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Exhibit 10.5
EMPLOYMENT AGREEMENT FOR A LIMITED PERIOD OF TIME
BETWEEN
-- HERMES EUROPE RAILTEL B.V., a Dutch company with a branch office at
Xxxxxxxxxx 000, 0000 Xxxxxxxx
hereafter referred to as the "employer"
AND
-- Xx. Xxxxx Xxxxxx, having his domicile at 2610 Wilrijk, Jules Moretuslei 279
hereafter referred to as the "employee"
IS HEREBY AGREED UPON AND ACCEPTED THE FOLLOWING:
ARTICLE 1
The employer accepts Xx. X. Xxxxxx as its employee in the capacity of General
Manager of the Belgian branch office of Hermes Europe Railtel B.V. in Brussels
and in the capacity of Vice President and Chief Financial Officer of Hermes
Europe Railtel B.V.
The authority of the employee shall mainly consist of the daily management of
the branch office in Brussels.
In that capacity, Xx. Xxxxxx will report directly to the Managing Director of
Hermes and also the Finance Director Europe of SFMT.
The professional activities will mainly be performed in Brussels, at Xxxxxxxxxx
000, but parties hereby explicitly agree that the change of the place of
employment to another place located in Belgium cannot constitute a fundamental
change of the conditions of employment.
ARTICLE 2
This agreement is entered into for a limited period of time, starting on 3
January 1995 and ending 31 December 1996.
Parties will discuss a possible prolongation of this agreement at the latest on
1 July 1996.
Each party has the right to terminate this agreement on grounds of -- to the
discretion of the court -- compelling reasons, without notification or before
the end of the term, without prejudice to all possible damages.
ARTICLE 3
The total yearly gross salary is BEF 4.080.000 an amount in which the statutory
right to a single and double vacation allowance and a thirteenth month
allowance is included.
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After 18 months, i.e. 1 July 1996, the employee can be granted a bonus,
depending on the achieved results and to be assessed in a way to be determined
by the employer in its discretion.
This bonus may amount up to a maximum of 30% of the total gross salary received
by the employee during these first 18 months of his employment.
A representation allowance up to a maximum of BEF 13.000 per month is granted
to the employee, provided that this allowance will be accepted by the
governmental tax administration.
The employee will receive a meal coupon for each day of actual employment.
A company car will be placed at the employee's disposal, who is allowed to use
this car also for private purposes. All expenses in connection with the use of
this car will be for the employer's account.
ARTICLE 4
If possible, the existing non-statutory pension insurance will be assumed and
continued by the employer; if this is impossible, the employee will be paid the
equivalent in money, after the value thereof has been determined by both
parties in mutual consultation.
The employee and his relatives will become beneficiaries of the hospitalization
insurance which the employer will enter into to the benefit of its employees
and to all other group insurances which may be entered into in the future.
ARTICLE 5
The employee will be granted an option to buy shares SFMT-Hermes, as was
specified in the written proposal dated 6 December 1994. This option will be
the object of a separate agreement between the parties hereto.
ARTICLE 6
During the term of the agreement as well as after termination thereof, the
employee will refrain from disclosing any confidential information or document
of the company to any other person and from performing any act constituting
unfair competition.
ARTICLE 7
The employee is obliged to dedicate all his professional activities solely to
the company and shall not, neither in person nor through a middleman, hold any
position as employee or undertake any profitable activities without the
employer's prior written consent.
ARTICLE 8
The relationship between the employer and the employee, to the extent not
covered by the specific provisions of this agreement, are governed by the act
of 3 July 1978 regarding employment agreements.
Executed in twofold in ______________________________
on _________________________________
Each party hereby acknowledges receipt of one copy.
________________________________ ________________________________
The employee The employer
