Loan Staffing Agreement

The staff loan or debt contract below also provides that the full amount will be deducted when the employee resigns. However, this can be seen as an acceleration of debt repayment, i.e. deducting more than the agreed weekly/monthly amount that may be illegal in your country! Given that the new SECO Directive specifically targets intragroup personnel structures (ECGs), we strongly recommend that the entity be reviewed and, if necessary, that appropriate loan authorizations be sought, as these structures will certainly be considered to be secondment schemes subject to the restrictive provisions of the Recruitment and Loan Personnel Act (RLSA). According to RLSA, foreign credit staff in Switzerland are generally illegal. However, in 2003, SECO adopted a directive excluding intragroup credit allocation (i.e. the adequacy of loans between related companies of the same group, “detachments”) from most of the restrictive provisions of the RLSA. In particular, detachments were not subject to the RLSA`s authorization requirements and detachments from abroad were allowed within a group. However, in recent years, SECO has already interpreted the 2003 directive increasingly restrictively, due to the sharp increase in the number of secondments and, in particular, the creation of “staff companies” (also known as global employment companies), which recruit employees centrally to lend exclusively to related companies. In practice, it is difficult to determine whether a credit occupancy contract is a task or a secondment, since in both cases the shipping company generally continues to pay wages and retain some authority over the employee (for example. B, increased benefits, setting bonus targets, termination rights, etc.). The new directive stipulates that the most important distinction between a secondment and an assignment is the ordering authority which, in the event of a transfer, must be left entirely to the shipping company. The proof would be that the original employer remains fully responsible for the worker`s activity.