On Saturday, July 22, the ISM/835/2023 Order was officially published in the BOE, marking a significant update to regulations concerning workers sent abroad to serve companies operating in Spanish territory within the Social Security system.

The need for this update had arisen due to the growing internationalization of companies and the increasing dispatch of workers to foreign countries. The previous regulations, dating back to 1982 and established by the Ministry of Labor, had become outdated and insufficient to address contemporary needs.

The primary objective of this order is to establish clear guidelines and conditions for situations equivalent to participation in the Social Security system, especially concerning workers dispatched overseas to work for their companies outside Spain's borders.

The specific scenarios that qualify as equivalent to participating in the Social Security system, as outlined in Article 3 of the ISM/835/2023 Order dated July 20, are as follows:

• Dispatching workers to countries where there is no international agreement for coordinating Social Security systems in place. 
• Dispatching workers to countries where such international agreements exist but do not include these workers within their scope, as they typically pertain only to the nationals of the respective parties.
• Dispatching workers to countries with international agreements that foresee the application of the home country's Social Security legislation after the prescribed maximum duration period has elapsed. This includes any authorized extensions as outlined in the respective international agreement.
• Dispatching workers to countries with international agreements in place but where provisions for sending workers to the territory of the other party are absent.

The ISM/835/2023 Order heralds a departure from the previous regulatory framework, presenting fresh opportunities for devising expatriation strategies. It is essential to note that this order will come into effect on November 1, 2023, with provisions for a transitional period.

At ExpatFeliu, we stand ready to provide expert guidance on navigating this new regulation and to conduct individual assessments of each expatriate's situation based on this Order.

Our goal is to craft the most optimal expatriation strategy for new assignments.

Please feel free to reach out to us for assistance and support.

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