Temporary work is an advantageous solution for overcoming the challenges of the volatile labour market. But what exactly does it mean to employ temporary staff? And what are the legal requirements for temporary employment contracts in Switzerland? We give you an overview of the advantages of temporary work, the legal situation and the possibilities of digital contract processing.

Definition: Temporary work

Temporary work is also known as staff leasing, temporary work, personnel leasing or employee leasing. In Switzerland, the term temporary work is usually used, while in Germany it is referred to as Zeitarbeit. All of these terms refer to the same type of employment relationship: an employee is hired out by one employer (temporary employment agency) to another company (temporary employment agency). This is often for a limited period of time, for example 6 months or a year.

Advantages of temporary work

Temporary work enables companies to react flexibly to market requirements and cover short-term staff shortages. For example, seasonal vacancies can be filled or a replacement for an employee on maternity leave can be hired. This greatly reduces the workload of the temporary employment agency’s HR department, as the temporary employment agency takes over the search for employees as well as administrative tasks such as payroll accounting and social security registration. Nevertheless, the temporary employment agency still has the right to issue instructions to the employee.

Another advantage is that if the company is convinced by the employee and has a long-term need for the original temporary position, it can offer him or her the job as a permanent position. As the employee already has many of the necessary skills at this point, there is no risk of a bad hire. On the other hand, if it turns out that the employee does not fit in with the company, a statutory notice period of just a few days applies in some cases. Employing companies are therefore much more flexible than with permanent positions.

What needs to be considered when drawing up temporary employment contracts?

In Switzerland, a temporary employment contract is usually concluded by means of a framework agreement (temporary framework employment contract) between the temporary employment agency and the temporary employee. This contract sets out the general conditions for all future work assignments, in particular the rights and obligations of the employee. In addition, a specific assignment contract is concluded for each assignment, which regulates details such as the type of work to be performed, the start and duration of the assignment, working hours and location, as well as the hourly wage. A surcharge for overtime may already be stipulated in the framework agreement.

Woman in a checked blazer signs documents at a table while a man in a suit sits opposite her and points to the papers, office space with blurred people and plants in the background.

When drawing up temporary employment contracts in Switzerland, a number of special features must be taken into account:

Compliance with the collective labour agreement (CLA)

  • The collective labour agreement (CLA) for staff leasing must be observed by all Swiss companies that hold a staff leasing permit and whose main activity is staff leasing. Among other things, the CLA regulates minimum wages, wage supplements and other employee entitlements.
  • If a different CEC applies to the company of employment, this must generally also be observed.

Regulations on the termination of the employment relationship

  • A fixed-term employment relationship ends automatically as soon as the contract term has expired. However, if the employment relationship is tacitly continued, it is considered to be for an indefinite period and the usual notice periods apply.
  • A probationary period and early termination option are not provided for by law for temporary jobs, but can be added to the contract by agreement.
  • Contractual clauses that prevent the temporary worker from working directly for the assignment company after the end of the assignment and accepting a permanent position there are invalid.

Caution with chain labour contracts

  • In Swiss case law, successive fixed-term employment contracts with the same content are referred to as “chain employment contracts”. Such contracts can be considered illegal under certain circumstances, particularly if they are used to circumvent protective regulations.
  • If it is established that there are no objective reasons for chain employment contracts, an open-ended employment relationship is assumed. A repeated fixed-term employment relationship then effectively becomes a permanent employment relationship with a minimum duration, and all previously circumvented regulations such as notice periods or protection against dismissal apply.
  • Irrespective of whether objective reasons for the chain employment contracts can be demonstrated, the following applies: legal consequences that are based on the length of service (such as continued payment of wages) relate to the total duration of all employment contracts.

Written form

Contracts for temporary and agency work must always be in writing. Exceptions to this are cases where there is urgency or the work assignment does not last longer than six hours. If these contracts are not concluded in writing, they are not invalid.

Electronic contract conclusion

Instead of printing contracts, signing them by hand and sending them by post, a temporary employment agency can also map this process digitally. This ensures greater efficiency and cost savings. eSignature solutions enable the future employee to be identified and the contract to be signed in a legally compliant manner. Digitally, 90% of contracts are signed within just 24 hours.

In Switzerland, the electronic conclusion of employment contracts is generally legally valid. While no formal requirement applies to open-ended employment contracts, a qualified electronic signature (QES) must be used in the area of staff leasing, as this is the only equivalent to the written form. The so-called “qualified written form” is also required for framework employment contracts and agency agreements.

Requirements for the QES

The qualified electronic signature (QES) is the highest level of electronic signatures and must fulfil strict requirements. In Switzerland, the QES is regulated in the Federal Act on Electronic Signatures (ZertES); in the EU, the eIDAS Regulation is used. Only the ZertES or eIDAS-compliant QES is equivalent to a handwritten signature.

The QES must contain a qualified electronic time stamp and be issued by a recognised provider of certification services. The so-called trust service provider identifies the signatory using an ID card or passport. In the past, this was usually done as a video identification procedure – innovative providers now rely on the faster auto-ident procedure or NFC, which allows the passport chip to be easily read with a smartphone. This ensures the clear identification of the contractual partners and the integrity of the contract.

On the technical side, the so-called private key and public key methods are used to create a QES. The trust service provider (VDA) generates and manages the key pairs, consisting of a private and a public key. It ensures that only the signatory has access to the private key. The public key is used to verify the authenticity of the signature.

Laptop screen shows a user interface for digitally signing an employment contract with placeholders for signatures and QR code.

Electronic signature with Certifaction

How to choose a provider for digital signatures

As an employer, you must protect contract data such as salary details and other sensitive employee information. Secure data transmission and storage is the only way to prevent misuse. Therefore, when choosing an eSigning provider, pay close attention to their processes, certifications and regular security audits. User-friendliness and the software’s range of functions are also important decision-making criteria.

For an initial overview, we present the most important information about the providers DocuSign, Skribble and Certifaction:

DocuSign

DocuSign offers comprehensive functions for contract management and AI-supported contract analyses. However, there are potential data protection risks with the US provider. The CLOUD Act could result in sensitive data being passed on to the US government. End-to-end data encryption is also not guaranteed.

Certifaction

The Swiss-based provider Certifaction specialises in data protection-friendly eSigning. You do not receive any contract management functions here. End-to-end encryption, local data processing and the zero document knowledge principle (= when a document is processed, its content is not transmitted to the provider) ensure a high level of data security. Certifaction also relies on an intuitive QES process that takes just a few minutes and is easy to use, even for first-time users and inexperienced digital signatories.

Scribble

Skribble also scores highly with its user-friendly interface and data storage in Switzerland. However, unlike Certifaction, Skribble does not offer local data processing and has access to all signed documents.

Conclusion

The flexibility and the ability to react quickly to changes in workload make temporary work an attractive model. As an employer, temporary staffing companies should be aware of the legal framework and proceed carefully when drawing up and signing employment contracts. In addition to specifications regarding the content of the contract, there are special features to consider in the area of digital signatures. Temporary employment contracts are only legally valid with a qualified electronic signature (QES).

DISCLAIMER: This article is for general information purposes only and is not intended as legal advice. We cannot guarantee the timeliness or accuracy of the information. If you have specific legal questions, please contact a licensed attorney in your area.