THE EUROPEAN Commission has warned Cyprus that it must abolish the requirement for EU seafarers working on Cypriot boats to be residents of Cyprus in order to join its social security scheme, or face the European Court of Justice.
The Commission considers that the situation infringes EU law on the coordination of social security systems. Its request takes the form of a “reasoned opinion”, which is part of the European Union’s infringement procedures. Failing a satisfactory response within two months, the Commission may decide to bring Cyprus before the European Court of Justice.
According to Cypriot law, only seafarers residing in Cyprus may join the Cypriot social security system. On the other hand, Community seafarers working on a vessel flying the flag of Cyprus but whose place of residence is still in another Member State are not eligible to join the Cypriot social security system. They are automatically excluded from it.
“According to EU law on the coordination of social security systems, persons working on a vessel flying the flag of a Member State are subject to the social security legislation of that Member State, even if it is not their country of residence,” the Commission said in a statement.
“The residence requirement is contrary to European law due to its indirect discriminatory effect: residence in Cyprus as a condition for entitlement to Cypriot social security is more easily met by Cypriot than by Community seafarers.”
The Commission has decided to send a reasoned opinion to the Cypriot authorities indicating that Cypriot legislation infringes Community law, and asking them to take the necessary measures to comply with European regulations within two months.
“Failing a satisfactory response, the Commission may decide to bring Cyprus before the European Court of Justice,” the Commission statement said.
Cyprus has the third largest fleet within the European Union with a 12 per cent share of the total fleet in the 27 EU member states.
The Merchant Shipping Department website says that Cyprus is fully harmonised with all international instruments as well as with the regulations and directives of the EU.