Teleworking: a new social security agreement in the interests of cross-border workers

Press release from the Ministry of Social Security

Widely used during the COVID-19 pandemic, teleworking is now part of the working world.

To take better account of this new reality, the Member States of the European Union have drawn up a new framework agreement in the field of social security allowing, in the majority of cases, a greater number of working days to be spent at home without a change in affiliation.

On 5 June 2023, the Minister for Social Security, Claude Haagen, signed the new Framework Agreement on regular cross-border teleworking.

In accordance with the new provisions, a frontier worker now has the possibility of carrying out his duties in his country of residence, in particular in the form of teleworking, while remaining subject to the social security legislation of the Member State where his employer’s registered office or place of business is located, provided that :

The worker’s country of residence and the country in which the employer is established have both signed the framework agreement;
The time worked in the country of residence is less than 50% of the worker’s actual working time.
This framework agreement will come into force on 1 July 2023, immediately after the expiry of the transitional period linked to the pandemic. The agreement has been concluded for an initial period of 5 years.

Among Luxembourg’s neighbours, it should be noted that Germany has already signed the framework agreement, while Belgium has undertaken to sign it shortly. Belgium is also the depositary state for signatures to the agreement.

Against this backdrop, the relevant Belgian services have set up a dedicated website: Socialsecurity.belgium.be

It contains a complete list of the Member States that have signed the agreement.

This initiative marks an important step towards deeper integration within the European Union by promoting the free movement of people within the Union, while preserving their right to social security.

“With this agreement, Luxembourg is continuing its commitment to promoting cross-border mobility, which is so important for the Greater Region, by helping to create a favourable environment for cross-border workers. With the application of this new agreement, geographical borders will no longer be an obstacle to cross-border teleworking, but cross-border workers will be able to benefit from new ways of working that avoid long journeys and therefore provide a better balance between professional and private life”, emphasised Claude Haagen at the signing ceremony.

This framework agreement was drawn up by the Administrative Commission for the Coordination of Social Security Systems in the European Union, pursuant to Article 16(1) of European Regulation 883/2004 on the coordination of social security systems.

It should be noted that these provisions apply only to the field of social security.

Tax provisions are governed by specific bilateral agreements.

The procedures for implementing this agreement will be announced at a later date.