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RS 0.192.122.971.4 Exchange of letters of 26 October/12 December 1994 between the Swiss Confederation and the Bank for International Settlements concerning the status of international civil servants of Swiss nationality with regard to social insurance s

Original Language Title: RS 0.192.122.971.4 Echange de lettres des 26 octobre/12 décembre 1994 entre la Confédération suisse et la Banque des Règlements internationaux concernant le statut des fonctionnaires internationaux de nationalité suisse à l’égard des assurances sociales s

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0.192.122.971.4

Exchange of letters of 26 October/12 December 1994

Between the Swiss Confederation and the Bank for International Settlements concerning the status of international civil servants of Swiss nationality with regard to Swiss social insurance (AVS/AI/APG and AC)

Approved by the Federal Assembly on March 4, 1996 1
Entered into force on 3 July 1996

(State 1 Er October 1997

Original text

The Chief

Bern, 26 October 1994

Of the Federal Department

Foreign Affairs

Wim F. Duisenberg

President of the Bank

International Regulations

Basel

Mr President,

I have the honour to refer to the discussions which took place between, on the one hand, representatives of the Bank for International Settlements, in Basel, hereinafter referred to as the Bank, and other international organisations established in Switzerland, and, on the other, My Department concerning a judgment delivered on 25 February 1991 by the Federal Insurance Court. According to this decision, an international civil servant of Swiss nationality, who is exempted from the accumulation of excessive charges under Art. 1, para. 2, let. B, Federal Old Age and Survivor Insurance Act 2 (LAVS), remains affiliated with Unemployment Insurance and is required to make contributions. Relying on the freedom and independence which international organisations and their officials must enjoy in relation to the host State-which Switzerland does not intend to call into question-and the fundamental principle of equality On the basis of the special status it enjoys in Switzerland under the Agreement concluded on 10 February 1987 3 With the Swiss Federal Council, the Bank made known that it could not subscribe to such an affiliation.

On behalf of the Swiss Federal Council, I have the honour to propose that as of 1 Er January 1994, officials of Swiss nationality of the Bank are no longer considered by the host State to be insured under the old-age and survivors' insurance (AVS), invalidity insurance (DI), insurance for loss of Gain (APG) and Unemployment Insurance (UI), as long as they are affiliated with a contingency plan provided by the Bank. They will be able to join, on a voluntary basis, either at the AVS/AI/APG/AC or in HQ alone, on the understanding that such an individual affiliation will not result in any compulsory financial contribution from the Bank. In order to do so, they will be required to file their application with the Swiss Bank Clearing Fund within three months of their membership in a contingency plan provided by the Bank or, for those already in the Within six months from the date of your reply to this letter.

In addition, I have the honour to propose that the spouses, Swiss or foreign, of international civil servants of Swiss nationality, who are domiciled in Switzerland, are no longer compulsorily insured by the AVS/AI/APG, when they do not Of a gainful occupation at the time of the international civil servant's affiliation with the foresight system provided for by the Bank or when they subsequently cease their lucrative business. They will be able to join the AVS/AI/APG on a voluntary basis. In order to do so, they must file their application with the compensation fund of the canton of their domicile within three months of the international civil servant's affiliation to a contingency system provided for by the Bank, or in A period of three months from the date of termination of their gainful employment or within six months from the date of your reply to this letter, when the international civil servant is already in the service of the Bank. The regulations described above also apply to spouses-who do not enjoy privileges and immunities-of foreign international civil servants who are exempt from Swiss social security under s. 1, para. 2, let. A, LAVS

Insured persons may, at any time, terminate all insurance coverage they have chosen for the end of the current month. The AVS/AI/APG/AC insured may, however, terminate only the AVS/AI/APG and maintain their affiliation with the CA. Termination shall be valid for the duration of the commitment of the international civil servant to the Bank. Subject to the specific conditions set out in this letter, the provisions of the AVS/AI/APG/AC shall apply to them. Those insured persons who fail to meet their obligations within the prescribed time limit will be excluded after warning.

The Bank provides the Federal Department of Foreign Affairs with the list at 1 Er January 1994 persons of Swiss nationality who are affiliated to that date with a contingency plan provided by the Bank and shall notify in writing each admission or exit of a Swiss official to the audit or the said system.

I would be grateful if you would let me know if the above meets your approval. If yes, this letter and your reply will constitute an agreement by way of exchange of letters. The latter shall enter into force on the date of notification by the federal authorities of the completion of the constitutional formalities required for that purpose. Until this date and from 1 Er January 1994, it will be applied provisionally.

It may be terminated by either party on the first day of a calendar year, subject to twelve months' written notice.

Please accept the assurance of my high regard, Mr President.

Flavio Cotti

Federal Councillor

On behalf of the Bank, I accept the provisions contained in your letter. Accordingly, your letter and mine constitute an agreement by way of exchange of letters. The latter shall enter into force on the date of notification by the federal authorities of the completion of the constitutional formalities required for that purpose. Until this date and from 1 Er January 1994, it will be applied provisionally.

I would ask you to approve, Sir, the assurance of my high regard.

Wim F. Duisenberg


RO 1997 635; FF 1995 IV 749


1 Art. 1 Er Al. 1 let. I of March 4, 1996 (RO) 1997 609)
2 RS 831.10
3 RS 0.192.122.971.3


Status November 5, 1999