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Typically, the host pays a secondment fee to second place at regular intervals during the period. This tax can only be an amount covering the MP`s expenses or, more likely, an element of profit. One way or another, the second-hand tax will collect VAT if the second place is registered for VAT. The secondment agreement should include changes to the levy during the posting period, including possible increases in the Member`s salary. The secondment agreement should therefore stipulate that the employer retains responsibility for administrative tasks such as: payment of the Member`s salary, benefits and pension contributions; Reimbursement of the Second for duly incurred expenses; compensation for income tax and social security contributions; Authorizing and registering annual leave; and the provision of sickness benefits. As a result, the Member remains employed by his employer for the duration of the secondment on his original terms of employment. This could, however, mean that some minor changes to the overall employment contract may be necessary to allow for secondment, which may, however, be relatively informal and should ideally be agreed in advance with the Member. The key to a successful detachment is to ensure that an agreement is reached, which makes it very clear who is responsible for whom. Sometimes, especially in large companies that operate geographically on different sites, detachments are used to spread corporate culture and create a more closed organization. A secondment is made when a worker (or group of workers) is temporarily assigned to work for another organization or part of his or her employer. If the detachment is external, the relationship between the employer and the worker is more complex, because a third party is involved. It is therefore important to ensure that the terms are clarified in writing before an external detachment begins.
Internal detachment can be an informal agreement between departments – even if the salary changes, the person is paid the same way, so there is little paperwork to be done. The detachment agreement must therefore include a description of the MP`s duties during the secondment. One option is to be able to attach a full description of the MP`s role to the detachment agreement. On the other hand, the parties may prefer that the description of the services be very general to give the host more flexibility. Workers considering deploying abroad should follow these guidelines with respect to secondment agreements: the host will be concerned about confidentiality, including information that the depreciated person may receive during the secondment, the invitation of his staff and the risk that either the Member or delegate will compete. If the detachment is an external task, the original employer is generally the MP`s official employer; the idea is that the original employer “lends” its employees to the other company. The idea behind a secondment plan is that the member remains employed by the original employer during the secondment and “returns” to the detachment after the end of the detachment. Net Lawman offers two secondment contract models for commercial and non-commercial organizations. Our international business lawyers are competent in the development and negotiation of international secondment agreements.