Working with a recruitment company can sometimes blur the lines of who needs to know what, especially if other parties have been involved – such as another agency, and for contractors working at a customer site – where these are the contractor’s daily contact party.
Administratively the recruitment company is the employer for the contractor and there are lots of areas where contractors have to inform their employer and most of them are in the contractor’s interest. Here are a few instances that are not always that obvious, especially to someone new to the country, with explanations as to why they are important.
Moving
- Foreign employees have to have a work permit – that is common knowledge; however what is sometimes forgotten however, is that if a contractor moves from one location to another then they must de-register and re-register at their new address (even if just moving next door!).
- Those who are unsure of the process should speak to their employer who will advise. A new permit may need to be issued or a simple administrative fee may be due.
Moving a lot is common at the beginning of a tenure in a new country, and it is important to keep on top of informing the necessary authorities when moving. A landlord may have the obligation to inform the authorities when a tenant has left their accommodation and contractors should be aware that the authorities may come looking for them if they have not been informed.
Health Insurance
Yes, everyone usually comes to terms with the health insurance obligation, but in addition to informing the insurance providers when they move so that they can keep in touch, contractors should take note of the following points:
- Insurance Premiums are linked to the home address postcode and contractors making claims, may find these can get cheaper (or more expensive) when going to live somewhere else.
- Or maybe work needs to be done if the health insurance does not operate in the new location, running the risk of a contractor becoming uninsured.
De-registration
You can’t just leave, you must deregister and tell the authorities where you are going and when. This is also one of the ways of stopping the expensive health insurance premiums and also potentially having access to some or all of your 2nd pillar pension contributions.
Tax
Sometimes people get exasperated about hearing about how complicated the Swiss tax system can be, but when moving, then in all likelihood – both the contractor and the employer obligations will change too and at Swissroll, we are sure that contractors don’t want to miss out on any reductions or run the risk of having to make a high payment later.
In many countries, it is taboo to ask an employee about family status and so the potential new employee can understandably be uncomfortable about divulging this information.
- Those subject to source tax should ensure their employer understands this in order to use the correct tax bracket. A failure to do any of this and could mean ending up in the most expensive bracket.
- Likewise for those with children, who may be eligible for child benefit, which will improve the tax position further.
- It might sound strange but the employer needs to know whether a partner (even if abroad) has an income in order to place a contractor in the right category.
- Finally contractors should not forget to inform about further births, marriages, separations, partner unemployment even if these may all be difficult, or even celebratory times – as all these can all have an impact on the employment status.
Timesheets/Health/Accident
We all work hard, and at Swissroll we have a duty to protect or contractor employees from working too hard for too long and ensure they are getting paid properly, as well as entitled to the right time off. Further considerations:
- Those who are ill should not forgot to send Swissroll a doctor’s note so that we can make sure that they are getting the right benefits from the sickness insurance.
- Traveling abroad for treatment should be avoided unless unavoidable as the health insurance might want to make “further inquiries”.
- Likewise for those having an accident, the employer must write an accident report which should result in hospital costs being covered and salary being insured if absent as a result of an unfortunate event. Further treatment taken abroad may also be questioned.
Summary
The recruitment company is the contractor’s employer. All contractors need to inform them when they are moving or leaving Switzerland. The employer can assist with any needs or requirements, as well as manage any benefits due such as holidays, reference, unemployment and pension transfers as well as an opportunity to wish all the best of luck of course!
Contractors should not forget to speak to their employer, so that they can help obtain what they deserve. Employers are there to offer guidance and give advice and if unsure do not hesitate to contact your employer. It is as important that contractors stay on the right track and by not informing the employer of their up-to-date circumstances can cause the contractor as well as the employer headaches later on!
