Law No. 398 of October 3, 1987 (which was converted with amendments from Decree Law No. 317/87) regulates the obligation to make contribution payments for Italian citizens who work in non-EU countries that do not have a social security agreement with Italy in place.

According to Law No. 398/87, Italian workers employed in countries without a social security agreement with Italy must be enrolled in Italian social insurance. This applies not only to those seconded from Italy but also to those directly employed by foreign companies based in such non-EU Countries, irrespective whether the foreign employer is part of the same group of the Italian one. Italian employees working in those countries must be registered with Italian social insurance, even if the employment relationship is with a foreign employer.

Foreign employers who are required to provide Italian social security coverage for their Italian employees must appoint a social security representative based in Italy to pay the contributions on behalf of the foreign company.

The salary subject to contribution is the amount found in the notional salaries (retribuzioni convenzionali), with a 10% reduction in the employer’s overall rate for pension (IVS). In addition to the mandatory Italian contribution required by L. 398/87, it is important to consider any contribution obligations in the destination country, if applicable, that may still be required.

Law No. 398 of October 3, 1987 (which was converted with amendments from Decree Law No. 317/87) regulates the obligation to make contribution payments for Italian citizens who work in non-EU countries that do not have a social security agreement with Italy in place.

According to Law No. 398/87, Italian workers employed in countries without a social security agreement with Italy must be enrolled in Italian social insurance. This applies not only to those seconded from Italy but also to those directly employed by foreign companies based in such non-EU Countries, irrespective whether the foreign employer is part of the same group of the Italian one. Italian employees working in those countries must be registered with Italian social insurance, even if the employment relationship is with a foreign employer.

Foreign employers who are required to provide Italian social security coverage for their Italian employees must appoint a social security representative based in Italy to pay the contributions on behalf of the foreign company.

The salary subject to contribution is the amount found in the notional salaries (retribuzioni convenzionali), with a 10% reduction in the employer’s overall rate for pension (IVS). In addition to the mandatory Italian contribution required by L. 398/87, it is important to consider any contribution obligations in the destination country, if applicable, that may still be required.