Lexipedia

Duty of loyalty of employee

The employee’s duty of loyalty requires protecting the employer’s legitimate interests during employment and, in limited respects, after it ends.

Under Swiss employment law, employees must perform work faithfully and avoid harming the employer’s legitimate interests. The duty includes confidentiality, careful handling of property and data, avoidance of conflicts of interest, and limits on competing activities during employment. Its intensity depends on the role, seniority, access to sensitive information and the employer’s business. After termination, loyalty duties usually narrow, but trade secrets and valid non-compete obligations may continue. Breaches can justify warnings, damages claims, ordinary dismissal or, in serious cases, immediate dismissal.