Companies seeking international growth opportunities often find themselves having to send their employees to work abroad, either as displaced workers or expatriates. However, the administrative and social aspects of such initiatives can be complex. In this guide, we explore the practicalities of relocation and expatriation under the social security agreement between Brazil and France.

A bilateral agreement on social security was ratified between France and Brazil on 15 December 2011 and entered into force on 1 September 2014. This agreement extends social coverage to workers affiliated to the social security schemes of both countries and prevents double taxation in the event of temporary displacement of workers. The social benefits covered by this agreement include sickness, maternity, disability, death, old-age pension, work-related accidents, occupational diseases, family, disability pension, survivor's pension, compensation for accidental and provisional illness, and maternity pay.

The general rule is that the country in which a person must contribute to social security is the one in which he or she carries out his or her professional activity. However, in the event of temporary relocation for professional reasons to another country, the employee remains subject to the legislation of the first country, while maintaining his or her employment relationship with the same employer. Relocation, governed by Articles L. 1261-1 et seq. of the French Labour Code, involves a temporary transfer of the employee to a company located outside France, while maintaining his or her French employment contract. On the other hand, expatriation, defined by Article L. 1221-1 of the Labour Code, involves a more permanent change of place of work abroad, with a local employment contract subject to the laws of the host country.

In both cases, it is essential to specify the characteristics of the employment contract, such as duration, remuneration, benefits related to expatriation and repatriation conditions.

Administrative Cooperation for the Implementation of the Agreement

When an employee is transferred under this agreement, administrative cooperation between the two countries plays a key role. The competent body responsible for processing the benefit application quickly transfers the necessary documents to the competent institution in the other State, thus facilitating the determination of the applicant's entitlements. It is crucial that the information on the forms and documents is authentic and verified by the competent authorities.

Liaison agencies, such as the European and International Social Security Liaison Centre (CLEISS) in France and the service designated by the National Institute of Social Security (INSS) in Brazil, play a key role in coordinating, providing information and assistance on social security matters. They ensure smooth communication between the two countries to ensure compliance with the provisions of the agreement.

Certificates of Subjection

Certificates of subjection are essential documents to attest to the legislation applicable to a displaced worker and their dependents. These certificates guarantee full social coverage during the period of displacement, covering the risks of illness, maternity, work accidents and occupational diseases. They are issued by the competent institutions in each country and must be presented in order to benefit from social benefits in the host country.

Issues related to Old Age and Survivors

The Franco-Brazilian agreement also addresses the rules for totalizing contribution periods for old-age and survivors' benefits. These rules aim to ensure equity in the calculation of benefits, taking into account contribution periods in both countries, avoiding overlaps and ensuring priority for mandatory contribution periods.

Benefits Accumulation

The accumulation of benefits is regulated by the social security agreement between Brazil and France, allowing the competent institutions of each country to verify compliance with the conditions for the accumulation of benefits. This process aims to avoid duplications or accumulations prohibited by the legislation of each country, thus ensuring a fair allocation of social benefits.

How to Apply for Retirement

The retirement application can be made using specific forms issued by the competent institutions in each country. Applications are processed by the French National Center for Retirees Abroad (“CNAREFE”) for applications in Brazil and by the “Caisse Nationale d’Assurance Vieillesse” (“CNAV”) for applications in France. It is important to follow the specific procedures to ensure efficient processing of the retirement application.

Administrative and Medical Control Related to Disability Benefits

Disability benefits are subject to administrative and medical control in accordance with the social security agreement between Brazil and France. Medical reports are transmitted between the competent institutions of the two countries to ensure a fair and equitable assessment of disability benefit claims.

In conclusion, international social security agreements, such as the one between Brazil and France, play a crucial role in facilitating the mobility of workers on an international scale, while ensuring adequate social protection. These agreements help to eliminate obstacles related to the diversity of social security systems between countries, thus promoting professional mobility and the maintenance of social rights for migrant workers. By understanding and following the provisions of these agreements, companies can facilitate the process of moving their employees abroad, ensuring their social security and rights.