Switzerland
Proof of work incapacity (case law)
Impact date: 3 June 2025 The Federal Supreme Court considered that evidence of incapacity to work cannot rest on a simple telework certificate. Telework certificates, which merely state that an employee cannot work remotely, do not meet the evidentiary threshold for proving general incapacity to work.
Employer implications/action needed An employer is not required to accept a mere telework certificate as proof of incapacity to work.
Employer risk N/A
Sexual harassment (case law)
Impact date: 20 June 2025 The Federal Supreme Court considered that the employer’s repeated inappropriate remarks, physical advances and suggestive gifts (e.g. lingerie vouchers) constituted harassment. It held that the CHF 2’000.- awarded for moral damages by the second instance Court was therefore justified. The Federal Supreme Court further determined that the employer was not entitled to any compensation for the employee’s immediate resignation.
Employer implications/action needed N/A
Employer risk This decision reinforces the principle that harassment in the workplace can justify both moral damages and immediate resignation without penalty to the employee.
Extension of the maximum duration of compensation for reduced working hours (so-called “RHT”)
Impact date: 1 August 2025 – 31 July 2026 On 14 May 2025, the Federal Council determined to extend the maximum duration for reduced working hours compensation from 12 to 18 months, effective 1 August 2025 until 31 July 2026. This extension responds to ongoing economic uncertainties and a projected rise in unemployment to 2.8% for 2025 and 2026. The measure aims to provide companies with greater planning security, helping them retain employees amid a sluggish economy impacted by international trade tensions, particularly affecting the machinery, electrical equipment, and watchmaking industries. Additional administrative relief measures for short-time work are also under consideration.
Employer implications/action needed Employers facing reduced business activity can benefit from compensation for short-time work for up to 18 months instead of 12. This provides a longer safety net to manage labor costs and improved workforce retention, without resorting to layoffs. Employers may apply for the indemnity for reduced working hours if eligible.
Employer risk N/A
Telework
Impact date: 1 August 2025 – 31 July 2026 On 21 May 2025, the Federal Council endorsed most proposals from the National Council’s Economic Affairs and Taxation Committee to relax regulations on working and rest hours related to telework. The draft law acknowledges digital advancements while explicitly enshrining the right to disconnect during daily rest periods and Sundays. The Council recommends limiting the scope to employees with significant control over their working hours, removing the formal written agreement requirement, and extending the right to disconnect to all workers. Additionally, adaptations to the Code of Obligations are proposed to define telework and reinforce the right to disconnect. The Economic Affairs Committee will now review the Federal Council’s opinion.
Employer implications/action needed N/A
Employer risk N/A
Compensation for reduced working hours
Impact date: Awaited (approved by the Senate on 10 September 2025) The Social Security and Public Health Committee of the Council of States has approved an urgent Bill granting the Federal Council, until the end of 2028, the authority to extend the maximum duration of compensation for reduced working hours from 18 to 24 months. It is now for the Federal Council to take a position on the proposal.
Employer implications/action needed N/A
Employer risk N/A
Harmonization of benefits under the loss of earnings scheme
Impact date: Awaited The Social Security and Health Committee of the Council of States unanimously decided to take up consideration of a draft amendment to the Federal Act on Income Compensation for Loss of Earnings. The proposal would extend entitlement to operating and childcare allowances—currently limited to individuals performing service—to all categories of beneficiaries. Child allowance, the function if which has effectively been replaced by family allowances, is to be abolished. Additional measures include: extending maternity benefits in cases of prolonged maternal hospitalization: ensuring the granting of the other parent’s allowance even in the event of the child’s death: and making the care allowance available as soon as a child requires hospitalization for at least four days.
The amendment has not yet been adopted and remains under review by the Committee.
Employer implications/action needed N/A
Employer risk N/A
Link Federal Council link
Federal Act on Accident Insurance
Impact date: Awaited The Social Security and Health Committee of the Council of States has approved a draft amendment to the Federal Act on Accident Insurance (LAA). This reform allows for the granting of daily allowances in the event of relapses or late-onset consequences resulting from an accident not covered by the LAA and occurring before the age of 25. The draft is now ready to be considered by the Council of States.
Employer implications/action needed N/A
Employer risk N/A
Link Federal Council link
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