Expand your global workforce in Switzerland

Your guide to the employment landscape, working customs and local labor laws in Switzerland

Capital

Bern

Currency

Swiss Franc (CHF)

Languages

German, French, Italian, Romansh

GDP per Capita

$103,245.72

Employer Tax

8.07% - 23.4%

Payroll Frequency

Monthly

Talent overview

Switzerland holds the name for one of the world’s most advanced and highly-developed free-market economies. The service sector, along with tourism, are the major contributors to the economic growth of the country. Switzerland holds the 18th rank for Nominal GDP.

Major economic hubs:

Zurich, Bern, Geneva, Basel, Grindelwald

Skills in demand:

Engineers, Skilled Technicians, Software Developers, and other IT professions, Mechanic and Welders

Top local universities in Switzerland

Eidgenössische Technische Hochschule Zürich – Swiss Federal Institute of Technology

RANKING

Local: 1

World : 52

École Polytechnique Fédérale de Lausanne (Federal Institute of Technology Lausanne)

RANKING

Local: 2

World : 146

University of Zurich

RANKING

Local: 3

World : 165

University of Geneva

RANKING

Local: 4

World : 184

University of Bern

RANKING

Local: 5

World : 225

Top Local Job Boards:

Experteer, Job.ch, Jobscout24

Number of LinkedIn users:

3,820,000

Multiplier Recruitment Partner:

iXceed

Where to find talent

Top Local Job Boards:

Top Local Job Boards

Number of LinkedIn users:

Number of LinkedIn users

Top Recruitment Agencies:

Salary Data

The table below mentions the salary data of some job titles with average salaries in Switzerland:

Job Title	Average Monthly Salary (CHF)	Average Monthly Salary (USD)
Sales Manager	18,200 CHF	21,201 USD
Information Technology Manager	18,100 CHF	21,085 USD
General Manager	17,900 CHF	20,852 USD
Business Development Manager	17,500 CHF	20,386 USD
Business Analyst	12,700 CHF	14,794 USD
Project Manager	12,900 CHF	15,027 USD
Developer	9,460 CHF	11,020 USD

Employ in Switzerland

Employing in Switzerland

When onboarding an individual from Switzerland, the employer needs to have knowledge of the employment laws, benefits, and deductions. This section will cover much of that.

Employee Contract

According to Swiss laws, employment contracts, written or not, are mandatory. The contract must mention all the details about the employer along with terms and conditions. The employment contract in Switzerland must be written in one of the four official languages in the country (German, French, Italian, Romansh).

Probation Period

The probationary period for employees ranges from 1 – 3 months.

Public and Provincial Holidays

Date	Holiday	Cantons
January 2	St. Berchtold’s Day	Aargau, Bern, Fribourg, Glarus, Jura, Lucerne, Obwalden, Schaffhausen, Thurgau, Vaud
January 6	Three Kings Day	Lucerne, Schwyz, Ticino, Uri
March 1	Republic Day	Neuchatel
March 19	St Joseph’s Day	Lucerne, Nidwalden, Solothurn, Schwyz, Ticino, Uri, Valais
April 1	Easter Monday	National except Neuchatel, Solothurn, Valais, Zug
April 4	Näfelser Fahrt	Glarus
April 15	Sechseläuten	Zurich
May 1	Labour Day	Basel-Stadt, Zurich
May 1	May day	Aargau, Basel-Land, Jura, Neuchatel, Schaffhausen, Solothurn, Thurgau, Ticino
May 19	Whitsun	Bern
May 20	Whit Monday	National except Neuchatel, Solothurn, Valais, Zug
May 30	Corpus Christi	Aargau, Lucerne, Uri, Schwyz, Obwalden, Nidwalden, Zug, Fribourg, Solothurn, Appenzell Innerrhoden, Graubünden, Ticino, Valais, Jura
June 23	Juran Independence Day	Jura
June 24	Solemnity Burgdorf	Burgdorf (Bern)
June 28 – 30	Braderie	Biel / Bienne (Bern)
June 29	Saint Peter and Saint Paul’s day	Graubünden, Ticino
August 15	Assumption Day	Aargau, Appenzell Innerrhoden, Fribourg, Jura, Lucerne, Nidwalden, Obwalden, St. Gallen, Solothurn, Schwyz, Ticino, Uri, Valais, Zug
September 5	Genfer Bettag	Geneva
September 9	Knabenschiessen	Zurich
September 15	Swiss Federal Fast	Aargau, Appenzell Ausserrhoden, Appenzell Innerrhoden, Basel- Land, Fribourg, Glarus, Graubünden, Jura, Lucerne, Neuchatel, Nidwalden, Obwalden, St. Gallen, Schaffhausen, Solothurn, Schwyz, Thurgau, Ticino, Uri, Vaud, Valais, Zug
September 16	Bettagsmontag	Geneva, Neuchatel, Vaud
September 22	St Mauritius’ Day	Appenzell Innerrhoden
September 23	Thuner Ausschiesset	Thun (Bern)
September 25	Saint Nicholas of Flüe Day	Obwalden
November 1	All Saints’ Day	Lucerne, Uri, Schwyz, Obwalden, Nidwalden, Glarus, Zug, Fribourg, Solothurn, Appenzell Innerrhoden, St. Gallen, Aargau, Valais
December 8	Immaculate Conception	Aargau, Appenzell Innerrhoden, Fribourg, Graubünden, Nidwalden, Obwalden, Solothurn, Schwyz, Ticino, Uri, Vaud, Valais, Zug
December 24	Christmas Eve	Glarus
December 26	St Stephen’s Day	National except Geneva, Jura, Neuchatel, Solothurn, Valais, Vaud, Zug
December 31	New Year’s Eve	Glarus
December 31	Refounding of the Republic of Geneva	Geneva

