Employee Benefits in Switzerland

Bonuses and additional payments

In Switzerland, while not mandated by law, it is customary for employers to provide a 13th-month salary, typically equivalent to one month's wage, paid in December or split between June and December. This bonus is often stipulated in employment contracts or collective labor agreements and is subject to standard tax and social security deductions. Employers must apply the same calculation method for all eligible employees to ensure compliance with labor regulations.

Annual leave

Employees in Switzerland are entitled to paid vacation leave as soon as they start employment. The statutory entitlement is 4 weeks (20 working days) per year for employees aged 20 and above, and 5 weeks (25 working days) for those under 20. This leave is fully paid and can be taken throughout the leave year, as agreed between employer and employee.

Additional leave may be offered as part of an employment contract or collective bargaining agreement, though it is not required by law. Many employers offer enhanced leave policies to stay competitive and improve retention.

Unused statutory leave may be carried over to the following year, typically within a 5-year period, unless otherwise agreed. Payment in lieu of unused leave is only permitted upon termination of employment.

Sick leave

In Switzerland, personal and sick leave are governed by the Swiss Code of Obligations. Employees are entitled to paid sick leave, with compensation provided by the employer or through insurance schemes. The duration and amount of compensation depend on the length of service and applicable cantonal scales or insurance agreements. Employees continue to accrue paid leave during periods of sick leave.

Parental leave

Employers must provide 14 weeks of paid maternity leave, commencing from the date of childbirth, for each pregnancy, including adoptive and surrogacy-commissioning mothers. Pregnant employees who have been insured under the Swiss social security system (AHV) for at least nine months prior to childbirth and have been employed for at least five months during this period are eligible for benefits. Written notice and medical documentation are required to be submitted to the employer confirming the pregnancy and expected delivery date.