A recently enacted European Union Directive requires companies to inform the social security administration of a host country about employees assigned to work there, even on a short business trip. With 100 million business trips within the EU in 2022 (+30 million more than in 2021), this change poses compliance issues for companies, with penalties of up to 50,000 EUR per employee. As global cross-country tax legislations are becoming more complex and raising tax risk for companies, there is a need for companies to track and manage their business travelers to remain compliant.
Mercer Travel Tracking Platform helps manage this risk.
Mercer Travel Tracking Platform helps organizations identify potential risks they may be facing in each jurisdiction around the world due to the business travels of their employees and take appropriate steps to avoid them.
Tool highlights
With the Mercer Travel Tracking Platform you can:
Manage employee trips in real time
Generate legal reports for companies and employees
Create trips from any device
Control the compliance obligations of your employees
3 tools, 1 platform
1. Travel Tracking Tool
This tool allows you to:
- Manage all employee trips in real time.
- Fill in trips using any device (tablet, mobile applications on IPhone and Android), this tool is available through the cloud or via software download.
- Generate automated reports for the employee and company.
- Control the tax residence status of employees with respect to their country of origin.
2. Tax Risk Map
This tool generates an individual dossier for each employee that enables HR to monitor actual and potential tax obligations for both the company and the employee in the assignment locations. It includes a tax risk assessment and general information about social security and immigration. Additionally, this tool lets companies simulate employer and employee tax risks in real time.
3. EU Posted Worker Directive
The tool ensures compliance with EU directives by identifying the requirements of each country for business trips of the planned duration, based on EU regulations and bilateral agreements between home and assignment country. The tool automates the notification to pertinent social security authorities and provides documentation of fulfilling these legal obligations.