On 13 July 2010 the European Commission presented a Proposal for a Directive of the European Parliament and of the Council on "Conditions of Entry and Residence of Third-Country Nationals in the framework of an intra-corporate transfer" (KOM(2010) 378). This has been discussed by the Council of Ministers since 7 October 2010.

The aim specified in the Directive is to make it easier for multinational enterprises to transfer skilled employees, executive officers and trainees from third countries within the group, namely from one part of the company in a third country outside of the European Union (EU) to another part of the company within the EU. The Directive regulates the entry, residence and employment conditions in such cases.

The Committee on Internal Affairs of the German Bundestag has now addressed this proposal in a public hearing held on 25 June 2012. At this hearing, the objections raised by the political opposition were heard in particular, since it is of the opinion that the draft Directive will open up the European Market for cheap labour.

The Federal Government has not yet commented hereon. However, in the course of the discussion on the lack of skilled employees in Germany, there are several voices in favour of the proposed Directive. Should this Directive be implemented, future group employees from third-countries will be able to work in European companies of the group without observance of the other provisions of residency law (in particular equal pay). All that is required is proof of the employment activity in the group.

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