Document background
The Termination and Release Agreement is a crucial document used when an employer and employee mutually agree to end their employment relationship in Switzerland. It serves multiple purposes: documenting the agreed-upon separation terms, protecting both parties' interests, and preventing future disputes. This agreement is particularly important in Swiss business practice due to specific requirements under the Swiss Code of Obligations regarding employment termination, including mandatory provisions for work certificates and notice periods. It typically includes detailed terms about final compensation, benefit arrangements, confidentiality obligations, and mutual releases of claims. The document is commonly used in corporate restructuring, mutual separations, or negotiated exits, providing legal certainty and clarity for all parties involved while ensuring compliance with Swiss employment law requirements.
