The goal of the international cooperation is to preserve the social security rights of the migrating labour force and their family members, thus eliminating the obstacles to free labour force movement and facilitating the economic activity of the population, as well as, in the case of conflicting systems, preventing the collision of social security rights and social insecurity of persons.
The aim of the bilateral international cooperation is to preserve the social security rights of the migrating labour force and their family members, thus eliminating the obstacles to free labour force movement and facilitating the economic activity of the population, as well as, in the case of conflicting systems, preventing the collision of social security rights and social insecurity of persons.
On June 18, 1993, bilateral diplomatic note exchange was made between the Republic of Latvia and the United States of America on mutual pension payments provide that Latvian side pays the pensions of old age, disability or loss of provider to those citizens of USA who are entitled to these pensions even if these persons do not reside in the territory of the Republic of Latvia.
On June 11, 1999, an agreement about the cooperation in the field of social safety between the Republic of Latvia and Ukraine came into force. The aim of the agreement is to prevent double collection of social insurance payments, the export of pensions, and it allows persons living in Latvia receive pension for the time of service in Ukraine, and vice versa.
On November 18, 2004, a temporary agreement came into force between the Ministry of Welfare of the Republic of Latvia and the Royal Ministry of Labour and Social Affairs of Norway in accordance with the Article 17 of the Regulation (EEC) Nr.1408/71 of June 14, 1971, about the application of social provision schemes for employed, self-employed persons and their family members relocating within the Community in relation to Latvian sailors employed on ships recorded in International Ships Register of Norway. This temporary agreement facilitates the social security of the Latvian sailors employed on ships recorded in International Ships Register of Norway. These sailors have social insurance in Latvia. Initially the agreement was made for 2 years, but in March of 2006 it was extended indefinitely.
On December 15, 2005, Saeima adopted the social security agreement between the Republic of Latvia and Canada signed on June 29, 2005. The agreement came into force on November 1, 2006. The agreement facilitates the social security of people relocating from Latvia to Canada and vice versa. It also eliminates double social insurance payments collection. This allows people working in Canada receive pensions for the service years there while living in Latvia, and vice versa.
On October 12, 2007, an agreement between the governments of the Republic of Latvia and the Republic of Estonia about the inclusion of the insurance periods collected in former USSR was signed, and it is forwarded for revision in Saeima.
On 1 September 2008 the agreement between the governments of the Republic of Latvia and the Republic of Estonia signed on 12 October 2007 in Tallinn and providing for the inclusion of the insurance periods accrued in the former USSR entered into force. The agreement is aimed at eliminating the double inclusion of the insurance periods in the length of insurance period.
On 28 September 2010 the agreement between the Republic of Latvia and Belarus on the cooperation in the field of social security signed on 29 February 2008 in Minsk entered into force. The agreement is aimed at preventing the collection of double social insurance contributions; it provides for the export of pensions and allows persons who have been employed in Belarus to receive the pension for the periods worked in the country when the reside in Latvia and vice versa.
On 18 December 2007 the agreement between the Republic of Latvia and the Russia Federation was signed on the cooperation in the field of the social security. The agreement entered into force on 19 January 2011.
The Agreement between the Republic of Latvia and Australia in the area of social security entered into force on the 1st January 2013. The Agreement will contribute to the social security of persons who relocate from Latvia to Australia and vice versa, ensure the export of pensions and eliminate the collection of double social insurance contributions. It will allow the persons who have worked in Australia to receive the pension for the years of employment there when they live in Latvia and vice versa.
On 16 May 2012 the agreement between the governments of the Republic of Latvia and the Republic of Lithuania was signed on the inclusion of the accrued insurance periods in the former USSR. This agreement will enter into force after it has been ratified by the parliaments of both parties.
Application for granting/ reassessing the pension (The form may be filled in before applying to the SSIA)
The persons who are relocating to reside in any Member State of the European Union or the European Economic Area (hereinafter EU/EEA, including Switzerland) do not lose the entitlements they have gained before, for example, to receive benefits and pensions if social insurance contributions have been made. All the social insurance periods, irrespective of the EU/EEA Member State where they have been accrued, are summed up for the purpose of determining the entitlement to benefits and pension. In order to avoid a situation where the migrating worker is insured, i.e. makes social insurance contributions in several countries, the legal acts of one member state only may be applied in relation to a person.
The above principles are included in the EU legal act - Regulation. The purpose of the Regulation is to ensure that the workers crossing the borders within the EU/EEA and Switzerland would not face a less advantageous situation from the point of view of the social insurance rights than if they had stayed in their home country.
On 1 May 2010 the Regulation (EC) No. 883/2004 on the coordination of the social security systems adopted by the European Parliament and Council on 29 April 2004 (Regulation No.883/2004) and the Regulation No. 987/2009 of 16 September 2009 of the procedure of the implementation of the Regulation No. 883/2004 entered into force. We would like to remind that as from the moment when Latvia joined the European Union (EU) on 1 May 2004 the coordination of the social security systems has been done in compliance with the Council Regulation No.1408/71 on the application of the social security schemes to employed persons, self-employed persons and their family members moving within the territory of the Community (Regulation No. 1408/71) and the Regulation No.574/72 defining the procedure of the implementation of the Regulation No.1408/71.
