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Commission Employment Contract Template for Switzerland

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Key Requirements PROMPT example:

Commission Employment Contract

"I need a Commission Employment Contract for a senior sales representative in the software industry, with a 70-30 split between base salary and commission, including quarterly performance targets and a specific territory assignment for the DACH region, starting March 1, 2025."

Document background
The Commission Employment Contract is a specialized employment agreement designed for use in Switzerland when engaging employees whose compensation includes a commission-based component. This document is essential for businesses operating in sales-driven environments where employee compensation is directly linked to performance and revenue generation. The contract must comply with Swiss employment law, particularly the Swiss Code of Obligations (Articles 319-362) and relevant provisions concerning commission-based compensation. It addresses crucial aspects such as commission calculation methods, payment terms, minimum guaranteed income (if applicable), performance targets, and territory assignments. This type of contract is commonly used when hiring sales representatives, business development managers, real estate agents, and other professionals whose compensation is partially or fully based on commission structures.
Suggested Sections

1. Parties: Identification of the employer and employee with full legal names and addresses

2. Background: Context of the employment relationship and purpose of the agreement

3. Definitions: Definitions of key terms used throughout the contract, particularly commission-related terminology

4. Position and Duties: Description of the employee's role, responsibilities, and reporting structure

5. Commencement and Duration: Start date and term of employment (fixed-term or indefinite)

6. Commission Structure: Detailed explanation of the commission calculation method, rates, and conditions

7. Base Salary and Payment Terms: Fixed salary component (if any) and payment arrangements for both salary and commission

8. Working Hours and Location: Standard working hours, workplace location, and flexibility arrangements

9. Holidays and Leave: Annual leave entitlement and public holiday provisions

10. Social Security and Insurance: Mandatory social security contributions and insurance arrangements

11. Confidentiality: Protection of company confidential information and trade secrets

12. Intellectual Property: Ownership and rights regarding work-created intellectual property

13. Non-Competition: Post-employment competitive restrictions in accordance with Swiss law

14. Termination: Notice periods and grounds for termination

15. Governing Law: Confirmation of Swiss law application and jurisdiction

Optional Sections

1. Probationary Period: Terms of initial probationary period, if applicable

2. Expenses: Policy on business expense reimbursement, if offered

3. Company Car: Terms of company car provision, if applicable

4. Additional Benefits: Any additional benefits such as health insurance or pension contributions beyond statutory requirements

5. Home Office Arrangements: Terms for remote working, if permitted

6. Training and Development: Provisions for professional development and required training

7. Garden Leave: Terms for garden leave during notice period, if applicable

8. Sales Territory: Definition of exclusive sales territory, if applicable

9. Performance Targets: Specific performance metrics and consequences, if not in schedules

Suggested Schedules

1. Commission Calculation Schedule: Detailed formulas and examples of commission calculations

2. Sales Targets and Quotas: Specific sales targets and minimum performance requirements

3. Product Price List: Current prices and commission rates for different products/services

4. Expense Policy: Detailed policy on allowable expenses and reimbursement procedures

5. Code of Conduct: Company's code of conduct and sales practices

6. Benefits Package Details: Comprehensive description of all benefits and eligibility criteria

7. Reporting Requirements: Templates and procedures for sales and commission reporting

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions








































Clauses




































Relevant Industries

Retail

Real Estate

Financial Services

Insurance

Telecommunications

Software and Technology

Pharmaceutical Sales

Automotive

Advertising and Media

Manufacturing

Professional Services

Consumer Goods

Industrial Equipment

Travel and Tourism

Recruitment

Relevant Teams

Sales

Business Development

Commercial

Revenue

Account Management

Human Resources

Legal

Finance

Compensation and Benefits

Retail Operations

Channel Sales

Direct Sales

Relevant Roles

Sales Representative

Business Development Manager

Account Executive

Real Estate Agent

Insurance Broker

Sales Manager

Commission-based Consultant

Territory Sales Manager

Relationship Manager

Financial Advisor

Sales Director

Commercial Agent

Recruitment Consultant

Business Development Executive

Regional Sales Manager

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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