Employee Leaves

Type of Leave	Time Period	Mandatory
Annual/Earned Leave	20 days	Yes
Sick Leave	21 days	Yes
Maternity Leave	14 weeks	Yes

Leave Compliance

Payroll in Switzerland

Payroll cycle

The payroll cycle is Monthly in Switzerland.

Minimum wage

The minimum wage varies per canton(district) and ranges from 19.00 CHF to 24 CHF.

Overtime pay

The overtime must be compensated at a premium of 25% and must not exceed 2 hours a day.

How taxes work

Employer Payroll Tax

Category	Fund	Capital
Old age, survivors’ and disability insurance	5.30%	No Cap
Unemployment Insurance	1.10%	148,200
Supplementary Unemployment Insurance	0.50%	Above 148,200
Family Compensation Fund	1% – 3%	No Cap
Occupational accident insurance	0.17% – 13.5%	148,200
Occupational pension scheme	Depending on the pension plan, employer-specific	No Cap

Employee Payroll Tax

Category	Fund	Capital
Old age, survivors’ and disability insurance	5.30%	No Cap
Unemployment Insurance	1.10%	148,200
Supplementary Unemployment Insurance	0.50%	Above 148,200
Non-occupational accident insurance	1% – 4%	148,200
Occupational pension scheme	Depending on the pension plan, employer-specific	No Cap
Medical insurance	Depending on the coverage, private insurance	No Cap

Employee Income Tax

For Single Direct Tax Payers

Annual Taxable Income	Tax on Minimum Amount (CHF)	Tax on excess (%)
0 to 14,800 CHF	0	0
14,800 to 32,200 CHF	0	0.77
32,200 to 42,200 CHF	133.95	0.88
42,200 to 56,200 CHF	221.95	2.64
56,200 to 73,900 CHF	591.55	2.97
73,900 to 79,600 CHF	1,117.20	5.94
79,600 to 105,500 CHF	1,455.75	6.60
105,500 to 137,200 CHF	3,165.15	8.80
137,200 to 179,400 CHF	5,954.75	11.00
179,400 to 769,600 CHF	10,596.75	13.20
Above 769,600	88,515.55	11.50

For Married/Single with Minor Children Direct Tax

Annual Taxable Income	Tax on Minimum Amount (CHF)	Tax on excess (%)
0 to 28,800 CHF	0	0
28,800 to 51,800 CHF	0	1%
51,800 to 59,400 CHF	230	2%
59,400 to 76,700 CHF	382	3%
76,700 to 92,000 CHF	901	4%
92,000 to 105,400 CHF	1,513	5%
105,400 to 116,900 CHF	2,183	6%
116,900 to 126,500 CHF	2,873	7%
126,500 to 134,200 CHF	3,545	8%
134,200 to 139,900 CHF	4,161	9%
139,900 to 143,800 CHF	4,674	10%
143,800 to 145,800 CHF	5,064	11%
145,800 to 147,700 CHF	5,284	12%
147,700 to 912,600 CHF	5,512	13%
912,600 CHF and Above	104,949	11.5%

For Single Zurich Cantonal tax

Annual Taxable Income	Tax on Minimum Amount (CHF)	Tax on excess (%)
0 to 6,700 CHF	0	0
6,700 to 11,400 CHF	0	2%
11,400 to 16,100 CHF	94	3%
16,100 to 23,700 CHF	235	4%
23,700 to 33,000 CHF	539	5%
33,000 to 43,700 CHF	1,004	6%
43,700 to 56,100 CHF	1,646	7%
56,100 to 73,000 CHF	2,514	8%
73,000 to 105,500 CHF	3,866	9%
105,500 to 137,700 CHF	6,791	10%
137,700 to 188,700 CHF	10,011	11%
188,700 to 254,900 CHF	15,621	12%
Above 254,900 CHF	23,565	13%

