A STEP BY STEP GUIDE ON PROCEDURES FOR RECRUITMENT AGENCIES

INTRODUCTION

Albany Switzerland is a contract management company and does not carry out any recruitment, removing any risk of a conflict of interests.

Our primary function is to take on the legal responsibilities as the contractor's employer for the duration of his or her contract.

We therefore obtain the necessary work/residence permit, provide a monthly payroll service, organise the deduction and payment of local Swiss taxes, social security and national insurance, as well as arrange mandatory pension plans and health insurance.

PROCEDURE

The normal sequence of procedures is detailed below.

1. The recruitment agency finds a suitable candidate for the post and negotiates the fee with the end client. This fee is to include:
   1. The gross rate (hourly or daily) to be paid to the contractor.
   2. The agency fee.
   3. Albany Switzerland management fee.
   
   
2. The recruitment agency notifies Albany Switzerland of the new placement using the standard pro-forma, which can be downloaded from the website or requested by e-mail (see below).
   
   On notification of the placement, Albany Switzerland will draw up three contracts as follows:
   1. A hire service contract between Albany Switzerland and the end client.
   2. An employment contract between Albany Switzerland and the contractor.
   3. A purchase agreement between Albany Switzerland and the recruitment agency.
   Please note that the first 2 contracts form part of the permit application. The three contracts will mirror each other in terms of start and finish dates, notice periods, rates and any other specific conditions. Albany Switzerland will liase closely with the recruitment Agency on these issues.
   
   
3. Albany Switzerland will prepare and submit an application for the necessary work/residence permit in the appropriate canton.
   
   EU citizens coming for less than a year (365 days) receive an L-permit for the specific length of their contract. EU citizens coming for longer receive a B-permit, which is generally valid for 5 years. Non-EU citizens will in almost all cases receive an L-permit reflecting the length of the contract. For planning purposes, it is wise to allow up to four weeks for obtaining the permit.
   
   The permit application is designed to show:
   1. Details about the end client company and the nature of the project.
   2. The requirements of the post and how the candidate meets the requirements.
   3. Evidence that attempts have been made without success to find a suitable candidate on the Swiss market.
   Albany Euro-Swiss will monitor the status of the permit application and notify the agency, contractor and end client as soon as a positive decision has been issued. For EU citizens, receipt of the initial approval from the department of employment means that they may enter Switzerland to provisionally take up employment, although the final residence permit is still dependent on the decision of the immigration department. Non-EU citizens must wait for the full approval as this involves a visa stamp in their passport to enable them to enter Switzerland.
   
   
4. The permit is issued and the contractor starts employment with the end client. Albany Switzerland registers the contractor for:
   1. Income Tax (tax at source) if applicable.
   2. National Insurance.
   3. Obligatory Pension Plan (LPP).
   4. Obligatory Health Insurance.
   5. Arranges a local bank account for the contractor for salary payments.
   
   
5. At the end of the month, the contractor sends Albany Switzerland the timesheet, which has been signed by an authorised signatory from the end client. On receipt, Albany Switzerland faxes a copy to the recruitment agency. Albany Euro-Swiss will then:
   1. Invoice the end client for the full amount as explained in step 1.
   2. Prepare the contractor's salary statement.
   3. Pay the contractor's salary into his Swiss bank account within 10 working days.
   4. Send a salary statement to the contractor.
   The recruitment agency submits an invoice, which Albany Switzerland pays within the normal 30-day settlement period.
   
   
6. Albany Switzerland pays the contractor's AHV/AVS (National Insurance) monthly, submits an income tax return, and pays tax quarterly.
   
   
7. At the end of the contract, Albany Switzerland will:
   1. Notify the insurance company to prepare a final statement of accrued pension benefits.
   2. Co-ordinate the final payment of pension funds.
   3. Provide a final consolidated income and tax statement to the contractor.
   4. Return the AHV/AVS card to the contractor.
   
   

ACTION

If you would like to place a contractor in Switzerland through Albany, please fill out the Placement Form, which can be downloaded from the website or request by e-mail .