Salary hosting is a an innovative solution giving more flexibility to the market place.
What is it?
It is a legal working structure within which a person, the contractor, can be employed by an entity which allows him/her to contribute to and be covered by social insurances all-the-while negotiating mandates like a self-employed person. Thanks to this, a company or an organization can quickly have access to a contractor’s expertise without onboarding the person nor taking care of the administrative or legal requirements related to a traditional employee status.
How does it work?
Salary hosting is a partnership between 3 parties:
- Between the consultant and Swiss Labour Contractors
The consultant becomes an employed contractor with an employment contract and all the advantages that go with employee status.
- Between the consultant and the contracting company
The consultant is responsible for the work to be provided to the contracting company. The consultant finds the clients and negotiates the fees.
- Between the contracting company and Swiss Labour Contractors
Swiss Labour Contractors and the contracting company are bound by a service contract detailing who is the consultant who will do the work, the time period and the tariffs. Swiss Labour Contractors will invoice the contracting company for the contractor’s work and then pay his or her salary.
Should you be interested in Swiss salary hosting regulations, please take a look at the Collective Bargaining Agreement – Staff Leasing (published on December 12, 2018):