Recovery

Employers are required to pay the balance demanded on the monthly account statement from the Social Security Centre (Centre commun de la sécurité sociale - CCSS) within 10 days of the statement being issued.

Contributions that are not paid by the due date will incur default interest, starting from the 1st day of the 1st month following the due date of the contributions. The default interest rate is set at 0.6% per full calendar month.

After 4 unpaid monthly account statements, the CCSS will initiate enforced recovery proceedings.

In case of non-payment of contributions, the CCSS may also request withdrawal of the trading authorisation. The CCSS will refuse to issue a non-liability certificate required for public tender, even after a payment schedule to stagger the debt has been accepted. 

Persons concerned

Employers who have not paid their last 4 monthly account statements.

How to proceed

Summons to pay

Employers who are late in payment to the equivalent of 4 account statements and did not request a payment schedule will receive a summons to pay by registered letter.

This summons requires the late payer to

  • either pay the social security contributions due within 2 weeks;
  • or respect the payment schedule proposed by the CCSS.

Payment schedule

Each month the late payer must pay

  • the usual monthly contributions;
  • any fines;
  • the monthly down payment amount settled in the schedule.

Constraints and bailiffs

If the late payer does not agree to the payment schedule, the CCSS proceeds to enforced recovery of the debts, by means of a constraint sent to the debtor by registered letter. This constraint is forwarded to a bailiff for enforcement.

Filing a bankruptcy petition

If the bailiff reports that there is nothing to seize from the debtor, the CCSS refers the case to a lawyer for them to file a bankruptcy petition.

Other recovery measures

Other recovery measures are possible:

  • wage garnishment of part of the debtor's salary, if they have become an employee in the meantime;
  • compensation and legal transfer (when the debtor is owed a claim on a social security institution);
  • sending the summons to pay to a third party, enabling the CCSS to recover the amounts due from financial institutions, notaries, state administrations, ministries or others.

End of proceedings

The recovery proceedings end

  • when the debt is settled within 15 days of the summons to pay 

or

  • as soon as the arrears are less than the last 2 account statements.

Last update