Solving the Problem of Dealing with Risks in Switzerland Labor Dispatch Part I .

Mondo Workplace Updated on 2024-03-07

Known for its highly qualified talent and exemplary work ethic, the Swiss labour market is a strong attraction for global businesses. In order to take advantage of this strong human resources pool, it is essential to understand the complexities and regulations of labor dispatch in Switzerland.

This article provides a comprehensive analysis of labor dispatch in Switzerland, providing you with an enlightening perspective on labor dispatch, an introduction to the risks associated with it, and goglobal's expert support to guide you through this complex situation.

Labor dispatch, also known as temporary employment or contract employment, is a widely practiced business practice around the world. Due to its unique structure and adaptability, labor dispatch plays an important role in the labor market. However, due to the influence of the country's strict labor regulations, labor dispatch takes on a unique form in Switzerland.

Labor dispatch in Switzerland involves a three-party contractual relationship: the sending agency (often referred to as a staffing agency or employment agency) hires an individual (the dispatched employee) and "loans" it to another company (the employer) for a specified period of time. This model is characterized by a dual contractual relationship: an employment contract between the dispatching company and the employee, and a service contract between the dispatching company and the employer.

However, to truly understand the complexities of labor dispatch in Switzerland, it is necessary to delve into the main elements and features of the model.

To truly understand the complexities of labor dispatch in Switzerland, it is necessary to delve into the main elements and features of the model.

Dispatch Company:Dispatch companies hire individuals and "lend" them to other companies that need temporary workers. They are fully responsible for employment-related administrative tasks such as payroll, social security contributions, and compliance with labor laws. In addition, they are responsible for obtaining the required labour dispatch licences in accordance with the provisions of the Swiss Federal Employment Services and Services Employment Act (*G LSE).

Dispatched Employees:These people are hired by dispatch companies and temporarily dispatched to employers. They are entitled to the same rights and benefits as regular employees of the employer, including compliance with wage requirements under the Swiss Collective Bargaining Agreement.

Employer:An employer is a company that has signed a contract with a dispatch company to hire dispatched employees on a temporary basis. The employer sets the task of supervising the work of the dispatched employee, while the administrative responsibility is assumed by the dispatching company.

One of the main advantages of labor dispatch in Switzerland is the increased flexibility of labor management. Labor dispatch allows employers to respond to different business needs in a timely manner by adding or removing employees. This flexibility has proven to be particularly beneficial in industries or project-oriented work with high seasonal fluctuations.

In addition, Swiss labor dispatch can be used to reduce the administrative work related to employment. With the dispatch company responsible for legal employment obligations such as payroll, social security contributions, and tax deductions, employers can focus more on their core business operations.

Labor dispatch also allows employers to quickly acquire a variety of talents. Dispatch companies often have an extensive network of potential candidates in a variety of fields, allowing employers to find the right talent to meet their needs without the heavy lifting of recruitment. This can significantly shorten the hiring process, reduce costs, and improve the overall efficiency of the HR function.

Organisations must be aware that labour dispatch in Switzerland is strictly regulated by law. Any company wishing to provide labour dispatch services in Switzerland must have a valid Swiss labour dispatch licence, which is jointly administered by the Länder and the Federal Secretariat for Economic Affairs (SECO).

This requirement reflects Switzerland**'s commitment to upholding the rights of dispatched workers and guaranteeing fair business practices in the labour market. Therefore, understanding the legal issues of labor dispatch is an absolute prerequisite for businesses wishing to use this model in Switzerland.

Swiss labor dispatch offers an attractive workforce solution for many businesses, but it also comes with a set of regulations and responsibilities. Dual contractual relationships, licensing requirements and the protection of the rights of dispatched employees are all important factors that companies must consider when participating in labor dispatch in Switzerland.

As with any other business activity, there are inherent risks associated with engaging in Swiss labor dispatch. These risks are compounded when companies enter the field of labor dispatch without a thorough understanding of Swiss labor laws and regulations.

We will discuss how our partnership with goglobal can help mitigate these risks and ensure that companies can do business in the Swiss labor dispatch market.

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