Employer's Liability in the Contribution Collection Procedure of Old-Age and Survivors' Insurance (OASI)

Facts

Stauffer AG had not submitted an OASI contribution account for the remuneration paid to G., whom it considered to be an independent worker. The compensation fund issued a supplementary payment decision for the years 1965-1969 and a decision on non-prescriptible employer contributions and administrative costs for the years 1960-1964. The Administrative Court of the Canton of Bern rejected the compensation fund's claim, finding that Stauffer AG had not committed gross negligence. The Federal Social Insurance Office appealed against this decision.

Considerations

According to case law, the employer does not have the status of an insurance body, but acts as a substitute designated by law for the collection of joint contributions. Its obligation to account for contributions to the compensation fund constitutes a public law task. Failure to fulfill this obligation amounts to a serious violation of the regulations within the meaning of Art. 52 OASIA and entails the obligation to compensate for the full damage.

In the present case, although Stauffer AG did not act intentionally, it committed…