For Married/Single with Minor Children Zurich Cantonal tax

Annual Taxable Income	Tax on Minimum Amount (CHF)	Tax on excess (%)
0 to 13,500 CHF	0	0
13,500 to 19,600 CHF	0	2%
19,600 to 27,300 CHF	122	3%
27,300 to 36,700 CHF	353	4%
36,700 to 47,400 CHF	729	5%
47,400 to 61,300 CHF	1,264	6%
61,300 to 92,100 CHF	2,098	7%
92,100 to 122,900 CHF	4,254	8%
122,900 to 169,300 CHF	6,718	9%
169,300 to 224,700 CHF	10,984	10%
224,700 to 284,800 CHF	16,434	11%
284,800 to 354,100 CHF	23,045	12%
Above 354,100 CHF	31,361	13%

Geneva Cantonal Tax

Annual Taxable Income		Tax Rate (%)
0 to 17,697 CHF		0
17,697 to 21,322 CHF		8%
21,322 to 23,454 CHF		9%
23,454 to 25,586 CHF		10%
25,586 to 27,719 CHF		11%
27,719 to 33,049 CHF		12%
33,049 to 37,313 CHF		13%
37,313 to 41,578 CHF		14%
441,578 to 45,842 CHF		14.5%
45,842 to 73,561 CHF		15.%
73,561 to 120,470 CHF		15.5%
120,470 to 162,047 CHF		16%
162,047 to 183,370 CHF		16.5%
183,370 to 262,261 CHF		17%
263,018 to 279,319 CHF		17.5%
280,125 to 393,392 CHF		18%
394,526 to 616,206 CHF		18.5%
More than 616,206 CHF		19%

VAT

Switzerland levies a VAT ranging between 2.5% and 7.7%

Bonus

13th Month Pay

In Switzerland, the 13th month’s pay is not mandatory however the employers may give incentive to their employees that is typically paid at the end of the year.

Employee Benefits

Swiss employees are entitled to benefits that their employers offer. Some of these are the following:

Social Security
Pension
Accident Insurance
Health Insurance

Employee offboarding

Termination process

Switzerland practices the principle of freedom when choosing to terminate an employment contract. This means either party can terminate the contract – either on the grounds of statutory or notice period.

Notice period

The notice period for termination for probationary employees ranges from 1 – 7 days and 1 – 3 months for regular employees.

Severance pay

There is no statutory provision for severance pay in Switzerland. However, an exception is specified for employees over 50 years old who have worked for the same company for 20 years. According to the Code of Obligations, they are entitled to 2 months worth of salary as severance pay.

Visa and
immigration

There are two ways in which foreign workers may be allowed to work in Switzerland:

If the foreign employee belongs to the European Union (EU) and/or the European Free Trade Association (EFTA), they are allowed to enter the country and seek for employment for 3 months which can be extended to 6 months if they can prove that they are actively looking for jobs within the country by registering at employment centers. Once they find a job, they can apply for a residence permit to stay in Switzerland.
If the foreign employee does not come from EU/EFTA countries, they must first have a job offer from a Swiss employee. The employer applies for their residence visa while the foreign employee has to apply for a work visa.

Your employment toolkit for Switzerland

Employment Act

Employer of record

Sole Proprietorship

Payroll

Benefits & Compensation

Starting business

Subsidiaries

Background Checks

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150+ countries

Expand globally and hire talent in 150+ countries without having to set up an entity. Use Multiplier's Employer of Record to manage the complete employee experience while having the flexibility to enter new markets.

Expand your global workforce in Switzerland

Talent overview

Engineers, Skilled Technicians, Software Developers, and other IT professions, Mechanic and Welders

Top local universities in Switzerland

Eidgenössische Technische Hochschule Zürich – Swiss Federal Institute of Technology

RANKING

École Polytechnique Fédérale de Lausanne (Federal Institute of Technology Lausanne)

RANKING

University of Zurich

RANKING

University of Geneva

RANKING

University of Bern

RANKING

Top Local Job Boards:

Number of LinkedIn users:

Multiplier Recruitment Partner:

Where to find talent

Salary Data

Employ in Switzerland

Employing in Switzerland

Employee Contract

Probation Period

Public and Provincial Holidays

Employee Leaves

Payroll in Switzerland

The payroll cycle is Monthly in Switzerland.

The minimum wage varies per canton(district) and ranges from 19.00 CHF to 24 CHF.

The overtime must be compensated at a premium of 25% and must not exceed 2 hours a day.

How taxes work

Employer Payroll Tax

Employee Payroll Tax

Employee Income Tax

VAT

Bonus

13th Month Pay

Employee Benefits

Employee offboarding

Visa and immigration

Your employment toolkit for Switzerland

Employment Act

Employer of record

Sole Proprietorship

Payroll

Benefits & Compensation

Starting business

Subsidiaries

Background Checks

Background Checks

Expand into150+ countries

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Visa and
immigration

Expand into
150+ countries