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On Tuesday 7 July 2026, the European Parliament (EP) voted in favour of the revision of the European Union (EU)'s rules on the coordination of social security systems (Regulations (EC) No 883/2004 and No 987/2009).
According to Luxembourg’s Ministry of Labour and Ministry of Health and Social Security, the revised rules will now be submitted to the Council of the EU for approval.
The revision process, which began in 2016, concerns the existing coordination rules adopted in 2004 and implemented on 1 January 2010 following the adoption of the implementing regulation in 2009.
The ministries noted that the revised legislation modernises and clarifies the rules governing the coordination of social security systems in areas including long-term care benefits, family benefits, access to social benefits for economically inactive persons and several technical aspects.
The ministries said the new rules would enable the relevant institutions to better address the challenges they face while providing greater simplicity and legal certainty for citizens moving within the EU.
While agreement had already been reached between the EP and the Council on most aspects of the revision, the provisions relating to unemployment benefits and the applicable legislation remained the most debated, noted the ministries.
Under the revised rules adopted by the Parliament, the last country of employment will become responsible for paying unemployment benefits and supporting cross-border jobseekers who lose their job, provided they have worked continuously in that country for at least 22 weeks. In such cases, the legislation of the last country of employment, rather than the country of residence, will apply.
If the person worked continuously for less than 22 weeks, responsibility for unemployment benefits will remain with the country of residence.
Cross-border jobseekers concerned will therefore have to meet the eligibility conditions laid down in national legislation. In Luxembourg, this includes having worked for at least 26 weeks during a twelve-month reference period in order to qualify for unemployment benefits.
The reform also abolishes the current reimbursement mechanism between Member States. Under the existing system, the last country of employment reimburses the country of residence for unemployment benefits paid during the first three months of unemployment, or five months in certain cases.
To allow national administrations time to adapt, the revised legislation provides for a general two-year transitional period. Luxembourg will benefit from a specific derogation granting an additional three years, with the possibility of a further two-year extension if technical and organisational adaptations are required. The transitional period could therefore last up to seven years in Luxembourg.
The government noted that, because the new rules present challenges and risks regarding cross-border controls, Luxembourg had worked with several other Member States to strengthen cooperation mechanisms and information exchanges between the competent authorities.
According to the ministries, Luxembourg has already begun discussions with neighbouring countries to establish the administrative cooperation required for the effective implementation of the new framework.
"The revision of the European rules on the coordination of social security systems has long been needed in the interests of our institutions and citizens, given developments in many areas that have come up against a legal framework established two decades ago. Although the revision also brings challenges, we are doing everything we can to address them," said Martine Deprez, Luxembourg's Minister of Health and Social Security.
Marc Spautz, Luxembourg's Minister of Labour added that Luxembourg would continue to work closely with neighbouring Member States to ensure the effective implementation of the new provisions. He stressed that, given the specific characteristics of Luxembourg's labour market, effective administrative cooperation would be essential to support jobseekers, ensure legal certainty and safeguard sound public finances.
The ministries added that preparatory work would continue with the relevant administrations, including Agence pour le développement de l'emploi (ADEM), to prepare the legislative, administrative, organisational and technical changes required for the reform.
