Employment Law in Switzerland

Employment in Switzerland

The main source that regulates the labor law in Switzerland is the federal legislation. A very important role is played by federal ordinances, collective agreements and standard contracts. There is a distinction between the private labor law which empowers the provisions of the employment contract and the public labor law that imposes some minimal standards for work protection.

Switzerland does not impose one type of employment contract, it can be written or verbal, but it is usually used the written form of it; our Swiss lawyers can provide more detailed information in this regard.

The Employment Contract in Switzerland

The contract of employment in Switzerland is divided into to: the individual employment contract which is a contract between an employer and an employee for a determinate or indeterminate time period. The employee has to render his or her labor and the employer has to pay remuneration for the work provided by the employee.

Another type of Swiss employment contract is the collective labor agreement, also known as “CLA". In this case the employers and the trade unions of workers agree on conditions, content and notice of termination for the employment of their members.

There are also special types of Swiss labor contracts such as:

• - apprenticeships
• - sales representative contracts
• - outsourced homeworking contracts
• - seamen’s work contracts

The employee’s duties in Switzerland are:

• -the duty to provide labour which is the obligation of the employee to provide labor personally in the services of his or her employer.
• -the duty of fidelity which means the employee is to abstain from actions that may cause commercial damage to his or her employer and to uphold the employer’s interests.

The employer has his duities toward the employee as well. One of these duties is the payment of remuneration which the reward an employee received from the employer for the provided work. The remuneration is established through contract agreement. Another important duty of the employer is the welfare of the employees thorough which the employers have to act in the best interest of their employees by assuring them protection of health, protection against sexual harrasment and agression, and protection against mobbing. The employee has to benefit of free time, leave and paid vacation.

For more information on how to open a company in Switzerland or hire personnel for your existing business, you can contact us.