In October 2024, a significant development for Albanians living and working in Italy came closer to realization. The Foreign Policy Committees of both the Senate and the Chamber of Deputies in Italy approved the necessary funds for implementing a bilateral pension agreement between Italy and Albania. The agreement, which already passed in the Albanian Parliament, now awaits a final vote in the Italian Parliament. This agreement holds significant implications for thousands of Albanians residing in Italy and a smaller group of Italians in Albania.

Why does it matter: This pension agreement is crucial for the social security and financial stability of over 500,000 Albanians living in Italy. It ensures that these individuals can benefit from Italy’s social security schemes, including pensions for old age, disability, and family benefits. For many, especially those who have spent their working years contributing to both Albanian and Italian pension systems, this agreement will provide a safety net for their retirement years.

The pension agreement between Italy and Albania is a crucial legal framework designed to safeguard the rights of individuals who have contributed to the social security systems in both countries. It allows Albanian and Italian workers to combine their contribution periods from both systems, ensuring they meet the eligibility criteria for pensions and other benefits. Specifically, this agreement applies to old-age pensions, disability pensions, and family pensions, but also extends to other essential protections such as sickness and maternity benefits, and unemployment insurance. For many Albanians who have spent years working in Italy, this agreement ensures they can claim the full range of social security benefits without being penalized for moving between the two countries.

Beyond old-age pensions, the agreement ensures that workers can access disability pensions if they are unable to work due to health reasons, or family pensions in the case of a deceased worker. Additionally, provisions for maternity and sickness benefits guarantee that workers are protected during vulnerable periods of their lives, while unemployment insurance offers support in the event of job loss.

This is not Albania’s first international social security agreement. Since 2005, the country has signed similar treaties with numerous nations, including Germany, Turkey, and Switzerland, among others. With many Albanians working abroad, these agreements are essential for ensuring that citizens’ social contributions are recognized across borders. Agreements with countries like Montenegro, Bulgaria, and France are also in the pipeline, further extending protections for Albanian expatriates globally.