The Employer Separation Agreement is a crucial document used when formally ending an employment relationship in Switzerland. It serves as a comprehensive record of the agreed terms between an employer and employee upon separation, whether through mutual agreement, resignation, or termination. The document must comply with Swiss employment law, particularly the Swiss Code of Obligations and relevant cantonal regulations. It typically includes provisions for final compensation, benefit arrangements, confidentiality obligations, and mutual releases. This agreement is particularly important for ensuring clarity and legal certainty, preventing future disputes, and protecting both parties' interests. The document should be drafted with careful consideration of Swiss-specific requirements regarding notice periods, social security obligations, and post-employment restrictions.
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1. Parties: Identification of the employer and employee, including full legal names and addresses
2. Background: Brief overview of the employment relationship, including start date and position
3. Definitions: Key terms used throughout the agreement
4. Termination Date: Specific date when employment relationship ends and confirmation of notice period compliance
5. Final Salary and Benefits: Details of final salary payment, including pro-rated bonuses, outstanding vacation pay, and expense reimbursements
6. Severance Payment: Terms and amount of any severance payment, including payment timing and tax treatment
7. Company Property: Requirements for return of company property and documentation
8. Confidentiality Obligations: Ongoing obligations regarding confidential information and trade secrets
9. Release of Claims: Mutual release of claims between parties, subject to Swiss law restrictions
10. Reference and Communications: Agreement on employment references and internal/external communications regarding departure
11. Social Security and Insurance: Provisions regarding social security contributions and insurance coverage
12. Tax Provisions: Treatment of tax obligations for all payments under the agreement
13. Governing Law and Jurisdiction: Confirmation of Swiss law application and jurisdiction
14. Entire Agreement: Standard integration clause confirming complete agreement between parties
15. Execution: Signature blocks and date of agreement
1. Garden Leave: Terms of garden leave period if applicable, used when employee is placed on paid leave during notice period
2. Non-Competition: Post-employment competition restrictions, only if previously agreed in employment contract and compliant with Swiss law limitations
3. Non-Solicitation: Restrictions on soliciting employees or customers, if applicable
4. Equity/Share Options: Treatment of any outstanding equity or share options, used when employee has participation in such schemes
5. Continuing Obligations: Any ongoing duties or responsibilities post-termination
6. Legal Fees: Provisions for payment of legal fees if agreed
7. Outplacement Support: Details of any career transition services offered
8. Pension Arrangements: Special provisions regarding pension plans if applicable
9. Dispute Resolution: Alternative dispute resolution procedures if agreed
10. Retention Bonus: Terms of any bonus for remaining until termination date, if applicable
1. Schedule 1 - Payment Calculation: Detailed breakdown of all payments including final salary, severance, and benefits
2. Schedule 2 - Company Property List: Itemized list of company property to be returned
3. Schedule 3 - Benefits Summary: Details of benefit continuation or termination
4. Schedule 4 - Reference Letter: Agreed form of employment reference
5. Appendix A - Existing Restrictive Covenants: Copy of relevant restrictions from employment contract
6. Appendix B - Release Details: Detailed terms of mutual release of claims
7. Appendix C - Social Insurance Certificates: Copies of relevant social insurance documentation
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