International social security agreements in Europe | International Social Security Association (ISSA) (2024)

The number of migrant workers worldwide is growing, representing 169 million workers in 2019 and roughly 62 per cent of international migrants (ILO, 2020). While migration was slowed by the COVID-19 crisis, there has been a robust recovery in migrant flows since this time (Benton et al., 2024). Despite their significant contributions to the host country’s labour market and society, migrant workers often face difficulties accessing social security benefits (Kazi-Aoul et al., 2023). These challenges arise from their inability to fulfil qualifying conditions, such as required years of affiliation/residence and nationality requirements (ILO, ISSA, ITC, 2021).

Additionally, posted workers, who carry out their work in the territory of another State for a limited period, instead of the State in which they normally work, must comply with the social security regulations of both countries, which may require them to pay double contributions.

Countries can take different measures to address these issues, improve migrant workers' social protection, and foster workers' formalization and compliance with social security contribution regulations. On the one hand, countries may apply unilateral measures, such as reducing minimum qualifying periods, not applying nationality restrictions to access social security benefits and facilitating payments abroad. On the other hand, two or more countries may establish international agreements to coordinate social security regulations (Kazi-Aoul et al., 2023; ILO, ISSA, ITC, 2021; ISSA, 2022).

Social security agreements, as a key legal instrument, hold immense potential to enhance the portability of social rights. This refers to the maintenance of acquired rights and rights in course of acquisition while living in different countries. They ensure that employment periods in the contracting countries are considered for qualification, thereby facilitating access to benefits by totalizing qualifying periods or other means. By determining the applicable law, these agreements also play a crucial role in preventing double contributions of workers who are temporarily posted to a different country, contributing to workers’ formalization and employers’ compliance with social security contributions (ILO, ISSA, ITC, 2021; ISSA, 2022). Most international social security agreements are bilateral – between two countries – but some are multilateral and allow several countries to coordinate parts of their social security schemes.

Social security agreements differ in their extent and provisions. The social security branches most often incorporated under a social security agreement are old-age, disability and survivor benefits (ILO, ISSA, ITC, 2021). Some social security agreements have a more limited scope; for instance, they contain benefits access provisions but no provisions to prevent posted workers’ double contributions and vice-versa (ISSA, 2022).

European countries and territories are one of, or both parties, in 84 per cent of the active bilateral social security agreements worldwide. Their reliance on this tool is partly due to the importance of migration in the region and the fact that they have older and more developed social security systems. Looking at the European Union (EU) in 2023, 6.1 per cent of residents were non-EU citizens, and this trend is growing, with flows of non-EU migrants increasing by 117 per cent between 2021 and 2022 (EuroStat, 2024). Additionally, among EU citizens, 3.8 per cent of working age individuals resided in an EU country other than that of their citizenship, while 1.7 million were cross-border workers (persons who work in one country and live in another) and 4.6 million posted workers (European Parliament, 2024).

This article will examine the evolution and current state of bilateral and multilateral agreements, with a focus on agreements involving European countries and territories.

Bilateral and multilateral agreements globally: Evolution over time

Looking across the world, Europe has the highest number of bilateral social security agreements. It is a contracting country in 526 of the 627 bilateral agreements in force worldwide (84 per cent). Shown in Figure 1, the number of bilateral social security agreements has been rising at an average annual growth rate of about 7 per cent over the past 80 years. The growth in agreements involving countries from Europe has been in line with this overall global trend.

Figure 1. Total number of bilateral social security agreements over time, by region of countries involved (one or both parties)

Source: ISSA, Forthcoming.
Note: As this graph displays social security agreements that are still actively implemented, many early Europe-Europe agreements are not shown because these matters are now governed by EU regulations.

Currently, 123 countries and territories worldwide (61 per cent) have at least one active bilateral agreement. As shown in Figure 2, the number of countries and territories involved in bilateral agreements has grown over time, though there is a marked slowdown in the last 10 years. This may seem at odds with the continuing growth in the number of agreements, but can be explained by the fact that agreements tend to be focused within the same group of countries. This can be seen as a manifestation of the polarization between countries that have agreements and those that do not. Europe is an outlier in this respect, because within the region, almost all countries (95 per cent) are involved in at least one bilateral agreement.

Figure 2. Total number of countries involved in bilateral agreements over time, by region

Source: ISSA, Forthcoming.
Note: The total number of countries and territories considered for this analysis was 203 worldwide, including 57 for Europe (see footnote above); 51 for Asia-Pacific; 54 for Africa; and 41 for the America.

The number of countries and territories involved in multilateral agreements has also grown over time (Figure 3). Currently 98 countries and territories worldwide (48 per cent) have at least one active multilateral agreement, with 77 per cent of European countries party to an agreement. Considering bilateral and multilateral agreements together, we see that 74 per cent of countries worldwide have at least one bilateral or multilateral agreement, with 100 per cent of countries in Europe involved in an agreement. Regional trends are consistent across agreement type, with Europe most likely to have an agreement, followed by the Americas, Africa and Asia and the Pacific.

Figure 3. Percentage of countries or territories involved in an agreement, by region and agreement type

Source: ISSA, Forthcoming.

