Social Security Agreement between Germany and India regarding overseas workers

A bilateral agreement on Social Security between India and Germany implemented since October 2009 is the first step in this direction.

Indo-German economic relations at a new high Enlarge image Indo-German economic relations at a new high (© dpa - Bildfunk) The agreement applies to workers temporarily posted in a branch of a company in the other contract state to fulfill or finalise some orders. The agreement protects the interests of all those professionals sent from India-based companies to their German subsidiaries, or those being sent by German companies to India-based branches on the basis of short-term contracts (up to 48 months, with an option of another 12 month extension). They are exempted from social security contribution to the host country's pension system. While working abroad, these employees will only be subject to the social security regulations of their home country.

In view of intensified economic relations between the two countries, it is important to make provisions that reduce extra costs towards double insurance liability. Therefore these regulations are modified in the interest of investing companies and their employees.

The implementation arrangement contains guidelines on technical details. These include notification obligations between the insurers of both the countries, issue of certificates and the system of payment in the other country.

Implementation agency in Germany: www.dvka.de

Implementation agency in India: Employees' Provident Fund Organisation

Social Security Agreement between Germany and India

Apprentices at a training centre of the car manufacturer BMW in Munich

Agreement on Social Insurance

Agreement between the Federal Republic of Germany and the Republic of India on Social Insurance signed in Bonn on 01 July 2009

Concluding Protocol to the Agreement on Social Insurance

Concluding Protocol to the Agreement between the Federal Republic of Germany and the Republic of India on Social Insurance signed in Bonn on 01 July 2009