Secondment | Practical Law

Secondment | Practical Law

Secondment

Secondment

Practical Law Glossary Item 1-521-1558 (Approx. 3 pages)

Glossary

Secondment

The temporary assignment of an employee from one organization to another for a specified period of time, usually to carry out a particular project. It can be an intra-company transfer within the same organization or between two unrelated business entities. It can be a domestic or overseas (expatriate) assignment.
During the secondment, the employee continues to be employed by their original employer. At the end of the secondment, it is anticipated that the employee will return to their original position.
A secondment is typically memorialized by a written agreement that sets out details of the relationship between the two organizations and the employee. One type of secondment agreement is between the two organizations. A second type of secondment agreement is between the original employer and the employee, specifying the terms of the secondment.
The types of provisions included in these agreements will vary, depending on whether it is a domestic or overseas secondment agreement, but will usually make clear that the employee remains employed by the original employer, address which entity will pay their salary during the secondment and identify who will manage the day-to-day activities of the seconded employee, among other provisions.
For more information, see: