Multiple extension of temporary employment contract – Employers, please be aware!

If a temporary employment contract is extended several times in order to avoid dismissal protection clauses, the multiple extension is considered an inadmissible chain work contract...

If a temporary employment contract is extended several times in order to avoid dismissal protection clauses, the multiple extension is considered an inadmissible chain work contract, unless there is a factual reason for the renewal. However, it is not relevant, whether the avoidance is was intended or not. In the view of the Courts, inadmissible chain work contracts qualify as indefinite employment and therefore, the same protection clauses are applicable.

This legal position was recently confirmed by the Swiss Federal Supreme Court and the Swiss Federal Admiistrative Court (see decisions: BGE dated 15.02.2017 (4A_428/2016, Erw. 1.1.2, p. 113), BVGer dated 11.05.2016 (A-7102/2014, Erw. 2.3.2, sect. 1)).

Please find attached (PDF) the respective references.