SALARY IN SWITZERLAND
Switzerland is located in the central part of Europe. It borders Germany to the north, Italy to the south, France to the west, Austria and Liechtenstein to the east. It is a country with a thriving market economy, high standard of living, comfortable climate, and many places for exciting recreation.
The population of Switzerland is 8.8 million people. Slightly more than 2 million locals were born abroad. The country has three official languages – German, Italian and French. Unemployment is around 2-3%. Let's find out what salaries in Switzerland in 2023.
Minimum salary in Switzerland
There is no set federal minimum wage in Switzerland. The exception is certain sectors of the economy where there are collective agreements between employees and employers that fix minimum wage rates. Collective agreements exist at national, regional, cantonal and corporate level.
Important. In 2014, Swiss voters rejected a government proposal to introduce a minimum wage of 22 Swiss francs per hour at the federal level in the country. Just over three-quarters of voters opposed it.
In 2017 and 2018, the cantons of Neuchâtel and Jura, respectively, introduced a minimum wage of 20 francs per hour ($22). In the canton of Ticino, rates ranging from 19.75 to 20.25 francs per hour will be gradually introduced in three phases beginning January 1, 2021.
On September 27, 2020, Swiss voters in the canton of Geneva approved a minimum wage of 23.27 Swiss francs per hour ($25) for all industries by a majority vote (58% to 42%). Voter turnout was 54.14%. The minimum wage in Geneva in 2023 is 24 francs per hour ($27). This is the highest in the world.
Note. Geneva employers who fail to comply with the innovation will face administrative fines of 30,000 Swiss francs (about $32,410). In the case of repeat violations, the amount could be doubled.
Average salary in Switzerland
Switzerland is one of the richest and most prosperous countries in the world. Accordingly, local residents have a very high level of income. The rights of workers and labor laws in general are strictly observed here. The Swiss government has set a limit on the number of working hours – 45 hours for office staff and retailers, and 50 hours for other workers.
Workers over the age of 20 are entitled to a minimum of four weeks vacation each year, and workers under the age of 20 have five weeks off. Each canton can set a maximum number of public holidays. Wages in Switzerland are usually reviewed annually, with the increase usually being implemented as of January 1 of the following year.
According to Swiss statistical agencies, the average wage in Switzerland in 2023 is 6,502 francs per month, the equivalent of 7,180 U.S. dollars. The highest salaries in Switzerland are recorded in the information and communication sector (9,286 francs), and the lowest in the accommodation and food industry (4,412 francs).
| Sector of economy | Francs per month | Dollars per month |
| Financial and insurance activities | 9,286 | 10,200 |
| Information and communication | 8,724 | 9,585 |
| Education | 8,570 | 9,415 |
| Public administration and defense | 8,258 | 9,070 |
| Electricity, gas, steam and air conditioning supply | 8,199 | 9,005 |
| Professional, scientific and technical activities | 7,873 | 8,650 |
| Real estate operations | 6,760 | 7,425 |
| Arts, entertainment and recreation | 6,549 | 7,195 |
| Manufacture | 6,436 | 7,070 |
| Health care and social work | 6,406 | 7,035 |
| Mining and quarrying | 6,222 | 6,835 |
| Construction | 6,218 | 6,830 |
| Water, sewerage and waste management | 6,179 | 6,790 |
| Transport and storage | 6,097 | 6,700 |
| Wholesale and retail trade | 5,634 | 6,190 |
| Administrative and support services | 5,328 | 5,855 |
| Accommodation and food | 4,412 | 4,845 |
| Other services | 6,397 | 7,025 |
Note. The information on average wages in Switzerland by sector of economy is based on current official data from the Swiss Statistics Office.
In conclusion, we should note that the rate of income tax in Switzerland on salaries varies from 0% (income up to 14,800 francs per year) to 11.5% (income over 769,600 francs per year). Plus a progressive basic tax is levied – from 133.95 to 88,515.55 francs.
