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With the new recently installed European Commission, there is new potential to finish the revision of the coordination of the social security regulations (Regulation No 883/2004 and Regulation No 987/2009), now in its eighth year of negotiations, having been first proposed in December 2016.
Ahead of the Social Questions Working Party that will take place tomorrow, the European Federation of Building and Woodworkers (EFBWW) and the European Construction Industry Federation (FIEC) reiterate their joint appeal to EU Member States to enforce mandatory prior notification for all posted workers in the construction sector. The concerns of both European social partners of the construction industry cannot be ignored.
The Case for No Exemptions
Mandatory prior notification ensures transparency and accountability in cross-border postings. It prevents abusive practices like “fake postings” and undeclared work, empowers authorities to monitor compliance with EU and national laws, and facilitates inspections. Exemptions, even for short postings or business trips, undermine the system's effectiveness and create loopholes that are particularly damaging in the construction sector.
Both EFBWW and FIEC stress that the construction industry cannot afford such exemptions. The unique nature of the sector, with its high reliance on posted workers and sometimes complex subcontracting chains, requires robust and enforceable rules.
A Unified Call for Action to the EU Member States
The revision of Regulation 883/2004 represents a chance to improve access to social security for cross-border and posted workers across the EU and, as the construction industry sees one of the largest proportions of posted workers, it is crucial for both workers and employers in the sector that this revision is concluded.
Discussions in the Council of the EU will be critical in shaping the future framework for social security coordination. As the discussions seem to enter a new phase, EFBWW and FIEC want to remind all stakeholders that the revision of the coordination of social security regulations was initially proposed by the ‘Juncker Commission’, already in 2016, with a very clear objective to tackle social dumping and to promote fair competition in a fair Internal Market. Finalising these negotiations with strong and enforceable provisions is essential for delivering on the promises made when this revision was first proposed.
EFBWW General Secretary, Tom Deleu: “Exemptions to prior notification will be another open door to unscrupulous companies to abuse vulnerable workers, especially in the construction sector, where the risk of exploitation is highest. Once again, supposed simplification and competitiveness are being discussed at the expense of construction workers’ rights”.
FIEC Director General, Domenico Campogrande: “FIEC is opposed to any form of temporary exemption to the prior notification of the A1 form for the construction industry. Such exemption would undermine the principle of fair mobility that we promote.”