CONVINUS Global Mobility
CONVINUS Global Mobility Insights - Herbst / Fall 20255. Project and time pressureExternal personnel can be deployed at short notice without having to go throughlengthy internal recruitment processes. The focus when deploying externalpersonnel is on their qualifications and professional and technical track records.Example:For a large IT rollout, an international team consisting of freelancers andconsultants is put together. The necessary expertise is not available within thecompany, and such capacities could not be built up at short notice.The use of external personnel is often necessary, particularly for the purpose ofmeeting contractual deadlines, as delays can be costly if, for example, contractualpenalties have been agreed in the contracts concluded.6. Strategic corporate goalsCompanies want to have access to the best talent worldwide.Example:A global corporation employs specialists from a wide range of countries forinnovation teams.External personnel are also used in particular to test new locations or marketswithout long-term commitments.B) Risks associated with the use of external personnelThe cross-border use of external personnel – i.e. when a company employs personnelfrom abroad or sends "external staff" to other countries – can create additional risksfor a company.These are more complex than in purely national assignments, as several legalsystems, tax systems and cultural factors are involved in these cases.26
CONVINUS Global Mobility Insights - Herbst / Fall 20251. Legal risksa) Work and residence permitsEven if the external personnel are not your own employees, it is necessary to ensurethat the work and residence permits for the place of employment are available andcorrect.Risks: Fines, expulsion, premature termination of employmentIn the case of external personnel, it is usually (not directly) your responsibility toobtain these permits, and the penalties are primarily directed at the external person,but this can still have an impact on the assignment.The situation becomes more difficult in the event of possible non-compliance withlocal labour laws, as the facts are often unclear and the question arises as to whatextent the external self-employed person is also qualified as self-employed in thecountry of assignment. Depending on the classification, local labour laws must alsobe observed. Depending on the country of assignment, there are differentregulations, including those relating to working hours, break times, minimum wageand protection against dismissal.Risks: Fines, back payments, legal action.In EU and EFTA member states, the regulations for "posted worker notifications"must be observed, as must the so-called notification procedure in Switzerland. As arule, these notifications are required before the start of the assignment.Risks: Fines, work stoppageb) Bogus self-employment and illegal temporary employmentWhen using external self-employed persons, the issue of bogus self-employment isusually the first thing that everyone stumbles over. In a cross-border context, theclassification of bogus self-employment becomes even more difficult, as twocompanies now must assess the extent to which the person can still be classified asself-employed or as an employee.27
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