Outsourcing: what to do when you have to or want to outsource?

At some point in its development, a start-up might see the need to outsource certain services or production steps to third parties. Outsourcing enables the enterprise to focus on its core tasks and on efficiently advancing those. At the same time, it also creates a certain dependency on external service providers and the risk that important know-how is lost.

Depending on the type, time and scope of your outsourcing plans, you might find yourself confronted with numerous legal particularities – especially with regard to labour law. Outsourcing a whole department, for instance, may constitute a transfer of a business (part) in the case of which the employment relationships including all rights and obligations are automatically transferred to the new employer.

So when you are thinking about outsourcing, it is essential to consider both the advantages and drawbacks and implement your plans in a professional and legally sound way. We will be happy to support you in your outsourcing projects with our broad expertise. We can advise you on contract design and also offer a comprehensive analysis of the planned restructuring and outsourcing project with a focus on labour law and industrial relations legislation.

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