Overview

Capital
Bern
Currency
Swiss Franc (CHF)
Date Format
dd/mm/yyyy

Taxes

Employer

Employer Payroll Tax

4.35%
Pension Old age and survivors (OASI)
0.7%
Disability Insurance (DI)
0.25%
Income Compensation (IC)
1.1%
Unemployment Insurance
0.5% (income above 148,200 Swiss francs)
Supplemental Unemployment Insurance for salary over SFr 12,350 per month
2.45%
Family Contribution
9.35% Total Employment Cost
Employee

Employee Payroll Taxes

4.35%
Old age and survivors
0.7%
Disability Insurance
0.25%
Income Compensation
1.1%
Unemployment insurance
0.5% (income above 148,200 Swiss francs)
Supplemental Unemployment Insurance for salary over SFr 12,350 per month
6.9% Total Employee Cost

Employee Income Tax

0
Less than 6,700 (Single Taxpayer - Zurich Cantonal Tax)
2%
6,700-11,400
3%
11,400-16,100 + 94 CHF
4%
16,100-23,700 + 235 CHF
5%
23,700-33,000 + 539 CHF
6%
33,000-43,700 + 1,004 CHF
7%
43,700-56,100 + 1,646 CHF
8%
56,100-73,000 + 2,514 CHF
9%
73,000-105,500 + 3,866 CHF
10%
105,500-137,700 + 6,791 CHF
11%
137,700-188,700 + 10,011 CHF
12%
188,700-254,900 +15,621 CHF
13%
More than 254,900 + 23,565 CHF

Employee Income Tax

0
Less than 13,500 (Married taxpayers)
2%
13,500-19,600
3%
19,600-27,300 + 122 CHF
4%
27,300-36,700 + 353 CHF
5%
36,700-47,400 + 729 CHF
6%
47,400-61,300 + 1,264 CHF
7%
61,300-92,100 + 2,098 CHF
8%
92,100-122,900 + 4,254 CHF
9%
122,900-169,300 + 6,718 CHF
10%
169,300-224,700 + 10,894 CHF
11%
169,300-224,700 +10,894 CHF
12%
284,800-354,100 +23,045 CHF
13%
More than 354,100 + 31,361 CHF
Employer Taxes
3 HIGHEST
3 LOWEST
Brazil
China
Slovakia
Zurich
South Africa
Georgia
Macedonia
82.39%
41.12%
37.2%
9.35%
2%
2%
0%
Employee taxes
3 HIGHEST
3 LOWEST
Romania
Macedonia
Netherlands
Zurich
Georgia
Belarus
Ukraine
45%
28%
27.65%
6.9%
2%
1%
0%

Minimum Wage

General

No national minimum wage. However, minimum wages can be established by way of collective bargaining agreements.

Payroll

Payroll Cycle

Employees are paid monthly, typically by the 25th.

Working Hours

General

Contractually agreed working hours are 40 or 42 hours per week. Depending on the field of work, the maximum number of working hours a week is either 45 or 50 hours.

Overtime

Overtime work is compensated with time off in lieu (if agreed between the parties) or 125% of the salary. The parties can contractually agree that overtime hours shall be compensated by the salary.

Leave

Paid Time Off

Employees over the age of 20 receive 4 weeks of paid holiday. Under the age of 20, they receive 5 weeks of paid holiday.

Vacation days
Public holidays
3 HIGHEST
3 LOWEST
Brazil
Peru
Albania
Zurich
Michigan
China
Federal
30
13
43
30
12
42
28
14
42
20
8
28
2
11
13
5
7
12
10
10
Public Holidays

12 public holidays. Holidays vary depending on the canton.

Sick Days

Employees are entitled to continuous salary payments for a certain period of time depending on their years of service (three weeks during the first year of service). Alternatively, employers may take out a daily benefits insurance scheme, under which employees usually receive 80% of their last salary for a maximum of 720 days.

Maternity Leave

Mothers (both full-time and part-time employees) are paid 80% of their wages in the form of a daily allowance for 98 days (up to a maximum cap of SFr 196 per day).

Maternity allowance is given to employees who have contributed to the OASI for at least 9 months preceding the delivery and have worked for at least five months.

PAID MATERNITY LEAVE (DAYS)
410
365
365
98
45
30
0
Bulgaria
Serbia
Albania
Zurich
United Arab Emirates
Tunisia
Federal
3 HIGHEST
3 LOWEST
Paternity Leave

Fathers are entitled to 14 days of paternity leave after the birth of a child. Compensation amounts to 80 percent of average earned income prior to the birth of the child and capped at 196 francs per day.

Termination

Termination Process

Termination in Switzerland has the principle of freedom of dismissal, making it possible to terminate a contract of employment without there being an important reason, provided that such termination is not discriminatory or abusive. The reason for the dismissal must be explained when the other party requests it. Even if the dismissal is valid through oral termination, it is advisable to do so in writing for evidentiary purposes.

Notice Period

Termination is considered legally valid from the moment the recipient receives it.

The statutory notice periods are as follows:

  • 7 days during the trial period
  • 1 month during the first year of service
  • 2 months during the second to the ninth year of service
  • 3 months from the tenth year of service

Alternatively, the parties can contractually agree on a notice period.

A fixed-term employment contract ends on the expiry of the agreed period.

VAT

General

7.7% Standard VAT

Version History

January 1, 2021
Social security increased by .25%.
Fathers are now entitled to 14 days of paternity leave after the birth of a child.

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