The Intercompany Employee Transfer Agreement is essential for organizations operating multiple entities within Canada or involved in international operations with a Canadian component. This document is typically used when an employee needs to be temporarily transferred between affiliated companies while maintaining their primary employment relationship. It becomes necessary when companies need to share expertise, fulfill project requirements, or develop talent across their corporate structure. The agreement ensures compliance with Canadian federal and provincial employment laws, tax regulations, and immigration requirements while providing clarity on the terms of the transfer, including duration, compensation, benefits, and responsibilities of all parties. It's particularly relevant for organizations with subsidiary operations, joint ventures, or affiliated entities where employee mobility is required for business operations.
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1. Parties: Identification of the home company, host company, and the employee being transferred
2. Background: Context of the transfer, relationship between the companies, and purpose of the agreement
3. Definitions: Key terms used throughout the agreement including Home Company, Host Company, Transfer Period, etc.
4. Term and Duration: Specified period of the transfer, including start and end dates
5. Employment Status: Clarification of continued employment with home company and relationship with host company
6. Duties and Responsibilities: Overview of the employee's role and responsibilities during the transfer
7. Compensation and Benefits: Details of salary, benefits, allowances, and which entity is responsible for each
8. Tax and Social Security: Arrangements for tax payments, social security contributions, and related obligations
9. Immigration and Work Permits: Responsibilities for obtaining and maintaining necessary work permits and visas
10. Confidentiality and IP: Protection of confidential information and intellectual property rights
11. Termination: Circumstances and procedures for early termination of the transfer
12. Governing Law: Specification of applicable Canadian law and jurisdiction
13. General Provisions: Standard boilerplate clauses including notices, amendments, and entire agreement
1. Relocation Assistance: Details of relocation support when physical relocation is involved
2. Housing Allowance: Terms of housing support when applicable for long-term transfers
3. Family Support: Provisions for family members' relocation, schooling, etc. when family is relocating
4. International Healthcare: Additional health coverage arrangements for international transfers
5. Training Requirements: Specific training or development objectives when transfer is for skill development
6. Post-Transfer Obligations: Commitments and expectations after the transfer period
7. Exchange Rate Provisions: Currency exchange arrangements for international transfers
8. Cost Sharing: Detailed cost allocation between home and host companies when costs are shared
1. Schedule A - Position Description: Detailed description of role, responsibilities, and reporting relationships
2. Schedule B - Compensation and Benefits Details: Comprehensive breakdown of all compensation elements and benefits
3. Schedule C - Transfer Policy: Company's standard transfer policy and procedures
4. Schedule D - Tax Equalization Policy: Details of tax equalization methodology if applicable
5. Schedule E - Required Notices and Filings: List of all regulatory notices and filings required for the transfer
6. Appendix 1 - Contact Information: Key contact persons in both home and host companies
7. Appendix 2 - Required Documents: Checklist of required documents for immigration and employment purposes
Relevant legal definitions
Clauses
Relevant Industries
Technology
Financial Services
Manufacturing
Professional Services
Energy
Mining
Telecommunications
Pharmaceuticals
Retail
Construction
Automotive
Aerospace
Healthcare
Media and Entertainment
Relevant Teams
Human Resources
Legal
Global Mobility
Talent Management
Compensation & Benefits
Tax
Compliance
Operations
Finance
Risk Management
Relevant Roles
HR Director
Legal Counsel
Global Mobility Manager
Talent Acquisition Manager
Compensation & Benefits Manager
Immigration Specialist
Employment Law Attorney
Tax Manager
Project Manager
Department Head
Chief Human Resources Officer
Compliance Officer
Operations Director
Transfer Coordinator
Relocation Specialist
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