Social Security Agreements
In a Statement is laid on the table of the Lok Sabha today the Minister for external affairs Shrimati Sushma Swaraj informed that as on date, India has signed Social Security Agreements (SSAs) with 18 countries. They are Belgium, Germany, Switzerland, Denmark, Luxembourg, France, South Korea, Netherlands, Hungary, Finland, Sweden, Czech Republic, Norway, Canada, Japan, Austria, Portugal and Australia.
Bilateral social security agreements protect the interests of Indian professionals, skilled workers working abroad by providing the following benefits:
• Avoiding making double social security contributions: Once an SSA is signed between India and a foreign country, it exempts the Indian worker (working on short term contracts abroad) from making a social security contribution in that foreign country. This exemption is provided only if the Indian worker is covered under the social security system of India and continues to pay his/her contribution during the period of overseas contract.
• Easy remittance of benefits (Exportability): An SSA between India and a foreign country enables the Indian worker/professional to remit his/her accumulated social security contribution made in a foreign country, in case of relocation to India/third country.
• Aggregating the contribution periods (in two countries) to prevent loss of benefits (Totalization): An SSA allows aggregating residency periods of social security contribution made by the Indian worker / professional in India and the foreign country to qualify for retirement benefits.
• All the SSAs are on reciprocal basis. Six proposals are in the pipeline i.e. with Spain, Thailand, Sri Lanka, Russia, Cyprus and USA.
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YSK/Uma