New Opportunities in Global Mobility | IR Global
[author: Tina Gulli]
1. What are the key considerations for businesses and individuals navigating cross-border mobility in your jurisdiction?
Key considerations for companies and individuals navigating cross-border mobility in Italy include:
· Patient rights: Italian legislation, transposing European Directive 2011/24/EU, guarantees access to cross-border health care, respecting national ethical choices and quality standards.
· Educational opportunities: Programs such as Erasmus+ and the European Solidarity Corps offer mobility opportunities for young people, promoting training experiences abroad.
· Specific rules: It is essential to understand national mobility laws, which can affect access and reimbursement of educational care or experience.
The main legal obstacles to cross-border mobility in the EU are:
· • Different national regulations: inconsistent national laws among member states create obstacles, particularly in areas such as employment and education, complicating recognition of qualifications and social security rights.
· • Bureaucratic procedures: excessive paperwork, such as A1 forms for social insurance, adds administrative burdens that discourage mobility.
· • Lack of EU legislation: Some policy areas lack comprehensive European regulations, leading to gaps in legal frameworks governing cross-border activities.
2. How can service providers help clients structure global mobility strategies (e.g., regulatory, tax, financial efficiency)?
Service providers can support customers in the structuring of global mobility strategies through different approaches:
· Regulations and Compliance: Offering advice to navigate local and international regulations, ensuring that the operations comply with applicable laws.
· Tax Optimization: Providing tax analysis and strategies to minimize the costs related to international mobility.
· Financial Efficiency: By implementing technological solutions that improve cost management and financial planning, as contactless payment systems for public transport.
These services help to improve operational effectiveness and facilitate sustainable mobility.
Service providers can help minimize international complexities in the tax profile of companies through:
• Strategic planning: Developing customized tax policies, including tax equalization and protection.
• Global compliance: Assisting in compliance with local and international tax regulations, reducing the risk of penalties.
• Technology solutions: Implementation of advanced billing and compliance management systems to improve operational efficiency.
• Tax optimization: Identifying opportunities to reduce the tax burden through legitimate strategies, such as transfer pricing.
3. Is globalization on the wane? How do recent political events create new opportunities in global mobility?
Globalization seems to be declining, influenced by geopolitical conflicts and growing protectionism, as evidenced by the reduction in trade flows and the increase in investment restrictions. However, recent political events, such as the US elections, could create new opportunities in global mobility. Competition between powers like the United States and China could encourage investments in strategic sectors and promote sustainable development policies, fostering a new model of more inclusive and resilient globalization.
Geopolitical tensions significantly influence international trade, reshaping trade flows and policies.
Since 2018, trade between aligned countries has increased (friend-shoring), while trade between rivals has decreased, influenced by events such as the tariff war between the United States and China and the Russian invasion of Ukraine.
A 10 percent increase in geopolitical distance can reduce bilateral trade by about 2.5 percent. Countries increasingly prioritize strategic considerations over economic benefits, leading to the fragmentation of trade into blocs centered on geopolitical alliances. This change complicates global trade dynamics and poses challenges for countries dependent on distant trading partners.
Key Takeaways:
1. Navigating Cross-Border Mobility in Italy
Key considerations include patient rights under EU Directive 2011/24/EU, educational mobility through Erasmus+ and similar programs, and understanding national laws affecting access to healthcare and education. Challenges include inconsistent regulations across EU states, excessive bureaucracy, and gaps in EU-wide legal frameworks.
2. Structuring Global Mobility Strategies
Service providers aid clients by ensuring compliance with local and international regulations, optimizing tax and financial strategies, and implementing technology solutions to streamline operations. They address complexities through strategic planning, global compliance, and advanced systems for billing and tax management, enhancing efficiency and reducing costs.
3. Globalization Trends and Opportunities
While globalization wanes due to geopolitical tensions and protectionism, opportunities arise from strategic investments and inclusive policies driven by competition between global powers. Trade fragmentation into geopolitical blocs reshapes international trade dynamics, creating both challenges and opportunities for global mobility.
