Integration and Automation of the EU Posting Directive
Automation of EU Posting Directive (96/71/EG)
If workers are sent to temporarily carry out work in another country, this generally entails a multitude of additional regulations. One of the more challenging aspects here is the EU posting directive 96/71/EG with requirements for A1 Certificates of Coverage and EU Registrations. To ensure that all these legal and EU regulatory requirements are met is challenging for companies and typically associated with significant complexity and financial expenses.
The conovum Travel Compliance Companion (TCC) allows for management and automation of compliance-related scenarios. The overall process is initiated as early as possible directly following an automated data transfer from either travel request, booking of travel means, or (possibly mobile) manual travel registration. After checking which further steps are necessary, the TCC collects and aggregates all relevant HR and travel data. The traveler is afterwards asked to provide missing or verify possibly flawed information directly within the TCC portal. An internal or external competence center can supervise the TCC process in case additional support is needed or to ensure highest quality standards.
The overall process is intelligible and transparent for competence center and traveler alike and can be monitored easily.
Challenges EU Posting Directive
Due to the EU posting directive, companies are typically faced with a multitude of factual, temporal, and qualitative challenges that have to be taken care of:
It is crucial for companies to implement a process that guarantees compliance with the EU posting directive. Such a process has to
- decide, based on a flexible rule-based framework, whether an A1 Certificate and/or EU registration form is required,
- manage the electronic application procedure for the corresponding documents,
- forward the documents to the traveler and inform him about his obligation to carry them,
- archive all documents compliant to auditing requirements,
- monitor and log all processes and allow for a comprehensive reporting, and
- provide a rapid alert system for further possible related risks (e.g., visa, tax, maximum stay, minimum wages, …).
The conovum Travel Compliance Companion serves as technological process basis to guarantee compliant business travels for all employees. This given, focus lies in particular on the following scenarios:
A1 Certificate of Coverage
An A1 Certificate of Coverage is proof that a posted worker’s employer continues to pay social security system contributions in the employee’s home country. Starting July 01, 2019, German A1 Certificates of Coverage can only be applied for electronically from the national social security systems.
The registration of posted workers is meant to ensure that a certain set of employment rules and standards of the host country are observed. Registrations have to be processed following individual national requirements.
If an employee is sent to a country different from his home country to carry out work he often needs a visa, even for cases where the posting is for short periods only. The TCC offers an easy way to embed visa service provider systems.
By default, the conovum Travel Compliance Companion (TCC) is set up as SAP add-on on the client’s SAP-HCM system, but can also be implemented into distributed system environments on any SAP system (on-premises).
The TCC serves as interface providing connections to both social security systems and national registration portals.
User interfaces are based on SAP UI5 and can be integrated via SAP Fiori Launchpad or alternative portals. The TCC is also available on mobile devices.
For further information please also consult the corresponding solution sheet. For more detailed questions do not hesitate to contact Carsten Hoymann via TCC@conovum.de.