As from 1 January 2011 the Regulation No.883/2004 applies also to the citizens of third countries, stateless persons and refugees who move within the territory of the Community and are legally employed (and in the case of Latvia it means that as from 1 January 2011 the Regulation applies also to non-citizens).
As from 1 April 2012 the Regulation No.883/2004 and the Regulation No.987/2009 apply also to Switzerland based upon the Joint Committee Resolution No. 1/2012 adopted on 31 March 2012 on the Agreement concerning the free movement of persons between the European Community and its Member States on one side and the Confederation of Switzerland on the other side.
As from 1 June 2012 the Regulation No.883/2004 and the Regulation No.987/2009 apply also to the member states of the EEA - Norway, Lichteinstein and Iceland based upon the Resolution No. 76/2011 of the EEA Joint Committee.
The basic principles of the coordination rules protect the persons who move within the territories of the member states of the EU/EEA. The purposes of movement may differ and include tourism, commencement of new employment, etc. According to the regulation a person may be insured in one EU/EEA member state only at a time and equal treatment has to be guaranteed to all persons in the field of social security. For the purpose of determining the entitlement to services, for example, pensions and benefits, the insurance periods accrued in all the EU/EEA member states have to be aggregated, and the export of the relevant benefits has to be ensured. For example, in case of a person who receives the pension from Latvia and who wants to move for residing in another EU/EEA member state the payment of the pension to the bank account of the new place of residence will be ensured. This is referred to as the export of pension.
All the above referred basic principles of coordination have been maintained in the Regulation No.883/2004. The new rules apply to the group of persons, determination of the applicable legislation if a person is employed in several EU/EEA member states at the same time, the terms of the export periods of directing employees and the unemployed benefits, the provision of health care services in EU/EEA, etc. The transfer to electronic information exchange by the EU/EEA member states presents one of the most important modernisation features of the coordination. The member states have to ensure this until 30 April 2014, thus considerably improving and making faster the process of granting the services.
The Regulation is applicable to the following pensions and benefits:
- Old-age pensions;
- Disability pensions;
- Pensions in case of losing a supporter;
- Early pension;
- Compensations in relation to accidents at work and occupational diseases;
- Sickness, maternity and paternity benefits;
- Unemployed benefits;
- Funeral benefits;
- Family benefits.
The Regulation No.883/2004 only coordinates the national legislation of member states in the area of social security. This means that the member states are free to choose which persons must be socially insured, what benefits and based upon what rules have to be granted, what the social insurance payment rate should be, how benefits have to be calculated and for how long time they have to be granted.
Prior to commencing employment in another member state we kindly ask you to study the information concerning the terms of the relevant country in the field of employment and social security:
- Movement within the European Union
- My social security - Pensions in Europe
- Social insurance coordination: work, travel, study and retire in any European Country
- Social insurance coordination: work at any European country
- MISSOC tables on the systems of the EU/EEA member stated in employment law, social security and other fields
In Latvia there are two competent institutions providing services in compliance with the Regulation No.883/2004: the State Social Insurance Agency (VSAA) and the National Health Service (NVD).
See detailed information on the granting of services at the websites of the institutions in compliance with the competence of these institutions. Information on the granting of pensions and benefits can be found at the website of VSAA www.vsaa.lv and the information concerning the organisation of the health care can be found at the website of NVD http://www.vmnvd.gov.lv/.
On 29 May 2007 in Strasbourg (France) the Minister of Welfare signed the Revised European Social Charter of 3 May 1996. In compliance with the Ordinance of the Cabinet of Ministers No. 962 of 13 December 2006 the Ministry of Welfare submitted the draft Law on the ratification of the articles of the Revised Charter according to the set procedure until 1 January 2009. Prior to the commencement of the ratification procedure the Ministry of Welfare in cooperation with the ministries sharing responsibility in this field has completed the evaluation of the compliance of the legal acts of the Republic of Latvia (with the requirements of the revised European Social Charter). On 24 November 2011 the draft Law "On the Revised European Social Charter" was adopted by Saiema [Parliament] in the first reading. The second reading has not been scheduled yet.
It is planned to ratify also the European Social Security Code signed on 28 November 2003 (hereinafter referred to as the "Code").
Currently the Code has been signed by 26 countries and 21 of them have also ratified it.
For the purpose of evaluating the legal acts of the Republic of Latvia regulating the social security and medicine system within the context of the Code the Initial Report was developed and it contains also the assessments (percentage) concerning the social security area of Latvia. The assessments have been performed in compliance with the guidelines provided by the European Council. On 1 December 2011 the draft Law "On the European Social Security Code" was adopted by Saiema [Parliament] in the first reading. The second reading has not been scheduled yet.