The Placement Fee Agreement is a crucial document for businesses engaging recruitment services in Switzerland. It is specifically designed to comply with Swiss recruitment regulations, particularly the Federal Act on Employment Services (AVG), which requires recruitment agencies to be licensed and regulates fee structures. This agreement is used when a company wishes to engage a recruitment agency to search for and place candidates in permanent positions, establishing clear terms for fees, successful placements, and replacement guarantees. The document includes essential provisions required by Swiss law, such as data protection compliance, clear fee structures, and warranty periods. It's particularly important in the Swiss context where recruitment services are heavily regulated and require specific contractual provisions to ensure legal compliance.
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1. Parties: Identification of the placement agency and the client company, including full legal names, registration numbers, and addresses
2. Background: Context of the agreement, including the agency's licensing status under Swiss law and the client's need for recruitment services
3. Definitions: Key terms used throughout the agreement, including 'Candidate', 'Placement', 'Successful Placement', 'Placement Fee', etc.
4. Scope of Services: Detailed description of recruitment services to be provided, including search, screening, and presentation of candidates
5. Agency Obligations: Agency's responsibilities, including compliance with Swiss recruitment laws, due diligence in candidate screening, and information obligations
6. Client Obligations: Client's responsibilities, including providing accurate job descriptions, timely feedback, and information about placed candidates
7. Fee Structure: Detailed breakdown of placement fees, calculation method, and payment terms in compliance with Swiss regulations
8. Payment Terms: Payment schedule, invoicing details, and consequences of late payment
9. Warranty Period: Terms of replacement or refund if a placed candidate leaves within a specified period
10. Confidentiality: Obligations regarding confidential information and compliance with Swiss data protection laws
11. Term and Termination: Duration of the agreement and conditions for termination
12. Governing Law and Jurisdiction: Specification of Swiss law as governing law and jurisdiction for dispute resolution
1. Non-Solicitation: Prevents parties from directly hiring each other's employees, used when there's significant risk of talent poaching
2. Exclusivity: Terms for exclusive recruitment rights, used when the agency is the sole provider for specific positions
3. International Placements: Additional terms for cross-border placements, used when recruiting from outside Switzerland
4. Multiple Entity Provisions: Terms covering multiple client entities or locations, used for group-wide agreements
5. Volume Discounts: Special fee arrangements for high-volume recruitment, used for large-scale hiring projects
6. Direct Hire Conversion: Terms for converting temporary placements to permanent positions, used when offering both temporary and permanent placement services
1. Schedule 1 - Fee Schedule: Detailed breakdown of all fees, including placement fees, additional services, and any volume-based discounts
2. Schedule 2 - Service Level Agreement: Specific performance metrics and service standards
3. Schedule 3 - Required Position Information: Template for job specifications and requirements
4. Appendix A - Data Processing Terms: Detailed terms for handling personal data in compliance with Swiss data protection laws
5. Appendix B - Candidate Introduction Protocol: Process for introducing and tracking candidates
6. Appendix C - Standard Terms and Conditions: General terms and conditions applicable to all placements
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