Solving obstacles to cross-border telework
A B-Solutions Workshop organised by the Grenzinfopunkt Aachen-Eurode, ITEM (Maastricht University), and the Association of European Border Regions (AEBR/AGEG/ARFE) DG REGIO-funded B-Solutions Project. Register here! Deutsch
A B-Solutions Workshop organised by the Grenzinfopunkt Aachen-Eurode, ITEM (Maastricht University), and the Association of European Border Regions (AEBR/AGEG/ARFE) DG REGIO-funded B-Solutions Project.
B-Solutions is a DG REGIO funded initiative managed by the Association of European Border Regions and supported through the DG REGIO Border Focal Point. B-Solutions supports the development of an expert evidence base and actions to solve legal and administrative obstacles to cross-border co-operation and mobility, throughout the EU. This is in recognition of the key role that border regions play in the European Cohesion and Integration agendas.
With a focus on the border regions between Germany, the Netherlands and Belgium, the workshop will explore solutions on the issue of teleworking, cross-border working, taxation and social insurance issues, explore how these can be resolved within emerging frameworks at EU and Member State Levels, and discuss the role of key organisations in implementing the recommendations of this B-Solutions case.
The workshop will start with a short presentation of the findings of the first b-solution case on cross-border telework in the border regions between Germany, the Netherlands and Belgium. This second b-solution case on the topic is initiated by the binational Zweckverband Eurode (City of Kerkrade and Herzogenrath) and the German/Dutch Grenzinfopunkt (cross-border information point) in Aachen-Eurode.
Fortunately, a very important step was made in the field of social security in the form of a proposed framework agreement. This will be presented and stakeholders from Member States, European Commission, experts from the Grenzinfopunkt Aachen-Eurode will discuss whether the agreement is a major step towards solving the problem in the German, Dutch, Belgian situation and beyond.
In a second panel, the question will be raised how to relate the future bilateral tax arrangements of NL/DE/BE to the presented social security solution. The panel will bring together representatives from national Finance Ministries and experts in the field. Finally, a third panel will discuss the view and role of other organisations as the Benelux, the European Commission, Committee of the Regions and OECD.
In 2022, the Maastricht based Institute ITEM had done a first b-solution research on the consequences of telework for cross-border workers for the geographical area of the Dutch, Belgian and German border regions. The results indicated that without new arrangements in the field of social security and taxes, employers and employees would face a very complex situation that could jeopardise the attractiveness of cross-border work. This workshop is part of a second b-solution project: the idea is to support the necessary innovative solutions to ensure the integrity of cross-border labour markets. The situation today: Special transitional periods in the field of taxes expired already as of 30 June 2023. This means that cross-border workers have to fulfil tax obligations in two states only because of additional home office days. Even if this cannot lead to double taxation, it creates a significant administrative burden, especially if the rules are different from social security provisions.
The transitional period for telework with respect to social security expires on 30 June 2023. As from 1 July 2023, normally the ordinary rules of European Regulation 883/2004 will apply again. The governments of Germany, Belgium and the Netherlands have already stated that they will sign the Framework Agreement on the application of Article 16 (1) of Regulation (EC) No. 883/2004 in cases of cross-border Telework. Therefore, the agreement could enter into force on the 1st of July 2023 and will provide the option to maintain social security coverage in the country of the employer when an employee works from home in another country less than 50 percent of the time. In practical terms, the employer and the employee can apply for an A1 certificate under the Framework Agreement to be covered by the social security of the state of the employer and avoid switching to the social security of the residence country.
(Woensdag) 10:00 - 15:30