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Old 26.05.2012, 13:35
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Implications of changing agencies when contract is renewed

Hi I work in IT in Basel and I started a contract on August 2st 2011 that ends on August 31st this year, working though a Swiss recruitment agency. (Although I'm a contractor being paid an hourly rate, an accountant told me that there's no such thing as "contractors" in Switzerland and I'm effectively an employee of the agency). The end client where I work wants to extend the contract until the end of 2012, so another 4 months. After this there may be more work but the client is unsure yet.

I'm planning to switch to another agent when this contract ends, as the one I'm currently with takes way too much of what I'm paid. As far as I understand there's nothing in my contract that says I can't continue working in the same client through another agency, and my manager in the client is ok with it as well.

So I'm wondering what I need to do and what I should watch out for - some questions:

- My current agency are deducting pension contributions every month. Can/should these be changed to the new agency? Is this something I can do or the new agency does?
- Even though I have a B permit (which I understand is normally for 5 years) the end date on the permit is 31 August 2012 for some reason. Will there be any issue for the new agency renewing my permit?
- As I have a mortgage at home I receive an ex-pat allowance of 1500 chf per month here. Will this be affected if I change agencies? (Also I'm reading about a wealth tax that's imposed on the value of any property a foreigner owns abroad - is this true??)
- I've heard that it's possible to receive social welfare payments at 75% of the last salary once a person has worked for 12 months. Would changing agencies have any effect on this?

If anyone can think of anything I'm missing or need to be aware of then I'd be happy to hear it...


TIA
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Old 26.05.2012, 13:54
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Re: Implications of changing agencies when contract is renewed

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Hi I work in IT in Basel and I started a contract on August 2st 2011 that ends on August 31st this year, working though a Swiss recruitment agency. (Although I'm a contractor being paid an hourly rate, an accountant told me that there's no such thing as "contractors" in Switzerland and I'm effectively an employee of the agency). The end client where I work wants to extend the contract until the end of 2012, so another 4 months. After this there may be more work but the client is unsure yet.

I'm planning to switch to another agent when this contract ends, as the one I'm currently with takes way too much of what I'm paid. As far as I understand there's nothing in my contract that says I can't continue working in the same client through another agency, and my manager in the client is ok with it as well.

So I'm wondering what I need to do and what I should watch out for - some questions:

- My current agency are deducting pension contributions every month. Can/should these be changed to the new agency? Is this something I can do or the new agency does?
- Even though I have a B permit (which I understand is normally for 5 years) the end date on the permit is 31 August 2012 for some reason. Will there be any issue for the new agency renewing my permit?
- As I have a mortgage at home I receive an ex-pat allowance of 1500 chf per month here. Will this be affected if I change agencies? (Also I'm reading about a wealth tax that's imposed on the value of any property a foreigner owns abroad - is this true??)
- I've heard that it's possible to receive social welfare payments at 75% of the last salary once a person has worked for 12 months. Would changing agencies have any effect on this?

If anyone can think of anything I'm missing or need to be aware of then I'd be happy to hear it...


TIA
I suspect it's against your contract to do this.
Your pension will move to the new employer
You have a fixed contract so will have to get a new permit, if your from the EU it won't be an issue as you can even work for 90 days without a permit, you just need to be registered!
Unemployment pay is because you have paid insurance, you can have any no of employers.
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Old 26.05.2012, 14:10
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Re: Implications of changing agencies when contract is renewed

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I suspect it's against your contract to do this.
Hi thanks for your response, yes I'm from the EU. AFAIK it's not against my contract, and the reason I say this is because a former employee of the agency told me it's ok to switch agencies after a contract ends. Also other people in the same agency that I know have done it without any issues.

Someone else told me it's actually against Swiss law for an agency to try to prevent a person working through a different agency for the same client, but I don't know this for a fact.
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Old 26.05.2012, 14:55
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Re: Implications of changing agencies when contract is renewed

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Hi thanks for your response, yes I'm from the EU. AFAIK it's not against my contract, and the reason I say this is because a former employee of the agency told me it's ok to switch agencies after a contract ends. Also other people in the same agency that I know have done it without any issues.

Someone else told me it's actually against Swiss law for an agency to try to prevent a person working through a different agency for the same client, but I don't know this for a fact.
Simple solution - read the contract and find out!
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Old 26.05.2012, 15:38
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Re: Implications of changing agencies when contract is renewed

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Someone else told me it's actually against Swiss law for an agency to try to prevent a person working through a different agency for the same client, but I don't know this for a fact.
Perhaps these are related threads for you:

enforcement non-compete agreements in CH

"non-compete" clause .... legal ?

[Work contract] Termination clause prevents working for competitor - normal?

Validity of non competition clause in Switzerland

employment contract clauses, enforceable?

Setting up a business and non concurrenz agreement

A legal contract question i hope someone can answer

No compte - Employment Contract

Is it true Swiss law forbids an agency tying contrators into them for renewals?
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Old 26.05.2012, 16:23
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Re: Implications of changing agencies when contract is renewed

You can switch without a problem.

I and a colleague did this 4 years ago because of the high costs of an agency, we even warned them to give them a chance to be fair and the couldn't care less - so we moved.

The 1500 ex-pat thing is time limited and can be withdrawn anytime by the taxman as far as I understand. It is not automatic that you get it for the duration of your working time here.
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Old 26.05.2012, 17:16
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Re: Implications of changing agencies when contract is renewed

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Simple solution - read the contract and find out!
Thanks, I have read the contract and to my eyes there's nothing preventing me switching, however I'm not a lawyer. My question isn't really to do with can I legally change agencies, it's more what I need to look out for in terms of pensions, work permit, etc.
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Old 26.05.2012, 18:32
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Re: Implications of changing agencies when contract is renewed

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Thanks, I have read the contract and to my eyes there's nothing preventing me switching, however I'm not a lawyer. My question isn't really to do with can I legally change agencies, it's more what I need to look out for in terms of pensions, work permit, etc.
Just that the old agency does not sue you for their commision. The New agency will take care of the Permit & Pension.
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