MoL&E Notifies regarding Social Security for International Workers through Social Security Agreements – 29th August 2022

MoL&E Notifies regarding Social Security for International Workers through Social Security Agreements

Contents News/Article  Date:  29^th August 2022

Relating to which  Act:    The  Employees Provident Funds & Miscellaneous Provisions Act, 1952

Type:  The Ministry of Labour & Employment issued a Notification on 29^th August 2022

Pertains to    Employers and Employees,                                              

Relevance of this news:  Karma Management Global Consulting Solutions Pvt. Ltd has been in the business of  Payroll, Outsourcing, and Regulatory Compliances from its inception in 2004 and since then,  has brought in a lot of efficiencies and technological upgradations with experts on its roll, to ease the hassles of Payroll Processing, Temp Staffing On-boarding Management, Regulatory and Payroll compliances by providing customized solutions to all its elite clients.

Now Karma Global is also fully into labour compliances for nearly 18 years and is helping both establishments and workers for the fulfillment of obligations as per the laws of the land.  It has over 200 staff, both direct and indirect on its rolls and operates on Pan India basis.  Recently, it has diversified into foreign shores, into countries like the US, UK, UAE, Canada, Philippines, and Asia for handling payroll, outsourcing, recruitment, and governance.

In this instance, the Ministry of Labour & Employment has re-emphasized the need for social security agreements to protect the rights of migrant workers of two contracting countries to ensure continuity of social security coverage on a reciprocal basis and covers four important provisions viz. detachment, totalization, portability and equality of treatm4ent.

Subject:  MoL&E Notifies regarding Social Security for International Workers through Social Security Agreements

For greater details, appended below is the complete news item

MoL&E Notifies regarding Social Security for International Workers through Social Security Agreements

The Ministry of Labour and Employment (MoL&E) on August 29, 2022, issued a Notification regarding Social Security for International Workers through Social Security Agreements.

The following has been stated namely: –

• Social Security Agreement (SSA) – A SSA generally covers four important provisions namely, ‘Detachment’, ‘Totalisation’, ‘Portability’, and ‘Equality of treatment.
• Special Provisions in Respect of International Worker – The special provisions provide for identification, exclusion, membership, and benefits in respect of an International Worker.
• Compliance – 

1. The foreign nationals who come from an SSA country and are carrying a duly issued COC shall be treated as excluded IW and are not required to contribute to the EPFO till the current period of the COC.
2. Indians going to work in SSA country without COC: The contribution is to be made on full salary without any wage ceiling.
3. Indians going to work in SSA country with COC: Not required to contribute to the SSA country, but they are required to contribute to the EPFO on full salary.

• Contribution: The contribution in respect of all IWs is payable on full salary, irrespective of the wage ceiling.
• Various Benefits to IWs are Administered by EPFO under the Schemes

 Please refer to EPFO’s Notification for further understanding of the Social Security for International Workers through Social Security Agreements