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What a secondment agreement is and why it matters
A secondment agreement sets out the terms under which an employee is temporarily placed with a host organisation, or a different part of the same group, while their employment with the original employer continues. It usually involves three perspectives: the home employer, the host and the seconded employee, and it clarifies who is responsible for what during the placement.
Its purpose is to enable a temporary move for development, knowledge-sharing or resource needs without ending the underlying employment. For the employee it confirms that their role and continuity are protected; for the home employer and host it allocates day-to-day management, costs and responsibilities and sets out how the secondment ends and the return is handled.
When a secondment agreement is used
- To place an employee temporarily with another part of a group.
- To second an employee to a client, partner or external organisation.
- For development, knowledge transfer or to meet a short-term resource need.
- When an employee should keep their existing employment and continuity.
- For project work that benefits from a temporary placement.
What a clear secondment agreement includes
- The names of the home employer, the host and the seconded employee.
- The duration of the secondment and any review or extension process.
- The role and responsibilities the employee will hold at the host.
- Who manages the employee day to day during the placement.
- How continuity of employment with the home employer is preserved.
- How costs and arrangements are handled between the parties.
- Confidentiality and how information is handled at the host.
- How the secondment ends and how the return to the home employer works.
Common mistakes to avoid
- Leaving unclear who manages the employee during the placement.
- Failing to confirm that the home employment and continuity continue.
- Not agreeing how the secondment can be ended early by either side.
- Overlooking confidentiality where the host handles sensitive work.
- Forgetting to plan the employee return to their original role.
- Not setting a clear duration or review point for the placement.
Best practices
- Set out clearly who is responsible for day-to-day management.
- Confirm that the underlying employment and continuity are preserved.
- Agree the duration, review points and early-end arrangements.
- Plan the return so the employee moves back smoothly when it ends.
- Export the signed agreement to PDF so the arrangement is fixed and shareable.
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