3 ways EU countries breach free movement rules
The European Commission took legal action in July against four EU countries and the United Kingdom for breaches of free movement rules affecting EU citizens who move across borders.
The Commission is tasked to monitor that EU countries implement correctly EU laws and each month publishes the list of legal actions taken against member states that fail to comply with their obligations.
The infringement procedure begins with a request for information (a letter of formal notice) to the country concerned with usually two months to reply. If the answer is not satisfactory, the Commission can send a formal request to comply (a reasoned opinion) asking for confirmation within two months. If the member state fails to take action, the Commission can refer the case to the Court of Justice.
Many of these cases are aboout free movement rights. These were the ones announced in July.
1. Social security benefits for family members
A part of a legal action launched in 2021, the Commission referred Germany to the Court of Justice as regards rules on family benefits for EU citizens living in the country.
In 2018, the state of Bavaria introduced a new system of family allowances for residents with children up to 3 years old. Under the scheme, however, EU nationals whose children reside in another EU country where the cost of living is lower receive a reduced amount.
The Commission argues that this is contrary to EU law as it discriminates against certain EU workers. The principle underpinning free movement is that EU citizens who move across borders are treated equally, without any distinction based on nationality. EU citizens who contribute in the same way to the social security system of a country and pay the same taxes as local workers should therefore receive the same social security benefits. That applies also if their children reside in another EU member state, the Commission says.
In June 2022, the Court of Justice ruled on a similar case related to Austria, clarifying that such discriminatory schemes are against EU law.
The Commission also referred Italy to the EU court in relation to family benefits to citizens from other EU member states.
In March 2022, Italy introduced a new system of family allowances for dependent children (“Assegno unico e universale per i figli a carico”), but EU workers who do not reside for at least two years in Italy, or whose children do not reside in Italy, are not eligible.
Again, the Commission considers this approach discriminatory. In addition, EU rules on social security coordination prohibit any residence requirements for benefits such as family allowance.
For the same reasons, the EU executive sent a reasoned opinion to Greece for requiring EU nationals to reside in the country for at least five years, together with their children, to be able to apply for family benefits.
In addition, Greece requires non-EU nationals who are covered by the EU social security coordination rules (for instance because they moved to Greece from another EU country) to reside in Greece for at least twelve years before being able to apply for family benefits. Greece has now two months to respond and make the necessary adjustments.
2. Professional qualifications
Greece was also referred to the EU court for non-complying with EU rules on the recognition of professional qualifications as regards school directors.
Under Greek law, school directors or education managers who qualified in other EU countries have to follow a burdensome procedure for the recognition of their qualifications. This makes access to the local labour market more difficult and therefore discriminatory.
In a recent analysis, the EU Court of Auditors, an independent body that checks how EU funds are used and how EU legislation works, found that the recognition of qualifications for regulated professions is still an obstacle for EU citizens moving across borders.
EU citizens have the right to move to other EU countries for professional purposes or to establish their business, and the directive on the recognition of professional qualifications aims to prevent member states from imposing conditions that would undermine such rights. It also seeks to guarantee that services provided in different countries meet similar standards. Around 6 % of citizens move within the EU using the systems of recognition of professional qualification.
3. Discriminatory working conditions
In July the Commission also referred Bulgaria to the Court of Justice for limiting to six months per year the duration of temporary cross-border social services such as consulting or advocacy, community work, therapy and rehabilitation, skills training and care services.
Under EU law, member states cannot fix a maximum duration for temporary services and cannot require economic operators to set up a permanent establishment in their territory for that purpose.
A case related to the UK
Although the UK has left the European Union, past infringement cases are still open for national legislation that pre-dates Brexit.
In July, the Commission sent a reasoned opinion to the UK regarding the “failure to comply with EU law on free movement of EU citizens and their family members”, in particular with regard to “children in legal guardianship or extended family members”.
The Commission did not specify the details about the case and a spokesperson told Europe Street that “rules on infringement proceedings afford a high degree of confidentiality to the UK (and member states against whom infringement proceedings are launched)” so they could not “go beyond what has been disclosed in the official press release.”
The procedure was launched in May 2020, during the post-Brexit transition period. At that time, the Commission wrote that “national legislation limits the scope of beneficiaries of EU free movement law in the United Kingdom as well as the possibilities for EU citizens and their family members to appeal administrative decisions restricting free movement rights”.
Following the UK reply, “the Commission found that several points remain unaddressed, in particular elements concerning EU citizens or their family members (e.g. children in legal guardianship or extended family members),” a statement says.
The Commission took the action forward as free movement rules have implications for the implementation of the withdrawal agreement as regards citizens’ rights.
The UK now has two months to respond and take the necessary measures or the Commission may refer the case to the Court of Justice.
Claudia Delpero, Europe Street News © all rights reserved
Photo by Daiga Ellaby on Unsplash
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