on the person’s behalf.

RemovedThe derogation from the principle of equal treatment for more than 700.000 economically inactive mobile citizens constitutes a considerable gap in the coordination of social security systems within the European Union. The proposed changes made by the Commission will neither lead to greater legal clarity nor alleviate the situation of the citizens concerned. Therefore, a cross-reference to Directive 2004/38 should not be introduced into the Regulation.

Added2. The designated institution of the place of residence shall without delay determine the legislation applicable to the person concerned, having regard to Article 13 of the basic Regulation and Article 14 of the implementing Regulation. If that institution determines that the legislation of the Member State of residence applies, it shall inform the designated institutions of each Member State in which an activity is pursued or in which the employer is situated of its determination of the applicable legislation.

RemovedRegulation (EC) No 883/2004

Added3. If the designated institution of the place of residence determines that the legislation of another Member State applies, the determination shall be provisional, and the institution shall, without delay, inform the designated institutions of each Member State in which an activity is pursued or in which the employer is situated of this provisional determination of the applicable legislation. The provisional determination shall become definitive ▌ two months after the institutions designated by the competent authorities of the Member States concerned being informed of it, unless at least one of those institutions informs the designated institution of the place of residence by the end of the two-month period that it cannot yet accept the provisional determination or that it takes a different view.’;

RemovedArticle 1 – paragraph 1 – point 3, Recital 5c: (5c) Notwithstanding the limitations on the right to equal treatment for economically inactive persons, that arise from the Directive 2004/38/EC or otherwise by virtue of Union law, nothing within this Regulation should restrict the fundamental rights recognised in the Charter of Fundamental Rights of the European Union, notably the right to human dignity (Article 1), the right to life (Article 2), the entitlement to social security and social assistance (Article 34) and the right to healthcare (Article 35).

Added(b) paragraph 5 is replaced by the following:

RemovedRegulation (EC) No 883/2004

Added‘5. The competent institution of the Member State whose legislation is determined to be applicable either provisionally or definitively shall, without delay, inform the person concerned and his or her employer of the determination.’;

RemovedArticle 1 – paragraph 1 – point 5 a (new), Recital 24 a (new): (5a) After recital 24, the following is inserted: / “(24a) Nothing within this Regulation should give ground to any Member State other than the competent Member State to refuse residence to economically inactive persons solely on the basis of the application for the branches of social security covered by this Regulation.ˮ

Added(13) Article 19 is amended as follows:

RemovedRegulation (EC) No 883/2004

Added(a) paragraph 2 is replaced by the following: