In a globalized economy, mobility is a prerequisite for growth, innovation, and competitiveness. However, with mobility comes an increasing complexity in complying with EU travel regulations – particularly, the so-called Posted Worker’s Directive (PWD) and the A1 certificate.
The Danish Chamber of Commerce emphasizes: “Compliance with EU travel regulations is a challenge that cannot and should not be ignored. If companies have not yet implemented the necessary measures, they should act now. It is about establishing the right processes and routines so that compliance becomes an integrated part of the business”.
For larger companies and institutions, compliance is not merely an administrative task; it is a strategic necessity. Adhering to regulations is not just about avoiding fines – it is about protecting employees’ rights, reducing business risks, and ensuring smooth cross-border operations.
EFFICIENT COMPLIANCE WITHOUT UNNECESSARY COMPLEXITY
TPE understands that compliance must not become a burden that hinders business activities. That is why TPE has integrated the necessary processes into its systems, creating a structured and cost-effective solution that minimizes administration work for its members.
By analysing members’ travel activities, TPE can identify which employees and destinations trigger requirements for PWD registration or an A1 certificate. This insight enables a tailored assessment of the specific compliance obligations relevant to each company. As a rule of thumb, 25-30 percent of all business trips require a PWD registration, whereas 100 percent require A1 documentation.
CONSEQUENCES OF NON-COMPLIANCE
Failure to comply with EU travel regulations can have severe consequences that go far beyond financial penalties. In addition to potential fines for both companies and employees, non-compliance can negatively impact employees’ access to social benefits and rights while working abroad. Further, workers may be denied permission to perform tasks in certain countries if regulations are not met.
Optimizing your company’s compliance strategy can reduce both costs and complexity. This requires a combination of improved communication, seamless technology, and collaboration with industry experts – an approach fully supported by TPE.
AUTOMATION AND SEAMLESS INTEGRATION
One of the key compliance challenges is ensuring a smooth process across both internal and external stakeholders. This includes management, HR, travel administration, IT, and external partners such as travel agencies and third-party service providers. Additionally, handling sensitive data in compliance with applicable data protection regulations is critical.
With TPE’s automated solution, managing PWD and A1 compliance becomes an integral part of your company’s existing processes. This ensure full compliance with travel regulations – without placing unnecessary strain on your organization.
TAKE ACTION – GAIN A COMPETITIVE ADVANTAGE
Regulations governing the free movement of labour are becoming increasingly complex, and authorities are tightening enforcement. EU travel regulations have been in effect to several years, and companies that proactively address compliance not only mitigate risks but also gain an operational advantage by ensuring smooth and hassle-free employee mobility.