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CJEU: Residence requirement for social assistance and employment support constitutes indirect discrimination against beneficiaries of international protection

On 7 May 2026, the Court of Justice of the European Union (CJEU) delivered its judgment in Case C-747/22 (KH v Istituto nazionale della previdenza sociale (INPS)), following a request for a preliminary ruling from the District Court, Bergamo, Italy (Tribunale ordinario di Bergamo). The case concerned the interpretation of Articles 26 and 29 of  Directive 2011/95/EU (the recast Qualification Directive) regarding the compatibility with EU law of a national residence requirement imposing a minimum period of 10 years’ residence for access to a social assistance measure granted to beneficiaries of international protection.

The Court clarified that the Italian “citizens’ income” falls within the scope of Articles 26 and 29 of Directive 2011/95, as it constitutes both a measure facilitating access to employment and integration into the labour market, and a core social assistance benefit ensuring a minimum income. Member States must ensure that beneficiaries of international protection have effective access to such measures under equivalent conditions as nationals and must facilitate that access by removing obstacles that may hinder their participation.

The Court further found that a residence condition of 10 years, although formally applicable without distinction to nationals and non-nationals, constitutes indirect discrimination against beneficiaries of international protection. It held that Articles 26 and 29 of Directive 2011/95 reflect the principle of equal treatment laid down in Article 20 of the Charter of Fundamental Rights of the European Union, and  reiterated that that principle prohibits not only discrimination but also forms of discrimination which, although based on apparently neutral criteria, may produce the same discriminatory effects.

Furthermore, the Court rejected the justification based on administrative and financial costs, holding that the costs of granting social benefits are the same regardless of nationality. It emphasised that EU law guarantees beneficiaries of international protection equal treatment in access to employment measures and core social benefits and does not permit Member States to impose additional conditions not provided for by EU law, like a length of residence requirement. It further held that making entitlement subject to a 10 years’ residence requirement undermines the objective of ensuring a minimum level of benefits for beneficiaries of international protection, whose status is not permanent and may be revoked, potentially leading to return to the country of origin.