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India and Korea Sign Social Security Agreement

  • Synopsis: Published: 2010-10-20 - India and Republic of Korea signed a Social Security Agreement (SSA) in Seoul today. For further information pertaining to this article contact: India - Korea.

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India and Republic of Korea signed a Social Security Agreement (SSA) in Seoul today.

India and Republic of Korea signed a Social Security Agreement (SSA) in Seoul today. The Agreement was signed by Shri Vayalar Ravi, Minister for Overseas Indian Affairs and Mr. Kim Jong-hoon, Minister for Trade of the Republic of Korea. The SSA would enhance movement of professionals between the two countries and strengthen the trade and investment.

The Agreement provides, on a reciprocal basis, for the following benefits to Indian nationals working in the Republic of Korea:

a) For short term contract up to five years no social security contribution would need to be paid under the Korean law by the detached workers provided they continue to make social security payment in India.

b) The above benefits shall be available even when the Indian company sends its employees to the Republic of Korea from a third country.

c) Indian workers shall be entitled to the export of the social security benefit if they relocate to India or a third country after the completion of their service in the Republic of Korea.

d) The self-employed Indians in the Republic of Korea would also be entitled to export of social security benefit on their relocation to India, or a third country.

e) In case of Independent Professionals, provisions of paragraph 3 of Article 8.3 of the Comprehensive Economic Partnership Agreement (CEPA) signed between India and Republic of Korea shall apply and in case of any other category of workers, the SSA shall apply.

f) The scope of bilateral cooperation in social security under SSA and under paragraph 3 of Article 8.3 of CEPA covers only the old age, survivors and disability pension under the legislations and regulations of both countries.

g) 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 in order to avoid loss of contributions.

A number of professionals and self-employed Indians are working in the Republic of Korea. There is a huge potential for employment of Indian professionals and workers. India is likely to become a major source of migrant professionals due to its vast reservoir of technically qualified manpower in sectors like Information Technology, Engineering, Health, Finance and Management.

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