of social security systems, COM (2016)815” PUBLIC HEARING “Commission proposal on coordination of social security systems, COM (2016)815” European Parliament Brussels 11/04/2017 Carlos García de Cortázar y Nebreda

“Commission proposal on coordination of social security systems, COM (2016)815” On 16th December 2016, the European Commission submitted a proposal to amend the Social Security Coordination Regulations 883/04 and 987/09. Actually, since their approval and entry into force in 2010, only a minor legislative change, with Regulation 465/2012, was introduced in these Regulations. In this respect, it should first be noted that this new Commission proposal represents an important shift in the essence of the Coordination Regulations.

“Commission proposal on coordination of social security systems, COM (2016)815” The central element of this new proposal is the fight against all possible fraud. In fact, Social tourism underlies the fundamental contents of the proposal. Consequently, it has to be examined whether the proposal is balanced and how impact in some basic principles and freedoms.

“Commission proposal on coordination of social security systems, COM (2016)815” This Commission proposal touches many aspects and elements of the existing coordination rules. I will l analyze one of the essential elements of the proposal: the access of citizens who do not exercise an economic activity (non-active people) to social benefits.

“Commission proposal on coordination of social security systems, COM (2016)815” Recital 5 of the Commission proposal “It is necessary to guarantee legal certainty by clarifying that access to social security benefits for economically inactive mobile citizens in the host Member State, may be made conditional upon that citizen holding a legal right of residence in that Member State in accordance with Directive 2004/38/EC of the European Parliament and of the Council of 29 April 2004 on the right of citizens of the Union and their family members to move and reside freely within the territory of the Member States. For these purposes, an economically inactive citizen should be clearly distinguished from a jobseeker whose right of residence is conferred directly by Article 45 of the Treaty on the Functioning of the European Union”.

“Commission proposal on coordination of social security systems, COM (2016)815” "Article 4 of the Commission proposal Equality of Treatment 1. Unless otherwise provided for by this Regulation, persons to whom this Regulation applies shall enjoy the same benefits and be subject to the same obligations under the legislation of any Member State as the nationals thereof. 2. A Member State may require that the access of an economically inactive person residing in that Member State to its social security benefits be subject to the conditions of having a right to legal residence as set out in Directive 2004/38/EC of the European Parliament and of the Council of 29 April 2004 on the right of citizens of the Union and their family members to move and reside freely within the territory of the Member States. "

“Commission proposal on coordination of social security systems, COM (2016)815” Case C‑140/12 Peter Brey v Pensionsversicherungsanstalt EU law … must be interpreted as precluding national legislation, such as that at issue in the main proceedings, which, even as regards the period following the first three months of residence, automatically – whatever the circumstances – bars the grant of a benefit, such as the compensatory supplement provided for in Paragraph 292(1) of the Federal Act on General Social Insurance (Allgemeines Sozialversicherungsgesetz), as amended, from 1 January 2011, by the 2011 Budget Act (Budgetbegleitgesetzes 2011), to a national of another Member State who is not economically active, on the grounds that, despite having been issued with a certificate of residence, he does not meet the necessary requirements for obtaining the legal right to reside on the territory of the first Member State for a period of longer than three months, since obtaining that right of residence is conditional upon that national having sufficient resources not to apply for the benefit. In Case C‑140/12,

“Article 61 OF THE Commission proposal “Commission proposal on coordination of social security systems, COM (2016)815” “Article 61 OF THE Commission proposal Special rules on aggregation of periods of insurance, employment or self-employment 1. Except in the cases referred to in Article 65(2), the application of Article 6 shall be conditional on the person concerned having most recently completed a period of at least three months of insurance, employment, or self-employment in accordance with the legislation under which the benefits are claimed. 2. Where an unemployed person does not satisfy the conditions for the aggregation of periods in accordance with paragraph 1 because the total duration of his or her most recently completed periods of insurance, employment or self-employment in that Member State is less than three months that person shall be entitled to unemployment benefits in accordance with the legislation of the Member State where he or she had previously completed such periods under the conditions and subject to the limitations laid down in Article 64a

“Commission proposal on coordination of social security systems, COM (2016)815” Example . Existing provision Person who worked in State A 24 Months and moves to State B where works 2 month and get unemployed. Competent Institution of State B pays unemployed benefits as the person concerned had worked in State B 26 months ( 24 + 2 ). State B assumes all the costs.

“Commission proposal on coordination of social security systems, COM (2016)815” Propossal Commision Person who worked in State A 24 Months and moves to State B where works 2 month and get unemployed. Competent Institution of State A pays unemployed benefits as the person concerned had worked in State A 26 months ( 24 + 2 ). State A assumes all the costs. State A exports the benefits 6 months .

“Commission proposal on coordination of social security systems, COM (2016)815” Article 48 TFEU Article 48 The European Parliament and the Council shall, acting in accordance with the ordinary legislative procedure, adopt such measures in the field of social security as are necessary to provide freedom of movement for workers; to this end, they shall make arrangements to secure for employed and selfemployed migrant workers and their dependants: (a) aggregation, for the purpose of acquiring and retaining the right to benefit and of calculating theamount of benefit, of all periods taken into account under the laws of the several countries;