Minimum wage and average salary in Switzerland

If you’re trying to find a job or secure a work visa in Switzerland, you probably want to know how much you can expect to earn. After all, this alpine nation in the heart of Europe is famous for good salaries to offset its higher cost of living. However, before you start shopping too eagerly, it’s important to understand the lay of the land when it comes to all things pay-related in Switzerland.

From average salaries to the minimum wages, it’s always a good idea to do your research ahead of time. With that in mind, here’s our guide to everything you need to know about the minimum wage in Switzerland and much more, including:

The minimum wage in Switzerland

You might be surprised to learn that there is no nationwide minimum wage in Switzerland. In 2014, Swiss voters rejected a measure to introduce what would have been the highest minimum wage in the world – CHF 22 per hour or CHF 4,000 a month. Just over 75% of voters were against the legislation and it remains a hot topic in the country to this day. 

Employers generally set wages for Swiss workers and the OECD (Organization for Economic Co-operation and Development) has consistently found that Switzerland has one of the highest annual wages in the world at around CHF 60,000 per year. However, the alliance of supporters for a national standard says many workers are earning much less. For example, 17,000 full-time workers in the city of Zurich earned around CHF 4,000 a month before deductions in 2020. The alliance, which includes many Swiss trade unions and employers associations, says the worst-paid professions include sales and courier services. It also disproportionately impacts women in the workforce, accounting for around two-thirds of those affected. 

Minimum wage variations in Switzerland

Despite the lack of nationwide support, several of the 26 Swiss cantons have passed their own minimum wage requirements. Voters in Geneva approved the world’s highest minimum wage in 2020. The hourly rate of CHF 23.14 (from 2021) provides a monthly salary of CHF 4,000. However, Geneva is considered one of the most expensive places to live in Switzerland. The new wage requirement takes precedence over provisions in individual contracts or collective agreements that provide for a lower wage. Apprenticeships, internships, employment contracts with persons under 18 years of age, and the agricultural sector are exempt. The amendment also provides that the wage adjusts annually, based on the cost of living.

There are initiatives in Winterthur, Zurich, and Kloten to introduce a local minimum wage of CHF 23.  Meanwhile, a minimum wage of CHF 19.75 to CHF 20.25 is being gradually introduced in the canton of Ticino from January 2021. The minimum wage in Neuchâtel is CHF 20.08 for 2022, and CHF 20.28 in Jura.

Other variations to the Swiss minimum wage are the result of various labor law agreements at national, regional, cantonal, industry sector, and company levels. For example, domestic workers in Switzerland are paid a minimum wage ranging from CHF 19.20 to CHF 23.20, depending on applicable skills and certifications. The bargaining agreements (Collective Labor Agreement (CLA) or Gesamtarbeitsvertrag (GAV)) can also regulate everything from employment termination periods to holiday allowance. One of the most well-known agreements is the Collective Labor Agreement for the Hotel and Restaurant Industry (L-GAV). This is binding for all employers and employees in the sector.

Minimum wage calculator in Switzerland

If you’re looking for a job you might want to check what you can potentially earn. The State Secretariat for Economic Affairs (SECO) provides an online national wage calculator to give an idea of typical salary ranges in Switzerland for various sectors. It then tells you a likely wage based on your individual profile (age, years of experience, training and education, position in the company, profession, etc.). 

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Finding jobs in Switzerland

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What to do if you’re not being paid the minimum wage in Switzerland

The rules and penalties for labor disputes vary across the Swiss cantons. For instance, in Geneva, employers who do not pay the minimum CHF 23 per hour wage face administrative fines of CHF 30,000. They may face stiffer penalties for repeated or very severe violations. If you’re not being paid the minimum wage in Geneva you can report the offense to the Direction générale de l’office cantonal de l’inspection et des relations du travail (French), also known as OCIRT. For more information on employment-related issues, visit ch.ch.

Alternatively, workers who are owed a minimum wage salary in Switzerland based on a collective bargaining agreement should contact their trade union or employers association. In a collective labor dispute involving several employees, cantonal conciliation boards handle the case. Federal employees should contact the responsible administrative office with a labor complaint.

Overall, there isn’t a clear path to reporting unpaid wages in Switzerland. Labor disputes are also complicated by the fact that Switzerland does not have any legal protections for whistleblowers. 

Average salaries in Switzerland

Despite not having a national minimum wage, workers in Switzerland are among the highest-paid in the world. In 2020, the OECD reported that the average annual salary in Switzerland was around CHF 60,600. The average wage has remained relatively steady over the past decade. However, salary is not the only thing to consider when getting a job in Switzerland. There are many other workplace benefits you should factor in.

