Secondment Procedure in Switzerland: Key Guide for International Companies
The secondment procedure in Switzerland is an essential process for international companies temporarily sending employees to Switzerland on professional assignments.
This mechanism allows employees to remain under contract with their original employer while working in Switzerland on a time-limited mission.
Below, discover the key details of the Swiss secondment process and how RISTER – Fiduciary in Geneva can assist you every step of the way.
Secondments in Switzerland – Services
Secondment Procedure in Switzerland: A Complete Guide for International Companies
International companies planning to send employees to Switzerland on temporary assignments must understand and comply with Swiss secondment regulations.
This well-regulated process allows companies to deploy their staff in Switzerland while ensuring compliance with local labor, tax, and social security rules.
This guide outlines the main aspects of the secondment procedure and explains how RISTER – Fiduciary in Genevacan provide comprehensive support.
What Is a Secondment in Switzerland?
A secondment in Switzerland occurs when an international company temporarily sends employees to work in Switzerland without changing their employment contract.
Employees remain under their home-country employer’s authority and keep their home-country social security coverage, provided specific bilateral agreements are in place (e.g., the A1 certificate for EU/EFTA countries).
This arrangement is ideal for short-term projects, special market needs, or specialized expertise.
Why Choose Switzerland for International Assignments?
Switzerland offers numerous advantages to international companies expanding in Europe:
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A stable and competitive economy
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A robust legal and regulatory framework
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First-class infrastructure
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A strategic location fostering trade and collaboration with both the European Union (EU) and the European Free Trade Association (EFTA)
These factors make Switzerland a prime hub for cross-border projects and international operations.
Key Legal and Administrative Obligations for International Companies
International companies must meet specific obligations before and during a secondment to Switzerland.
1. Advance Notification to Swiss Authorities
A pre-departure notification must be submitted to the competent cantonal authority at least 8 days before the assignment begins.
This notice must include:
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Employee details
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The purpose of the mission
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The planned duration of stay
2. Compliance with Swiss Working Conditions
Companies must ensure seconded employees enjoy working conditions equivalent to Swiss standards, including:
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Minimum wages set by law or collective labor agreements
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Compliance with collective bargaining agreements where applicable
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Health and safety regulations
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Legal working hours and employee protections
Specific salary conditions may vary by industry, so careful review is critical.
3. Social Security Affiliation
Seconded employees may remain covered by their home-country social security system during their Swiss mission if the appropriate agreements apply.
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For EU/EFTA countries: A1 certificate required
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For non-EU/EFTA countries: Applicable bilateral social security agreements may apply
4. Work Permit Requirements
When seconding non-EU/EFTA nationals, a Swiss work permit is typically required.
The exact procedure varies depending on the length of stay and the type of activity performed.
5. Taxation of Seconded Employees
Seconded employees may become subject to Swiss income tax or withholding tax, depending on their length of stayand the nature of their duties.
Switzerland’s extensive network of double taxation treaties ensures employees are not taxed twice on the same income, provided the correct procedure is followed.
6. Swiss VAT (Value Added Tax)
If an international company seconds employees or provides services in Switzerland, it may be liable for Swiss VAT.
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Threshold: Global annual taxable turnover of CHF 100,000
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Obligation: Register with the Federal Tax Administration (FTA), then charge, collect, and remit VAT on taxable services
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Standard VAT rate: 8.1 % (as of 2024)
For efficient VAT management, expert guidance is recommended.
How RISTER – Fiduciary in Geneva Can Help
Managing Swiss secondments can be complex. RISTER – Fiduciary in Geneva provides end-to-end support, ensuring that companies remain fully compliant.
RISTER’s Key Services
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Secondment notifications: Preparing and submitting all required notices to Swiss cantonal authorities
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Swiss labor law and collective agreement advice: Ensuring compliance with salary, working-time, and labor-rights requirements
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Tax and social security optimization: Structuring assignments to prevent double taxation and maintain proper social security coverage
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Work permit assistance: Managing applications and approvals for non-EU/EFTA employees
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Swiss VAT management: Registration, invoicing, and periodic VAT reporting
With extensive legal and tax expertise, RISTER ensures your international assignments in Switzerland are both efficient and fully compliant.
Summary: The Importance of Proper Secondment Management
The secondment process in Switzerland is highly regulated and demands thorough knowledge of Swiss labor, tax, and social security law.
Companies must pay special attention to:
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Advance notifications
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Employment conditions and wages
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Taxation and double taxation treaties
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Swiss VAT compliance
By partnering with RISTER – Fiduciary in Geneva, businesses gain a trusted, experienced advisor to navigate every step, avoid administrative pitfalls, and optimize costs.
Contact RISTER – Fiduciary in Geneva today to secure expert guidance for your secondment projects in Switzerland.
FAQ – Secondment in Switzerland for International Companies
What is a Secondment in Switzerland?
It is the arrangement where an international company temporarily assigns employees to work in Switzerland while they remain under their original employment contract and home-country social security coverage (e.g., EU/EFTA A1 certificate).
This model suits short-term projects and specialized missions.
Why Choose Switzerland for International Assignments?
Switzerland provides a stable economy, strong legal framework, and excellent infrastructure.
Its proximity to the EU and EFTA simplifies trade and administration, making it a strategic European hub.
What Are the Main Compliance Obligations?
International companies must ensure:
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Advance notification to the relevant canton at least 8 days before the assignment starts
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Swiss working conditions, including minimum wages and collective agreements
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Social security coverage under home-country law (A1 or bilateral agreement)
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Work permits for non-EU/EFTA employees
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Correct taxation, using double tax treaties to avoid dual taxation
When Must a Company Register for Swiss VAT?
If global taxable turnover exceeds CHF 100,000, registration with the Federal Tax Administration is mandatory.
The company must then charge, collect, and remit VAT at the 8.1 % standard rate, unless exempt.
What Are the Key Steps for a Compliant Secondment?
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Assess the project’s scope, duration, and workforce.
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Notify cantonal authorities at least 8 days before deployment.
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Ensure compliance with Swiss wage and labor standards.
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Arrange social security coverage (A1 or equivalent).
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Obtain work permits for non-EU/EFTA staff.
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Determine VAT obligations and register if required.
What Are the Risks of Non-Compliance?
Failure to comply may result in:
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Administrative or tax penalties
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Suspension of operations
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Employer liability
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Back payments of social security contributions and VAT
How to Avoid Double Taxation?
Switzerland’s double taxation treaties specify where taxes are owed and prevent dual taxation.
A pre-assignment tax review is highly recommended.
How Can RISTER – Fiduciary in Geneva Assist?
RISTER offers:
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Official secondment notifications
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Swiss labor and collective agreement compliance
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Tax and social security planning
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Work permit management
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Swiss VAT registration and reporting
With in-depth legal and fiscal expertise, RISTER ensures full compliance and streamlined administration.
When Should You Contact RISTER?
At the earliest planning stage—ideally weeks before the assignment begins—to secure smooth processing of notifications, VAT obligations, and work permits. A Swiss secondment is a flexible, secure solution for international companies, but success requires strict compliance with Swiss labor, tax, VAT, and social security rules. Partnering with RISTER – Fiduciary in Geneva guarantees a flawless, fully compliant secondment process.
