Outsourcing of service invoicing of federal fee recipients

Federal Office of Personnel

Key facts

Every year, the Federal Administration awards external service contracts worth between CHF 30 million and CHF 40 million to approximately 5,800 employed persons, so-called fee recipients. The Confederation was prompted to outsource payroll administration for the Federal Administration’s fee recipients to an external service provider as of 2012 for various reasons – legal uncertainties concerning social insurance, litigation risks, reputational damage for the Confederation, risks concerning access rights, IT shortcomings and anticipated cost benefits. According to the Federal Office of Personnel (FOPER), however, economic efficiency considerations played a minor role.