All employees in Switzerland are entitled to at least four weeks of holiday per year. Workers aged 20 and younger are entitled to five weeks. Other absences from work (e.g., accident, illness, or bereavement) are up to employers’ discretion. Many employers take out insurance to pay their employees 80% of their wages during prolonged absences. Employers pay for at least half of the amount of the premiums. All employed mothers (full and part-time) receive 14 weeks of paid maternity leave. As of 1 January 2021, employed fathers can also receive paternity leave. 

Average salary in Switzerland by sector

What you can expect to earn depends to a large extent on your sector. The Federal Statistical Office compiled the following average earnings according to sector in 2018:Here’s a simplified look at what you can expect to earn in various economic sectors in Switzerland. This data was compiled by the Swiss (FSO) in 2018.

Average salary in Switzerland by job function

The table below shows some additional estimated average salaries for different jobs in Switzerland. These gross salary estimates from Lohncomputer are based on full-time contracts. However, remember that these average salaries will vary depending on your location. Typically, you’ll earn more in larger cities like Zurich and Basel than you would in more rural areas.

Salary checker in Switzerland

There are several ways to compare your salary in Switzerland. The State Secretariat for Economic Affairs (SECO) has an online national wage calculator that provides a view of typical salary ranges based on your sector, age, experience, and education level. You can also compare your salary on sites such as Jobs.ch or Glassdoor.   

The gender pay gap in Switzerland

Switzerland is behind many other European countries when it comes to women’s rights and gender equality. Swiss women famously didn’t get the vote at the federal level until 1971. Although, policy changes are slowly making progress on this issue. Switzerland was 10th on the 2021 Global Gender Gap Report by the World Economic Forum – up eight spots from 2020. 

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Women’s rights in Switzerland

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The gender pay gap is particularly wide in Switzerland compared to other western European countries. In Italy, women earn 5% less than men. Meanwhile, in Switzerland, women’s paychecks are 19% lower than men’s. A report by the Federal Office for Gender Equality reveals that 45.4% of this gap cannot be explained by factors such as professional status, years of service, or qualifications. In Switzerland’s private sector, the average gender pay gap is 19.6%. Women in the public sector earn 18.1% less than men. The largest wage gap between men and women is found in eastern Switzerland (11.5%), while the smallest divide is in the Zurich region (7.6%).

Until recently, Switzerland did not have any legal measures in place to confront the gender pay gap. However, on 1 July 2020, a new rule under the Swiss Federal Act on Gender Equality (GEA) came into force. Now, companies employing 100 or more employees (full or part-time) must conduct a so-called internal analysis on wage equality. If the analysis reveals an unexplained wage difference exceeding the threshold of 5%, the analysis has to be repeated after four years. However, this new legislation will expire automatically by 1 July 2032.

Salaries and wages for expats in Switzerland

Switzerland has experienced an immigration boom over the past 20 years. Of the 8.7 million people living in Switzerland in 2020, about 25.5% were foreign nationals. More than two-thirds were from other European countries. Foreign nationals also account for 32.4% of the workforce.

However, that doesn’t mean finding a job as a foreigner is easy even if you’ve secured a Swiss work visa or permit. The National Center of Competence in Research found that citizens with foreign backgrounds must submit 30% more applications than native Swiss candidates in order to be invited to a job interview. Furthermore, the rate of unemployment for foreign nationals is around two times higher than for Swiss nationals.

If you are searching for a well-paid job in Switzerland, you might want to look to the main driver of the Swiss economy – the services sector. The country also has one of the highest concentrations of Fortune 500 companies in the world.

What to do if your salary is too low in Switzerland

If you feel that you are being discriminated against at work based on your gender, race, or disability, you can take legal action against your employer in a Swiss court.

The Swiss Gender Equality Act requires companies found guilty of gender-based pay discrimination to repay the wage difference. If you think you are being paid unfairly because of your gender, the Federal Office for Gender Equality (FOGE) advises you to first try to find a resolution with your employer before taking the matter to court. Your company might even have a designated person to oversee gender equality in the workplace.

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Labor laws in Switzerland

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If an agreement cannot be reached, you should contact an equal opportunities office, advice center, staff association, or your trade union. Each canton has a conciliation authority concerned with gender equality at work. Legal proceedings on the canton level are free of charge. However, you will have to pay lawyer’s fees. You can not be terminated from your employment as retaliation for your discrimination claim during this process or six months after conciliation or court proceedings.

Useful resources

• Swiss government website on employment
• Federal Office for Gender Equality
• Federal work and income statistics