1. Social Security Coordination
Old-age pensions
Nadia Loddo
Oporto, 20 May 2011
DG Employment, Social
Affairs and Inclusion

2. Key principles
• Full exportability (including
adjustments, increases and
supplementary allowances)
• Aggregation of periods
• Fair cost-sharing – pro rata payment
mechanism
• Assimilation of facts
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3. Legal provisions
• Regulation 883/2004
– Invalidity: Title III, chapter 4
– Old-age and survivors: Title III, chapter 5
– Article 5 (aggregation of periods)
– Article 6 (assimilation of facts)
• Regulation 987/2009 (Implementing Regulation)
– Title II, chapter IV: Art. 43-53
– Art. 72 (2): offsetting of benefits received unduly in respect of pensions
– Art. 94: transitional provisions relating to pensions
• Decisions / Recommendations of the Administrative Commission
– Decision P1 on the interpretation of Articles 50 (4), 58 and 87(5) of R.
883/2004
– Recommendation P1 (Gottardo judgment)
– new Decision H6 (aggregation of periods)
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4. Procedure
Articles 45-49 IR
- Art. 45 IR: Claim for benefits
- Art. 46 IR: Certificates and information to be submitted
with the claim by the claimant
- Art. 47 IR: Investigation of claims by the institutions
concerned
- Art. 48 IR: Notification of decisions to the claimant and
right to review
4

5. Contact Institution Article 47 IR
- Investigates the claim for benefits
- Promotes co-operation among institutions
- Supplies the claimant with information
B
A Contact
Institution
A: Member State of residence
C
B & C: Other Member States
5

6. Contact Institution Article 47 IR
- Investigates the claim for benefits
- Promotes co-operation among institutions
- Supplies the claimant with information
INFO
B
A Contact
Institution
A: Member State of residence
C
B & C: Other Member States
6

7. Contact Institution Article 47 IR
- Investigates the claim for benefits
- Promotes co-operation among institutions
- Supplies the claimant with information
? !
B
A Contact
Institution
A: Member State of residence
C
B & C: Other Member States
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8. Summary note (PD P1)
Article 48 (2) IR
• Summary of pension decisions:
overview of the decisions taken by all
Member States concerned
• If the claimant’s rights are adversely
affected by the interaction
of decisions by two or more
institutions: right to review a pension
decision
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9. Summary note (PD P1) –
Right to review a pension decision
Summary
Note
A Contact
Institution
9

10. Summary note (PD P1) –
Right to review a pension decision
New possibility
for review  The time limit for the review
is laid down in national law
A
 The time limit begins on the date of
receipt of the summary of decisions
Contact
Institution
 The result of the review must be sent to
the claimant in writing
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11. Establishing a pension
9
= 1
2 8 %
+ 3
4
7 0
6 x
5
11

12. The two-step calculation
« Independant benefits » first, then « pro rata benefits » (exceptions in Annex
VIII 883/2004). The person will be granted the higher of each of these benefits.
10 years (qualifying 10 years (qualifying
period 10 years) period 15 years)
B 20 years (qualifying
period 15 years)
A
MS B will aggregate periods acquired
in other Member States
Each State calculates theoretical
C
amount based on 40 year career
MS A – ¼ of theoretical amount
MS B - ¼ of theoretical amount
MS C – ½ of theoretical amount 12

13. Transitional provisions
Article 87 BR, Article 94 IR
• No retroactivity (no rights acquired based on new Regulations
prior to 1.5.2010)
• However, periods of insurance prior to this date are taken into
account
• Claims submitted under the old rules, but decided after
1.5.2010 – Article 94 (both Regulations 1408/71 and
883/2004 relevant for the calculation)
• A person may ask for a recalculation of pensions, which were
pensions
provided under the old rules (may not lead to a reduction)
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14. Child raising periods
Art. 44 IR
- Art. 44 (2 and 3) IR determine the Member State
responsible for taking into account of child raising
periods
Berlin Rome
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15. Other information sources
DG EMPL website on coordination
http://ec.europa.eu/social/main.jsp?catId=849&langId=en
trESS website – Think Tank reports (healthcare for pensioners;
assimilation of facts)
http://www.tress-network.org/TRESSNEW/#
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