Teleworking Monaco/France: Sovereign Order no. 8.693 implementing Amendment No. 6 to the bilateral social security agreement, with effect from 1st November 2016

Sovereign Order no. 8.393 of 3 December 2020 (Journal de Monaco no. 8518 of 25 December 2020) makes Addendum ("Avenant") no. 6 (consisting of 4 articles) to the Convention of 28 February 1952 between the Principality of Monaco and the Government of the French Republic on social security, signed in Monaco on 18 March 2014, enforceable from 1 November 2016 (the date of its entry into force with regard to Monaco).[1]

The purpose of Addendum No. 6 is to organise cross-border teleworking between France and the Principality of Monaco, by defining specific coordination rules between the social security schemes of each of the two States.

An employee teleworking from his or her French home on behalf of a company whose registered office or place of business is in the Principality is subject to Monegasque social security legislation, and vice versa.

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Content of Addendum no. 6

Addendum no. 6 modernised the provisions of the Convention of 28 February 1952 between France and the Principality of Monaco, by providing for:

— the submission of employees or persons treated as employees residing in one of the two States, who carry out, exclusively on behalf of an employer whose registered office or place of business is established in one of the two States, a teleworking activity from the territory of the other State, to the social security legislation of the State where the employer has its registered office or domicile, provided that they work at least one third of their weekly working time on the employer's premises (Article 1 of Addendum No. 6 supplementing Article 3, paragraph 2 of the Convention with a subparagraph h);

— in return (and by way of derogation from the provisions of paragraphs 1 and 2 of Article 10 of the Convention), the sharing by half between the two States of the cost of sickness and maternity insurance benefits in kind for pensioners, as well as those of their dependants, provided that these pensioners have exercised, continuously or discontinuously, a teleworking activity lasting at least fifteen years, making them subject to the legislation of the State other than that of their residence, in application of the exception mentioned above (Article 2 of Addendum No. 6 supplementing Article 10 of the Convention with a paragraph 5);

— cooperation measures to verify compliance with these conditions; annual monitoring of the number of persons likely to fall within the scope of these provisions, as well as the companies employing them, with the aim in particular of preventing companies from relocating from France to the Principality of Monaco; a review of application, at the end of a period of three years following the date of entry into force of the Addendum, with both Parties being able to make any adjustments that may appear useful on the basis of this joint analysis (article 3).

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Related texts:

• Law no. 1.429 of 29 June 2016 on teleworking
• Ministerial Order no. 2016-425 of 1 July 2016 implementing Law no. 1.429 of 29 June 2016 on teleworking

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NOTE:

[1] Law no. 1.428 of 4 July 2016 approving ratification of Addendum no. 6 to the Convention of 28 February 1952 between the Principality of Monaco and France on social security, signed on 18 March 2014 (pursuant to article 14, paragraph 2, number 2 of the Constitution of .17 December 1962 amended by Law no. 1.249 of 2 April 2002).