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Exchange of letters of 26 October/4 November 1994

Between the Swiss Confederation and the European Organisation for Nuclear Research 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
	Mr. Christopher Llewellyn Smith
	Director General
	Of the European Organization
	For Nuclear Research
	Geneva

Mr. Director General,

I have the honour to refer to the discussions which took place between, on the one hand, representatives of the European Organization for Nuclear Research, in Geneva, hereinafter referred to as the Organization, and other international organizations established in Switzerland, and, on the other hand, 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 11 June 1955 ³ With the Swiss Federal Council, your Organisation has made known that it cannot 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 your Organization 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 earnings (GAPs) and Unemployment Insurance (UI), provided they are affiliated with a pre-need system provided by the Organization. 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 Organization. In order to do so, they must file their application with the compensation fund of the canton of their domicile within three months of their affiliation to a system of foresight provided for by the Organisation or, for those who are Already in the service of the Organization, within six months 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 system of foresight provided for by the Organisation or when they subsequently cease their gainful occupation. They will be able to join the AVS/ AI/APG on a voluntary basis. 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 system of foresight provided for by the Organization, or Within three months of the termination of their gainful occupation 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 Organization. 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 service of the Organization. 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 United Nations 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 system of foresight provided for by the Organization and shall notify in writing each admission or exit of a Swiss official to 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, Sir, the assurance of my high regard.

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RO 1997 641; FF 1995 IV 749