Secondment Contract Template for Switzerland

A secondment contract is a specialized legal agreement that allows you to temporarily transfer an employee to work for another organization while maintaining their original employment relationship. Under Swiss law, this three-way arrangement requires careful structuring to comply with employment regulations, social security requirements, and worker protection measures established by the Swiss Code of Obligations and related federal legislation.

When do you need this document?

You need a secondment contract when your organization wants to temporarily assign an employee to work for a partner company, subsidiary, or client while keeping them on your payroll. This arrangement is particularly valuable for project-based work requiring specialized expertise, international assignments within multinational groups, or professional development opportunities that benefit all parties. Swiss companies frequently use secondments for consulting projects, technology transfers, management training programs, and cross-border assignments within corporate groups. The contract protects all parties by clearly defining responsibilities, maintaining employment continuity, and ensuring regulatory compliance throughout the temporary assignment period.

Key legal considerations

Your secondment contract must clearly establish the tripartite relationship between home company, host company, and employee, defining each party's obligations and liabilities. Critical provisions include the duration and scope of the secondment, reporting relationships, performance management responsibilities, and intellectual property ownership. You must address compensation arrangements, determining whether the home or host company pays salary, expenses, and benefits. Insurance coverage and liability allocation require careful attention, particularly regarding workplace accidents and professional indemnity. The contract should specify termination conditions, confidentiality obligations, and post-secondment arrangements. Swiss law requires maintaining the employee's original terms and conditions unless explicitly varied, and any changes must comply with employment protection standards.

Legal requirements in Switzerland

Swiss secondment arrangements must comply with the Federal Act on Employment Services and Personnel Leasing (AVG), which regulates cross-company personnel transfers and may require specific licenses for certain arrangements. The Swiss Code of Obligations governs the underlying employment relationship, ensuring the seconded employee retains their original employment rights and protections. Social security obligations under the Federal Social Insurance Law (ATSG) require careful coordination, as contributions and accident insurance coverage must be maintained throughout the secondment period. Working conditions must meet Federal Labor Law standards, including maximum working hours, rest periods, and health and safety requirements at the host company location. Tax implications require consideration under Swiss domestic law and applicable double taxation treaties for international secondments. Documentation requirements include proper notification to relevant authorities and maintenance of employment records in compliance with Swiss regulatory standards.