Switzerland ranks among worst European states for gender income gap

In 2018, Switzerland was ranked third out of 30 European countries – behind the Netherlands and Austria - with the largest overall wage gap between women and men. © Keystone / Peter Klaunzer

Women in Switzerland earn 43.2% less than men and draw less pension due to higher rates of part-time work.

The Gender Overall Earnings Gap (GOEG) study, requested by parliament in 2019, showed Switzerland performed relatively poorly compared to other European countries.

“In 2018, the GOEG for Switzerland was 43.2%. This means that women’s earnings are 43.2% lower than men’s for all hours worked between the ages of 15 and 64,” the Federal Statistical Office said in a statementExternal link on Wednesday.

In 2018, Switzerland was rankedExternal link third out of 30 European countries – behind the Netherlands and Austria – with the largest overall wage gap between women and men.

The report said this big difference between the sexes in Switzerland is mainly due to the “high proportion of women who work part-time”. Women make up half of the highly skilled workforce, but work fewer hours. While 63% of all employed women aged 25 to 54 work part-time in the Alpine country, the figure is only 28% in the European Union.

In 2020, the gender pension gap was 34.6%, the report stated. The average total annual pension for women was CHF35,840 ($36,456), CHF18,924 lower than that for men. This reflected differences in employment participation, the effects of family and life models, and wage inequality between the sexes over time.

The data come ahead of a nationwide vote on September 25 whether to reform the state pension system by raising women’s retirement age by a year to 65 – the same as that for men – and increasing value-added tax rates to help fund the system.