Document background
The Severance and Release Agreement is a crucial document used in Switzerland when formalizing the mutually agreed termination of employment relationships or in situations involving redundancy or restructuring. It serves as a comprehensive record of the separation terms while ensuring compliance with Swiss employment law, particularly regarding mandatory notice periods, social security obligations, and employee protections. This document is typically implemented when companies need to document severance arrangements, protect against future claims, and ensure a clear understanding of post-employment obligations. The agreement must carefully balance the employer's interests in obtaining a release of claims with the employee's rights under Swiss law, which includes certain protections that cannot be waived. It's particularly important in situations involving senior executives, sensitive departures, or as part of larger restructuring programs.
