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IBERO-AMERICAN MULTILATERAL AGREEMENT ON SOCIAL SECURITY

IBERO-AMERICAN MULTILATERAL AGREEMENT ON SOCIAL SECURITY. Regional Center for Central America and the Caribbean. Approval XVII Ibero-American Summit of Heads of State and Government Santiago de Chile, November 2007.

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IBERO-AMERICAN MULTILATERAL AGREEMENT ON SOCIAL SECURITY

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  1. IBERO-AMERICAN MULTILATERAL AGREEMENT ON SOCIAL SECURITY Regional Center for Central America and the Caribbean

  2. ApprovalXVII Ibero-American Summit of Heads of State and GovernmentSantiago de Chile, November 2007 • Santiago Declaration, Point 8: “.... and in compliance with the agreements of the XV y XVI Ibero-American Summits, today member countries adopt the text of the Multilateral Ibero-American Agreement on Social Security and commit to promote internal procedures for its rapid entry into force. In addition, they agree to instruct their technical representatives to initiate negotiations of the Application Agreement as soon as possible.”. • Program of Action, Article 31: “To agree on the implementation of the Ibero-American cooperation initiative “Application and Development of the Ibero-American Agreement on Social Security (IDCISS)”, managed by SEGIB and OISS, to promote the rapid entry into force of this multilateral agreement, and to promote and coordinate negotiation of its Application Agreement”.

  3. Objective • The urgent need of a coordination instrument regarding national legislation in matters of pensions to protect the rights of migrant workers and members of their families who are protected under the Social Security schemes of Ibero-American States, with the aim of allowing them to enjoy the benefits generated through their work in the receiving countries.

  4. Importance of the Agreement • Individual: Improves the protection of migrant workers and the members of their families. • Collective: Promotes “formalization”, helps avoid “dumping”, strengthens systems. • Numerical: Will be the most significant instrument of this type (can be used as a model). • Ibero-American Citizenship: Will be the first instrument to recognize rights that can be directly claimed in court.

  5. Background • The V Ibero-American Conference of Ministers and Senior Social Security Officers, held in Segovia (Spain) in September 2005, entrusted OISS with the development and management of an Ibero-American Multilateral Agreement on Social Security to cover current and future rights of migrant workers and members of their families in the region. • The initiative was received and approved at the XV Ibero-American Summit of Heads of State and Government, held in Salamanca in October 2005, and ratified in the “Montevideo Commitment”, signed by Ibero-American Heads of State at the XVI Summit, Uruguay, November 2006.

  6. Principles • Equal treatment • Personal Application Sphere: Legal workers – employees, and independent workers • Material Application Sphere: Old age, disability, survival, and other financial benefits • Applicable Legislation: “lex loci laboris” (with exceptions) • Totalization of periods and “prorrata temporis” • To export benefits • Administrative and technical cooperation • To maintain more favorable provisions from other agreements • The possibility of expanding to other spheres

  7. Personal Application Sphere • Individuals subject to the legislation of one or several Member States • Family members, beneficiaries, or rights holders

  8. Material Application Sphere • Disability benefits • Economic benefits for senior citizens • Survival benefits • Economic benefits in cases of workplace accidents and diseases

  9. Regimes under Consideration • General and special social security contributive regimes • Does not apply to non-contributive regimes or to social welfare or benefits for victims of wars or their consequences

  10. Establishing Benefits TOTALIZATION OF PERIODS NO TOTALIZATION OF PERIODS When periods of insurance, contribution or employment have not been completed in a Member State, those periods will be taken into account in other Member States. Theoretical and real benefits. • The relevant institution recognizes the benefits in accordance with legislation. • Considers periods of insurance, contribution, or employment in the Member State.

  11. Totalization of Periods • THEORETICAL BENEFITS: Determining the amount of benefits based on all insurance, contribution, and employment periods having been completed under their own legislation. • REAL BENEFITS: Determining the amount of benefits by applying the existing proportion of the duration of the completed periods of insurance, contribution, and employment before occurrence of the contingency under legislation of the Member State and the totalized periods to the theoretical benefits.

  12. Benefits in Cases of Workplace Accidents or Diseases • Established in accordance with the legislation of the Member State where the worker is at the moment when the accident or disease occurs

  13. Technical Administrative Committee • A uniform application of the Agreement • To resolve administrative matters or matters of interpretation of the Agreement • To promote and develop collaboration among States in matters of Social Security • To promote new technologies to exchange information

  14. Entry into Force • The Agreement will come into force on the first day of the third month following the date on which the seventh instrument of ratification, acceptance, approval or adherence has been deposited. Nonetheless, the same will produce effects among mentioned States once the Application Agreement has been signed by them. • For each State ratifying or adhering to this Agreement after the seventh instrument of ratification, acceptance, approval or adherence has been deposited, the Agreement will come into force on the first day of the third month following the date on which that State has deposited the relevant instrument; nonetheless, the same will produce effects once the Application Agreement has been signed by the State. The Ibero-American General Secretariat will communicate – through OISS – this action to the other Member States.

  15. APPLICATION AGREEMENT OF THE IBERO-AMERICAN MULTILATERAL AGREEMENT ON SOCIAL SECURITY

  16. Contents • TITLE I. General Rules and Provisions concerning Applicable Legislation •  Chapter 1. General rules •  Chapter 2. Provisions concerning applicable legislation •  TITLE II.Provisions concerning Benefits •   Chapter 1. Provisions concerning disability, old age, and survival benefits  Chapter 2. Procedure to claim benefits  Chapter 3. Provisions concerning benefits in cases of workplace accidents and diseases • TITLE III.Provisions concerning Administrative Cooperation • TITLE IV.Provisions Concerning the Technical Administrative Committee • TITLE V. Final Provisions •  ANNEXES: •  Annex 1: Relevant Authorities (Article 2.1) •  Annex 2: Relevant Institutions of Member States to the Agreement (Article 2.2) •  Annex 3. Liaison Organizations from each Member State to the Agreement (Article 2.3) •  Annex 4. Rules to Establish Pensions (Article 13.3) •  Annex 5. Agreements on Reimbursement of Administrative and Medical Expenses (Article 25.2)

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