Bilateral agreements involving European countries

Region of contracting countries

Until 1965, bilateral social security agreements in Europe were only intraregional (see Figure 4). Interregional agreements have gradually increased since the 1970s. Agreements with African and American countries grew at a similar rate in the 1970s and early 80s and each represented roughly 20 per cent of bilateral agreements by 1985. However, since then, the number of agreements with African countries has not kept pace with new agreements with countries from the Americas and Asia and the Pacific which has gradually increased since 1995. Currently, agreements in Europe are 40 per cent intraregional, while the interregional agreements are with countries from the Americas (28 per cent), Asia and the Pacific (22 per cent), and Africa (11 per cent). The development of social security systems, labour and migration flows, distribution of employers across countries, as well as political considerations all play a role in the establishment of social security agreements.

Figure 4. Number of bilateral agreements involving European countries, by region of other contracting country

Source: ISSA, Forthcoming.

Facilitated access to benefits

One of the main functions of social security agreements is to facilitate access to benefits, either through maintenance of rights in the course of acquisition (also known as totalisation) or through other means (ILO, ISSA, ITC, 2021). Such provisions allow for the accumulation of qualifying periods under different national social security schemes in order to aggregate the qualifying periods (either insurance, employment or residence), maintain or recover rights and share the costs of benefits paid (ILO, ISSA, ITC, 2021).

Almost all bilateral agreements involving European countries provide for facilitated access to benefits (96 per cent), though this is slightly less common for agreements with countries from Asia and the Pacific (89 per cent) (see Figure 5). Agreements with countries from all regions are more likely to provide for facilitated access to pensions (95 per cent of all agreements) than other benefits. This is due to the long qualifying periods for old age, disability and survivors’ pensions which increases the need for facilitated access, alongside the fact that these branches are well-developed and long-standing components of social security systems. Europe-Europe and Europe-Africa agreements are most likely to facilitate access to other branches as well, with over 50 per cent of agreements covering other branches (except unemployment). Agreements with countries from the Americas and Asia-Pacific, by contrast, are much less likely to cover other branches, at less than a third of agreements.

Figure 5. Facilitated access by branch within bilateral agreements involving European countries, by region of other contracting country

Source: ISSA, Forthcoming.

Outside of pensions, the next most common branch for facilitated access is work injury with 56 per cent of all agreements, and it is present in almost all Europe-Europe and Europe-Africa agreements (85 per cent and 79 per cent respectively). Sickness and maternity are the next most common, with 48 per cent and 46 per cent, and are again much more prominent for Europe-Europe and Europe-Africa agreements. The least common branches for facilitated access are family, health care and unemployment, with 37 per cent, 31 per cent and 27 per cent of total agreements respectively. These figures are much lower for agreements with countries from the Americas and Asia-Pacific.

Figure 6. Third country facilitated access to benefits within bilateral agreements involving European countries, 2024, by region of other contracting country

Source: ISSA, Forthcoming.

Some bilateral social security agreements aggregate periods from third countries as long as all contracting parties have concluded bilateral agreements with the third country. If only one has such an agreement, the third country clause may be applicable only to persons (nationals or insured persons) covered by the agreement with the third country (ILO, 2012). Facilitated access to benefits for third countries exists in roughly a third of agreements (36 per cent), it is significantly more common in Europe-Europe agreements (43 per cent) than in those with countries from Asia and the Pacific (25 per cent) (Figure 6). Over time more and more bilateral agreements involving European countries have included third country facilitated access to benefits, with over half (57 per cent) of those negotiated or re-negotiated since 2010 having such provisions (see Figure 7). It is important to note that the specifics of the “third country clause” can vary depending on the agreement and the countries involved.

Figure 7. Percent of agreements with a third country clause for third country totalization (bilateral agreements involving European countries)

Source: ISSA, Forthcoming.

Posting of workers

Sometimes an employer in one country sends an employee to temporarily work in another country. Such employees are known as posted workers. While most countries require all persons employed in their territory to pay social security contributions, exemptions are often made for posted workers allowing them to continue to pay contributions to the posting country (where their employer normally operates) and be exempted from paying contributions in the country of posted employment. Obviously, such exceptions cannot go on indefinitely, and countries agree on defined periods of time for such posting, often setting an initial and maximum posting period.

In the European Union (EU), the rules for posted workers regarding social security are governed by the Posting of Workers Directive (PWD) and Regulation no. 883/2004 on the coordination of social security systems discussed below. Provisions on posting of employees are common in bilateral agreements involving European countries (89 per cent), with these most often seen in interregional agreements rather than intraregional ones (Figure 8). Posting provisions exist in 99 per cent of agreements with the Americas, 91 per cent with Asia and the Pacific and 88 per cent with Africa, compared to just 81 per cent of Europe-Europe agreements. There is a clear regional breakdown in period of exemptions, with agreements with countries from Asia and the Pacific and the Americas much more likely to have long total exemption periods of five years or more (70 and 52 per cent, respectively). Shorter exemption periods are more common in Europe-Europe and Africa-Europe agreements. More than half of the agreements for these regions allow for exemption periods of up to three years, with two years being the most common (35 per cent of Europe-Europe agreements and 25 per cent of Africa-Europe agreements).

Figure 8. Posting of employees within bilateral agreements involving European countries, total period of exemptions, by region of other contracting country