Switzerland
Non-compete clauses (case law)
Impact date: 8 December 2025 The Swiss Supreme Court has held that information about an employer’s client base does not need to qualify as a trade secret for a non‑compete clause to be enforceable. What matters is whether the employee has gained knowledge that, even in general terms, would allow them to provide comparable services and divert the employer’s clients. The Court also confirmed that a non‑compete remains valid where both parties share responsibility for the termination, provided each contributed equally to the reason for ending the employment relationship.
Employer implications/action needed In case of litigation, the employer must show that the employee’s knowledge could realistically enable client diversion.
Employer risk N/A
Third-country worker quotas maintained
Impact date: 1 January 2026 On 19 November 2025, the Federal Council decided to maintain the 2026 quotas for skilled workers from third countries, as well as for service providers from the EU, EFTA, and the UK. This ensures Swiss companies can fill vacant positions while complying with the Ordinance on Admission, Residence, and Employment. The unchanged ceilings provide legal clarity and predictability for employers amid ongoing labor shortages.
Employer implications/action needed Administrative sanctions, civil liability, reputational risk.
Employer risk N/A
Link Federal Council Link
Minimum wage in Geneva
Impact date: 1 January 2026 The gross hourly minimum wage in Geneva has increased to CHF 24.59.
Employer implications/action needed Employers with staff covered by the Geneva minimum wage must review and where necessary adjust hourly pay rates upward to ensure full compliance.
Employer risk Non‑compliance may lead to administrative sanctions, civil liability and reputational risk.
Link DFAE link
Increase in minimum wages applicable to domestic workers
Impact date: 1 January 2026 The Ordinance on the Standard Employment Contract for Domestic Workers is a federally imposed standard employment contract that sets minimum working conditions. It has been extended for three years. At the same time, minimum wages have increased.
Employer implications/action needed Employers should ensure compliance with the minimum wages provided for in the Ordinance on the Standard Employment Contract for Domestic Workers.
Employer risk In the event of non-compliance, the employer risks being ordered to pay back wages for up to five years, and may also face administrative and criminal sanctions.
Reporting of vacant positions
Impact date: 1 January 2026 The list of job categories subject to the mandatory reporting of vacant positions is updated during the final quarter of each year and applies from 1 January to 31 December of the following year. The sole criterion determining whether a job category is subject to the job notification requirement is its unemployment rate: if the unemployment rate in a given occupational category reaches at least 5%, that category becomes subject to the notification requirement. The list of job categories subject to the job notification requirement applicable in 2026 may be found here.
Employer implications/action needed Employers are required to notify the Regional Employment Offices (“ORP”) of vacancies in job categories where the national unemployment rate reaches at least 5%.
Employer risk If an employer fails to notify a vacancy that is subject to the job notification requirement, they are liable to a fine (up to CHF 40’000.-).
Link travail.swiss.
Freedom of movement for Croatian nationals
Impact date: 14 January 2026 Croatian nationals coming to work in Switzerland will no longer be subject to quotas for work permits. At its session on 14 January 2026, the Federal Council was informed that the number of L and B permits issued in 2025 remained below the threshold values that would have triggered the unilateral safeguard clause. Croatia therefore now fully benefits from the complete freedom of movement for persons.
Employer implications/action needed N/A
Employer risk N/A
Harmonization of benefits under the loss of earnings scheme
Impact date: Awaited. Deadline for referendum is 17 April 2026. The Social Security and Health Committee of the Council of States unanimously decided to consider 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 services, to all categories of beneficiaries. Child allowance, the function of 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 Parliament website
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.
Employer implications/action needed N/A
Employer risk N/A
Link Parliament website
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