Switzerland

• Each canton in Switzerland celebrates its own public holidays
• All cantons celebrate New Year’s Day, Ascension Day, National Day, and Christmas Day.

Working Hours

Employees can work up to 45 hours per week, though 42 is the standard. There may be some variation in different industries.

Minimum Wage

There is no statutory minimum wage in Switzerland.

Employee Tax

Annual income	Tax rate
Up to CHF 14,800	0%
CHF 14,801 - 32,200	0.77%
CHF 32,201 - 42,200	0.88% + CHF 133.95
CHF 42,201 - 56,200	2.64% + CHF 221.95
CHF 56,201 - 73,900	2.97% + CHF 591.55
CHF 73,901 - 79,600	5.94% + CHF 1,117.20
CHF 79,601 - 105,500	6.6% + CHF 1,455.75
CHF 105,501 - 137,200	8.8% + CHF 3,165.15
CHF 137,201 - 179,400	11% + CHF 5,954.75
CHF 179,400 - 769,600	13.2% + CHF 10,596.75
More than CHF 769,600	11.5% + 88,515.55
Old age, survivors’ and disability insurance	5.3%
Unemployment insurance	1.1%
Non-occupational accident insurance	1% - 4%

Bonuses

A 13th salary is customarily paid to all employees in December of each year.

Employment contracts in Switzerland can be written or oral, though written contracts are preferred. Special regulations, such as prohibition of competition or overtime rules, must be set out in writing.

Both indefinite and fixed-term contracts are permitted in Switzerland. However, a fixed term contract cannot be terminated early with severance instead of notice, as is the case in other countries, unless the employee agrees.

Annual Leave

Minimum of 20 days' paid holiday per year, or 25 days' holiday for those under the age of 20.

Sick Leave

Employees in Switzerland are entitled to at least three weeks' paid leave during the first year of service. This may be extended for subsequent years. A medical certificate must be provided after three days.

The maximum paid sick leave duration is 730 days within 900 consecutive days.

Parental Leave

• Maternity leave: at least 14 weeks' leave, paid at 80% of the mother's wage with a maximum daily rate of CHF 220 (as of 2024).
• Paternity leave: none.

Termination Process

Employers in Switzerland can terminate a contract provided they give notice in line with legal requirements.

While Swiss employers aren’t required to give a reason for termination, employees are entitled to compensation in cases of abusive termination.

Severance Pay

Employees are only entitled to severance pay if they are at least 50 years old, and have been employed by the same employer for at least 20 years.

The amount of severance pay may be fixed by written agreement or collective bargaining agreement, but must be no less than two months' wages.

Under a Mauve Group Employer of Record solution, clients and workers can reap the benefits of Mauve’s Global Master Insurance Programme – a market-leading unified corporate insurance programme that connects all Mauve entities to its two preferred providers.

The insurance provides coverage in overseas locations through a combination of the master policy and its linked local policies, where required by law in certain jurisdictions.  The policies include:

• Employer’s Liability and Public Liability - £10,000,000 combined limit.
• Professional Indemnity - £5,000,000 limit.
• Worker’s Compensation – Limit is dependent on location of work.

For specific information about statutory and recommended insurances in your chosen country, get in touch with Mauve.