Switzerland is famous for its Swiss chocolate, known for its high-quality and rich taste.
Payroll and Benefits Guide - Switzerland

Fun Facts
It is home to numerous world-renowned watchmakers, including Rolex, TAG Heuer, and Patek Philippe.
The country has four official languages: German, French, Italian, and Romansh.
Switzerland is known for its efficient and punctual public transportation system, including its iconic Swiss trains.
It is the birthplace of many famous inventions, such as the Swiss Army Knife and Velcro.
Switzerland is a neutral country and has not participated in any armed conflict since 1815.

Contributions
Employee Payroll Tax
Contribution Type | Rate |
Old Age, Survivors, and Disability Insurance | 5.30% |
Unemployment Insurance | 1.10% |
Supplemental Unemployment Insurance | 0.50% |
Non-Occupational Accident Insurance | 1.00% – 4.00% |
Employer Payroll Tax
Contribution Type | Rate |
Old Age, Survivors, and Disability Insurance | 5.30% |
Unemployment Insurance | 1.10% |
Supplemental Unemployment Insurance | 0.50% |
Family Compensation Fund | 1.00% – 3.00% |
Supplemental Unemployment Insurance | 0.17% -13.50% |
Vocational training Fund | 0.10% |
Dependent on pension plan and is employer specific | Occupational Pension Scheme |
Payroll
Payroll Cycle
13th Salary
Work Hours and Week
Overtime

Leave
Paid Time Off
Public Holidays
Sick Days
Maternity Leave
Paternity Leave
Parental Leave
Termination
Termination Process
Termination in Switzerland allows freedom of dismissal without an important reason, but it must not be discriminatory or abusive. The reason must be explained upon request, and written termination is recommended for evidence.
Notice Period
Termination is considered legally valid from the moment the recipient receives it.
The statutory notice periods are as follows:
- 7 days during the trial period
- 1 month during the first year of service
- 2 months during the second to the ninth year of service
- 3 months from the tenth year of service
Severance Pay
Probation Period
Probation Period
The probation period is 1-3 months for indefinite employees.
Immigration
Various types available based on the employment situation, including L permits for short-term assignments, B permits for longer-term employment, and C permits for permanent residence.
Note that the EU Blue Card is not valid in Switzerland
For Work Permits
- L Permit: This permit is for short-term assignments and is typically issued for a duration of up to 12 months. It is renewable in certain cases.
- B Permit: This permit is for longer-term employment and is usually issued for a duration of up to five years. It can be renewed and allows for more stability in terms of residence and employment.
- C Permit: This permit is for individuals with long-term residence in Switzerland. It grants the right to reside and work without restrictions, as it signifies permanent residency.
- G Permit: This permit is for cross-border workers who live in a neighboring country but work in Switzerland. It allows for employment in Switzerland while maintaining residence in the home country.
- Short-Stay Work Permit: For temporary work assignments of up to 90 days, a short-stay work permit may be required depending on the nature of the work and the individual’s nationality.