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FRANCE/LUXEMBOURG – The National Assembly adopted a European resolution on Wednesday which might change the status of cross-border workers.
The National Assembly wishes to change the status of cross-border workers.
Pexels – Andrea Piacquadio
The National Assembly, in France, adopted on Wednesday a European resolution aimed at increasing teleworking, which might change the status of cross-border workers. The resolution n°819 aims in particular to increase the use of teleworking, but it also aims to “lead a European reflection on the status of cross-border workers”.
In this resolution, the French deputies insist on the many benefits, in their eyes, of teleworking: well-being and productivity of cross-border workers, reduction in road traffic, preservation of the environment, etc. They propose to continue and extend the agreements concluded during the Covid-19 epidemic with border countries, including Luxembourg.
Restrictions lifted during the pandemic
One proposal is particularly noteworthy: MEPs wish to “offer cross-border workers the possibility of being placed in telework for up to two days a week without this having any consequences on the determination of the social security and tax systems which apply to them”. If it were to become a reality, this proposal would allow the persons concerned to limit the consequences of the dizzying rise fuel prices.
As a reminder, Luxembourg has made agreements with its neighbors (France, Germany, Belgium) to lift restrictions on telework during the pandemic. The days spent working from home are no longer counted in the quotas authorized by the Tax Administration (34 days per year from 2022 for French cross-border workers, 34 days for Belgian cross-border workers and 19 days for German cross-border workers) nor within the threshold imposed by Social Security (maximum 25% of the working time worked in the country of residence and/or the remuneration received).
According to our colleagues from Paperjam, the Luxembourg Ministry of Finance has asked its German counterpart for an extension of unlimited telework (without tax consequences) beyond March 31. This approach has not been taken for France and Belgium, because a tacit renewal exists with these countries until June 30, 2022.