On January 12, 2024, diplomatic notes were exchanged in Tokyo about the entry into force of the Agreement between Japan and the Italian Republic on Social Security. The Agreement, which was already signed on February 6, 2009, will now enter into force on April 1, 2024.
Consequences of the Agreement
The Agreement will be applicable to employees temporarily seconded from Japan to the Italian Republic as well as those temporarily seconded from Italy to Japan. In the absence of an agreement, these employees are currently being subject to compulsory coverage under the pension systems of both countries, which causes dual payment of insurance contribution in both countries.
Under the Agreement, which is mainly aimed at solving this problem, those employees temporarily sent from either country to the other will be covered only by the pension system of the former country, provided that the secondment period is not exceeding 5 (five) years.
Therefore, it is expected that the entry into force of the Agreement will reduce the burden imposed on companies and employees and further promote people-to-people and economic exchanges between Japan and the Italian Republic.
