Security net for NRI professionals
The Cabinet approves the recently concluded Indo-French social security pact and is in talks with other European countries to seek various benefits.
The Cabinet on Thursday approved the recently concluded Indo-French social security agreement and is in talks with other European countries to seek various benefits—pension, exemption from double social security contribution etc.—for Indian professionals abroad.
Though a certain span of service—it is 10 years for India—is required in any country for pension benefits, the pacts being worked will lead to adding up of stints in India and the other European country for full pension benefits, an official said. The process is on with the Netherlands, Germany, Norway, Switzerland, Sweden and Czech Republic, which have around 75,000 NRIs.
Without a bilateral social security arrangement, an Indian professional posted abroad pays double the social security contribution.
While the employee’s EPF contribution is deducted from salary in India, the person also has to contribute to social security in the country of posting.