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WORKING IN SWITZERLAND

Why does Zurich have the highest wages in Switzerland?

Various studies show that when it comes to salaries, Switzerland’s largest city has an edge over other regions. What is the reason for that?

Zurich
Zurich boasts Switzerland's highest salaries. Image by Hebi B. from Pixabay

Switzerland’s wages are famously high overall, but if you analyse them closer, you will see that, salary-wise, some regions fare better than others.

Logically, earnings are higher in large cities than in small towns and rural areas, as that is where most economic opportunities are.

However, income disparities exist even between the urban centres.

This has been shown in various surveys, including the latest one, released this month by HES-SO, the umbrella association of Swiss universities of applied sciences (UAS). 

Unlike general universities, UAS doesn’t offer Master or Doctorate degrees, but rather Bachelor’s programmes linked with a specific professional field. They are often attended by people who had completed their vocational training and wish to further their education.

What did this survey find?

What emerged from this study is that graduates of universities of applied sciences earn significantly more in 2023 that they did two years ago, when the last study was carried out.

Their median annual wage currently amounts to 104,000 francs, compared to 100,000 in 2021.

However, the results also indicate that there are regional disparities, with wages being higher in German than in French-speaking Switzerland.  

Among the cantons, Zurich is in the lead, with a median income of just over 111,000 francs per year.

This is not exactly a new piece of information: statistics show that salaries in Zurich are 10.8 percent higher than in Geneva, and 5.4 percent higher than in Basel.

How can this discrepancy be explained?

The Local put this question to Fabian Büsser, director at Michael Page recruitment agency.

He said that it is a matter of what kind of jobs are most in demand and their geographical location.

“Some of the highest paying jobs are in finance, insurance, IT, and engineering,” he pointed out, most of which are located in the German-speaking part of Switzerland.

“This region accounts for nearly 90 percent of advertised jobs in these sectors and is home to the largest banks, insurers and technology companies, as well as other firms requiring engineers, such as real estate and property,” Büsser said.

According to the latest Michael Page Swiss Job Index, while 89 percent of these jobs can be found in the German-speaking region, only 10 percent are in the French-speaking area (and even fewer — 1 percent — in Ticino).

There is, however, some positive news for the Swiss-French part

The HES-SO survey found that while this region trails behind the German-speaking part, the wages there have increased significantly.

The median annual salary in the Geneva area is 92,300 francs, which corresponds to an increase of 8.4 percent compared to two years earlier.
This is particularly the case in the IT branch, with a median salary of 112,000 francs, followed by finance and insurance, with 106,000 francs.

How do these wages compare to those who graduate from ‘regular’ universities?

Switzerland has several kinds of higher education establishments: cantonal universities and two federal polytechnic institutes: one in Zurich (ETH) and the other in Lausanne (EPFL).

They are considered the ‘highest’ educational institutions.

Graduates of these establishments can earn as much as 10,170 francs a month, which amounts to 122,000 a year.

READ ALSO: How much can you earn with a Swiss university degree?

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WORKING IN SWITZERLAND

What are your rights to time off in Switzerland if your child is ill?

Certain countries are more generous than others when it comes to allowing workers to take time off if their child is ill. What does Switzerland allow?

What are your rights to time off in Switzerland if your child is ill?

Under Swiss law, employees working in Switzerland with care responsibilities are entitled – under certain conditions – to take time off work and fulfil their duties towards their children or relatives.

According to the Swiss Code of Obligations the general rule is that a parent is entitled to up to three days of paid leave per incident to look after their sick child and up to 10 paid days each year in total.

What do I do if my child falls ill?

It is important to bear in mind that even with the Swiss law on your side, you will need to follow a few simple steps before taking time off work to care for your sick child.

In principle, taking time off to care for a sick child is no different from taking time off when you are ill yourself.

In either case, you must notify your employer as soon as possible. If you present a doctor’s certificate to your employer, they must grant you up to three days’ paid leave to look after your ill child.

Because of Switzerland’s rather formal working culture, you will usually need to give your boss a ring to let them know your child is ill, but this can vary from workplace to workplace and some companies may be okay with an e-mail instead.

In some workplaces, employees may be allowed to work from home, so if your child’s illness doesn’t prevent you from working altogether, you can ask if this is an option for you (but don’t strain yourself if a lot of help is required).

However, while you shouldn’t be put off from taking a leave when you need it, for minor sicknesses – such as the cold or a flu – most companies will expect to be notified every morning whether you will be working that day.

If you are absent for more than three days due to your child’s illness, you must present additional doctor’s certificate stating the date of the examination (after the initial three days) but not the diagnosis. The latter is subject to strict medical confidentiality in Switzerland.

READ MORE: What to do if you need a sick day in Switzerland

Do I run the risk of losing wages?

If you are employed and unable to perform work due to your child’s illness, then your employer will be required to pay your salary for a period of time based on the duration of your employment and whether your company has a sickness benefit insurance for employees – just as they would if you yourself were to fall ill.

Swiss employment law only mandates that employers offer basic paid sick leave: generally, three weeks in your first year in the job, rising with each additional year to around four months maximum, depending on the canton.

However, many Swiss employers take out insurance that covers a more generous sick pay deal. Individuals can also take out such insurance for themselves, including if they’re freelancers or unemployed.

But while most employers in Switzerland have this insurance, some don’t. If you happen to work for the latter kind, you will continue to get your salary but for a very limited period: three weeks in the first year of employment, with increases for every additional year, up to a maximum of four months.

This period does, however, vary depending on the canton.

Could I be fired?

Employees are protected against dismissal during their entitlement to care leave for a maximum of six months.

READ MORE: Reader question: Does my Swiss employer have a right to fire me when I’m sick?

What happens if my child falls ill several times in a row?

If a child is sick several times in a row or if several children need to be cared for, one parent can stay at home for up to three working days per case of illness and per child.

Parents are required to organise care for their child during this time if the illness lasts longer or, alternatively, take vacation days until their child recovers.

What happens if my child has a chronic illness or is severely ill?

Parents whose child has a serious health impairment and needs more care are entitled to care allowance and paid leave for a maximum of 14 weeks if certain conditions are met.

To classify as a serious illness, the child’s health must have deteriorated dramatically — in other words, a severe physical or mental illness, which doesn’t include broken legs or arms for example.

The care leave must be taken within a period of 18 months after receipt of the first daily allowance and can last a maximum of 14 weeks. Employees can take the care leave either all at once or on a weekly or daily basis.

The daily allowance amounts to 80 percent of the average gross income before the start of the care leave, but is capped at a maximum of 196 francs per day.

READ MORE: How sick leave pay in Switzerland compares to other countries in Europe

Care leave is also granted if one parent works or if one or both parents work part-time. If both parents are employed, each parent is entitled to seven weeks of childcare leave.

However, you can also agree on a different distribution of your care leave. It is also possible for the parents to take their share of the leave at the same time. The employer does not have to approve the change in distribution, but must be informed about the childcare leave arrangement.

Two sum up, these are, per government, general rules:

“A worker may be absent to look after a sick child on the condition that they provide the employer with a doctor’s certificate. The period during which the worker is unable to work may be up to three days, depending on the age and health of the sick child. Some circumstances however, require a longer absence. In that case, the salary is due for a limited period, according to the same rules as those applicable in the case of a worker not covered by insurance (see above). However, parents must try to find alternatives, barring exceptional cases.”  

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