Social Security Agreement Germany India

The Agreement applies to workers temporarily posted to an establishment of one undertaking in the other Contracting State to fulfil or conclude certain orders. The agreement protects the interests of all professionals seconded to their German subsidiaries by companies established in India or those seconded to India by German companies on the basis of short-term contracts (up to 48 months, with an option for an additional extension of 12 months) by guaranteeing exemption from social security tax in their host country. During work abroad, these employees are only subject to the social security rules of their country of origin. A bilateral social security agreement signed on 8 October 2008 between India and Germany (implemented on 1 October 2009) is the first step in this direction. The volume of bilateral trade between India and Germany has grown dynamically in recent years. This has led to an increase in the exchange of skilled workers from both countries, which has created the need to simplify social security rules between the two countries. In this way, the agreement exempts professionals working in other countries from the coverage of the pension scheme of the host country. The transposition agreement contains directives on technical details. These include reporting obligations between insurers in both countries, the issuance of certificates and the payment system in the other country. .

In view of the intensification of economic relations between the two countries, it is important to take measures to reduce the additional costs associated with dual insurance liability. The new rules have therefore been amended in the interest of investing companies and their employees. Implementierungsagentur in Indien: Organisation of the employees` provident fund. . . .

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