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Employment, wages and housing: How immigrants trail the Swiss in these crucial categories

Many foreigners who come to Switzerland do so for better economic opportunities. But as a new study reveals, more often than not they are worse off than their Swiss counterparts.

Employment, wages and housing: How immigrants trail the Swiss in these crucial categories
Immigrants tend to live in cities in more cramped conditions than the Swiss. Photo: PATRICK KOVARIK / AFP

To find out how well integrated foreign nationals are in Switzerland, the Federal Statistical Office (FSO) examined the differences in living conditions and equal opportunities between immigrants and Swiss citizens for the year 2019.

The FSO studied 11 main criteria and several sub-categories, and found that foreigners lag behind the Swiss across all the indicators.

However, the government said it felt migration was not the only explanatory factor.

The FSO wrote “under no circumstances can migration status be considered as the only explanatory factor for the differences found between these groups. Other variables such as age and education level may also explain these differences”, of the findings released on Tuesday.

The studied categories include social assistance and poverty, healthcare, education and training, and politics.

However, we will focus on three specific categories —housing, employment and income — as they are the best general indicators of an individual’s quality of life.

Employment

“The labour market is a fundamental driver of integration. Access to a job generally means that people are able to cover their basic needs independently”, FSO said.

Here, as in the other categories, the FSO distinguished between the first and second generation of immigrants — with the latter generally considered to be more integrated than the former.

These are some of the employment-related findings:

First generation of immigrants “is significantly more represented” among unskilled workers, while those from the second or subsequent generations are over-represented in administrative jobs. “With regard to service and sales workers, the rates are similar for both first and second-generation immigrants and higher than in the population with no migration background”.

  • In 2019, the overall unemployment rate in Switzerland was 4 percent. Among the Swiss it was just below 3 percent, but for foreigners it reached 7 percent.
  • 19 percent of foreigners with university degrees worked in a job that was below their education level, while only 11 percent of the Swiss did so.

Wages

FSO defines “low wages” as those which, calculated on the basis of a 40-hour week, are less than two-thirds of the median gross earnings.

“Although the share of low wages varies depending on occupation, differences can also be seen when the population is broken down by migration status… The population with a migration background from the first generation shows a higher percentage of low wages”, FSO observed.

It found that 21 percent of immigrants were employed full-time in low-income jobs, versus 13 percent of Swiss citizens.

READ MORE: Salaries in Switzerland: In which sectors have wages increased the most?

Housing

“In terms of housing conditions, the population with a migration background also appears to be disadvantaged compared with the native population”, FSO noted.

Immigrants are more likely to live in cities, where dwellings are generally smaller, which means there is less living surface available for each occupant.

In single-person households, immigrants have, on average, 70 square metres of living space at their disposal, while the Swiss have 84.

When two or more occupants are in the same apartment, foreigners live in more cramped conditions than the Swiss: 32 square metres per person versus 45.

As far as rent is concerned, “households comprised uniquely of persons with a migration background pay higher rent per square metre than those without a migration background”, according to FSO.  

Across all the categories, immigrants fare less well than than the Swiss, the study found.

“Persons with a migration background have greater difficulty in making ends meet than those without a migration background  — 17 percent compared with 7 percent”.

READ MORE: EXPLAINED: How applying for social benefits could see your Swiss work permit cancelled

Member comments

  1. “As far as rent is concerned, “households comprised uniquely of persons with a migration background pay higher rent per square metre than those without a migration background”, according to FSO.”

    I suspect a lot of that is because many Swiss have been living in the same accommodation for many years, or either live with or inherited their home from parents or had their rent fixed years ago at a rate far below current market prices. New arrivals will be paying current prices which are often significantly higher.

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MONEY

Do adult children in Switzerland have to support their parents financially?

Usually, it is the parents’ responsibility to ensure their kids are well taken care of financially. But can Swiss authorities force the children to return the favour in times of need?

Do adult children in Switzerland have to support their parents financially?

In most cases, once children are grown up and out of the house, they are (or at least should be) self-sufficient in terms of finances.

Parents too should breathe a sigh of relief that they are no longer obligated to pay for their children’s expenses, except perhaps for giving them some money here and there as a gift.

This is what happens in the best-case scenario.

But what if things don’t go according to this plan — for instance, if the parents find themselves in financial straits and can’t  afford to pay their bills?

Family obligations

Generally speaking, the truly needy people who don’t have enough income to pay for their basic living expenses will receive financial help from the government, in the very least in the form of the health insurance and housing subsidy.

READ ALSO: Can I get financial help in Switzerland if I’m struggling to pay the bills?

However, before doling out public money, authorities will see whether relatives should be made to help the struggling individuals pay their bills.

(In this context, ‘relatives’ means only those in the direct line of descent: grandparents, parents, and children.)

They will do it by checking the tax status of these relatives — how much they earn and what other financial assets they have — to determine whether, and how much, they should be paying toward their parents’ expenses.

Obviously, you will be expected to pay up only if your own financial situation allows it; you will not be forced to part with your money if you have very little of it yourself.

 ‘Favourable financial circumstaces’

Based on a Federal Court ruling, if the adult child  lives in ‘favourable financial circumstances’ they are required to help out their struggling parents.

The Court defined ‘favourable financial circumstances’ as income and assets allowing a comfortable life.

‘Comfortable life’, in turn, was defined by the Swiss Conference for Social Welfare (SKOS), as a taxable annual income of 120,000 francs for a single person, and 180,000 francs for married couples.

“If you have minors in your household, the limit is increased by 20,000 francs per child,” according to AXA insurance.

It goes on to say that you can deduct an exempt amount from your taxable assets.

“Your annual depletion of assets is deducted from the remaining amount. This means that if you are obligated to provide financial support, you are permitted to use part of your assets yourself each year; you don’t have to devote your entire assets to providing support.”

At between 18 and 30 years of age, this is 1/60th per year; from 31 to 40, 1/50th per year; 41 to 50, 1/40th per year; 51 to 60, 1/30th per year; and from the age of 61,1/20th per year. 

Are there any exemptions to these rules?

Aside from not having sufficient funds, you could be exempted from paying if, say, your parents, or parent, have not lived up to their own financial obligations toward you.

In Switzerland, parents are required to  provide financially for their children until the age of majority, and even beyond that if they are still studying or undergoing vocational training — typically, until the mid-20s.

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