Employee Representation and Consultation in Switzerland

The Employee Participation Act (MWG)

The Mitwirkungsgesetz (MWG, 1994) applies to companies with 50+ employees (some provisions from 1 employee). It grants employees the right to: be informed about working conditions and safety measures, be consulted on collective dismissals (20+ dismissals within 30 days), and be consulted on company transfers (Betriebsübergang). Employees can form a representative body (Arbeitnehmervertretung) to exercise these rights, but companies are not required to create one if employees do not request it.

Collective Dismissal Consultation

If an employer plans to dismiss 20 or more employees within 30 days for operational reasons (not individual misconduct), the MWG requires a consultation process: inform employees or their representatives with relevant data, consult on ways to avoid or reduce dismissals and mitigate consequences, and observe a minimum period before the dismissals take effect. The RAV (employment centre) must also be notified. Failure to consult does not invalidate the dismissals but may expose the employer to claims.

Trade Unions and Freedom of Association

Freedom of association is guaranteed by the Federal Constitution (Art. 28). Employees can join unions and cannot be dismissed for union membership (wrongful dismissal, up to 6 months' compensation). In Switzerland, unions primarily operate at sector level, negotiating GAV rather than company-level representation. The main unions: Unia (construction, industry, retail), Syna, KV Schweiz (commercial sector), SGB (umbrella federation). Union membership is voluntary; benefits include legal advice, support in disputes and access to GAV rights.

Context on the Swiss job market helps frame any career decision in Switzerland. Our gross-to-net salary guide shows what Swiss gross salaries look like after AVS, LPP and tax deductions. The salary negotiation guide covers how to use market data in offer discussions and which arguments work with Swiss recruiters. Our guide to working in Switzerland as a foreigner covers entry conditions, permit categories and practical relocation steps. The work permit guide explains B, C, G and L permit categories and processing timelines. For cross-sector salary benchmarks, the Switzerland salary guide covers all major roles and cities.

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Frequently Asked Questions

Does Switzerland have mandatory works councils like Germany?

No. Switzerland has no mandatory Betriebsrat. The MWG gives information and consultation rights in certain situations, but setting up a representative body is at the employees' initiative. Many Swiss companies operate without any formal employee representation.

What information must my employer provide before collective dismissals?

Under MWG Art. 10, the employer must inform employees (or their representatives) about: the reasons for the planned dismissals, the number and categories of affected employees, proposed criteria for selection, the timeline, and any compensation or support measures. This information must be provided in time for meaningful consultation.

Can I be dismissed for being a union representative?

No. Dismissal for union membership or activities is wrongful dismissal under Art. 336 CO and entitles you to compensation up to 6 months' salary. Union delegates actively exercising a mandate have additional temporary protection during the mandate period.

What is the 13th month salary in Switzerland?

The 13th month salary in Switzerland refers to an additional monthly salary paid once a year, typically in December. It is included in annual salary benchmarks as standard: when a Swiss employer quotes CHF 120,000 per year, this normally means 13 monthly payments of approximately CHF 9,231 each, not 12 payments of CHF 10,000. The 13th month is governed by the employment contract or collective agreement (GAV), not by statute. It is subject to social contributions (AHV/ALV) and income tax. Always clarify with a prospective employer whether a quoted annual figure includes or excludes the 13th month.

How do Swiss notice periods work for employment contracts?

Under Swiss law (Code of Obligations, Art. 335c), notice periods during probation (default 1 month, up to 3 months by agreement) are 7 days. After probation, statutory notice periods are: 1 month during the first year, 2 months in years 2 to 9, and 3 months from year 10 onwards. Notice must be given in writing by end of calendar month (or end of the agreed notice period month). Contractual or GAV notice periods can be longer but cannot be shorter than statutory minimums. Protected periods exist (illness, accident, pregnancy) during which termination is suspended or prohibited.