Members of Parliament discuss ELA's competencies and access to ESSPASS.

On 12 October, the European Parliament's Committee on Employment and Social Affairs (EMPL) discussed the Fair Labour Mobility Package with European Commission Executive Vice-President Roxana Mînzatu. The debate focused in particular on plans to strengthen the European Labour Authority (ELA) and introduce the European Social Security Pass (ESSPASS).

Strengthening of ELA raises funding questions

The Commission aims to strengthen the ELA to more effectively combat violations of European labour and social regulations. Gabriele Bischoff (S&D, DE) welcomed this approach and emphasized the authority’s importance in the fight against social dumping and exploitation. At the same time, she expressed concerns about funding for the planned additional expenditure. In response, Roxana Mînzatu explained that some of the planned measures could be financed from the ELA's existing budget. However, she also called for an increase in funding in the future.

The proposed expansion of the ELA's powers also prompted critical discussion. Several members of parliament questioned whether the planned changes would be sufficient to more effectively prosecute violations of European labour and social regulations. While the ELA can support cross-border inspections, it remains dependent on cooperation with member states to carry them out. The imposition of sanctions also remains the responsibility of the competent national authorities.

Under the Commission's plans, Member States would be required to justify any refusal to participate in a joint inspection. In addition, the ELA is to be granted better access to data on companies and workplaces so that it can identify potential violations more effectively and conduct corresponding risk analyses. Mînzatu also referred to the proposal to deploy 27 inspectors from all Member States.

ESSPASS: Digital certificates, but paper remains an option

Another key focus of the debate was the introduction of the ESSPASS. The digitalisation and standardisation of social security documents are intended to make it easier for insured persons to prove their entitlements across borders. At the same time, this is intended to enable the competent authorities and social security agencies to verify the documents more quickly and securely. The A1 certificate, which confirms which social security legislation applies in cases of temporary work abroad, is to be digitalised first. Additional certificates are to follow later.

Per Clausen (The Left, DK) expressed doubt that the ESSPASS alone could make an effective contribution to combating social dumping. After all, a digital social security certificate does not provide any information on whether workers are actually being exploited. Mînzatu acknowledged that the ESSPASS cannot solve all problems. Due to its legal scope, it can only contain a limited amount of information and cannot comprehensively document labour law violations.

Georgiana Teodorescu (ECR, RO) expressed concern that people without sufficient access to technology could be disadvantaged by the introduction of the ESSPASS. Roxana Mînzatu then emphasized that certificates should continue to be available in paper form as well. In addition, printed QR codes could be used to have the relevant information verified digitally.

What's next?

The proposals to strengthen the ELA and introduce the ESSPASS must now be considered by the European Parliament and the Council. The legislative process is likely to focus in particular on the ELA's funding and specific powers, as well as the technical and organisational implementation of the ESSPASS. According to the Commission's proposal, the A1 certificate is to be made available digitally first, followed by the European Health Insurance Card (EHIC).

The DSV will set out its position on the proposals in a statement during the legislative process.