Looking to hire in Switzerland

Employment in Switzerland involves both employer and employee contributions to the country’s social protection system, alongside progressive income taxation that can reach up to 43.24%. Employees typically contribute around 17.40% of salary in statutory deductions, including pension contributions of 9% and accident insurance of 2%. Employers usually face a total statutory cost of about 18.40% on top of gross salary, which covers pension contributions of 9%, accident insurance of 1%, and family allowance contributions of 2%, as well as broader social security funding. These combined obligations make it important to factor in social security, pension, and insurance costs when planning Swiss employment budgets.

We can help you get a new employee started in Switzerland fast. The minimum onboarding time we need is only 48 hours. Our team ensures fast, compliant employee onboarding and payroll processing. The onboarding timeline starts once the employee submits all required information via the NEO platform.

In Switzerland, both employees and employers contribute to statutory social security and insurance schemes through payroll. Contributions are split between the two sides, with some elements applying only in specific situations (for example, certain pension contributions). Below is a breakdown of the main payroll components for each party.

Employee payroll deductions in Switzerland include mandatory social security and accident insurance, plus conditional pension contributions that apply in qualifying cases.

Employers in Switzerland contribute to the same core systems, with additional obligations such as family allowances. Pension contributions are conditional, depending on the employee’s situation and plan.

In Switzerland, the standard working schedule is based on a 42-hour workweek, typically spread across Monday to Friday.

In Switzerland, employers typically provide both paid time off and sick leave, each with its own rules on accrual and documentation.

For these communication and workspace expenses, submit a tax invoice or receipt showing the date, amount, service provider or merchant name, and a clear description of the purchase or service.

For equipment and supplies, provide a tax invoice or receipt showing the date, amount, service provider or merchant name, and description of the purchase or service. For laptops, office equipment, and software subscriptions, the document must also show the employee name and VAT amount.

For most travel expenses, submit a tax invoice or receipt showing the date, amount, service provider or merchant name, and description of the purchase or service. For business travel insurance, accommodation, flights, and car rentals, the document must also show the employee name and VAT amount. Visa fee invoices must show the employee name. Parking and toll fees can also be supported by transaction details that include all mandatory information. Mileage reimbursements are based on a mileage calculator and do not have specific documentation content requirements.

For these meal and entertainment expenses, submit a tax invoice or receipt that shows the date, amount, service provider or merchant name, and a description of the purchase or service.

For these expenses, provide a tax invoice or receipt that includes the date, amount, service provider or merchant name, description of the purchase or service, employee name, and VAT amount.

In Switzerland, employers can offer both standard and discretionary allowances. Clients may also request a gross-up when approving allowances by using the description field, so the employee receives the allowance as a net amount while the employer covers any related taxes and social security contributions.

Swiss employment law sets minimum standards for notice and probation that employers must respect when terminating employment.