SOCIAL SECURITY OF POSTED WORKERS

Only the social security legislation of a single member state applies to a person. This is generally the country of employment (‘country of employment principle’).

An exception to the country of employment principle is the possibility of posting workers to another member state for temporary work.

Posted workers are generally subject to the social security regulations of the posting state. Benefits in kind, i.e. medical treatment at the expense of the respective health insurance fund in the posting state, are granted temporarily by the respective service providers on presentation of a European Health Insurance Card or, in the case of a posting, an S1 certificate.

Note: The competent health insurance fund issues an A1 certificate to employees who are planning to be posted to Austria as proof that the social security regulations of the posting state apply.

At the end of the 24-month posting period, an extension of a maximum of five years (in total) can be achieved under certain conditions by means of an exceptional agreement between the competent authorities of the countries concerned. In Austria, the Federal Ministry of Labour, Social Affairs, Health, Care and Consumer Protection is the competent authority.

These regulations apply to employees, employers and the self-employed.

In order for posted workers to be subject to the social security regulations of the posting state, the following requirements must be met:

• The person must have been subject to the legal provisions of the posting state for at least one month immediately prior to the posting;

• The expected duration of the posting does not exceed 24 months;

• The employee is not posted to replace another posted person;

• The posting is at the expense of the posting company;

• The posting company carries out a substantial activity in the posting country;

• There must not be a second employment relationship in the country of employment;

• The employment abroad must not be permanent or likely to be repeated.

Please contact us if you have any questions in this regard.