A Social Security Agreement (SSA) was signed by Shri Vayalar Ravi, the Minister of Overseas Indian Affairs and Mr. Paulo Sacadura Cabral Portas, Minister of State of Foreign Affairs of Portugal recently.
About 75,000 Indians are living in Portugal, most of them are working as professionals and self-employed.
The bilateral Social Security Agreement is significant requirement from the futuristic point of view to take advantage of the emerging employment opportunities and to further strengthen the trade and investment between the two countries.
The Social Security Agreement between India and Republic of Portugal will provide the following benefits to Indian national working in Portugal:
- For short term contract upto 5 year, no social security contribution would need to be paid under the Portuguese law by the detached workers provided they continue to make social security payment in India.
- The above benefits shall be available even when the Indian company sends its employees to Republic of Portugal from a third country.
- Indian workers shall be entitled to the export of the social security benefit if they relocate to India after the completion of their service in Republic of Portugal.
- The self-employed Indians in Republic of Portugal would also be entitled to export of social security benefit on their relocation to India.
- The period of contribution in one contracting state will be added to the period of contribution in the second contracting state for determining the eligibility for social security benefits.
India has so far signed the SSA with seventeen countries viz. Belgium, Germany (Social Insurance), Switzerland, France, Luxemburg, The Netherlands, Hungary, Denmark, The Czech Republic, Republic of Korea, Norway, Germany (Comprehensive SSA), Finland, Canada, Japan, Sweden and Austria.