Employers want flexible labour market

The Swiss Employers Association has rejected union demands for minimum salaries and demanded pension reform.

The association said on Monday that the number of employees increased 0.6 per cent last year and that unemployment remained low compared with other countries – reason enough not to change Switzerland’s labour laws.

Its president Valentin Vogt added that this was the result of an open and flexible job market.

The employers also rejected the unions’ strategy which, in its view, called for restrictive norms such as minimum salaries, taking away the incentive for negotiated solutions between social partners.

The association also called for pension schemes to be changed. It said retirement age should be increased to 67 and suggested following the government proposal to lower the conversion rate to 6.4 per cent on occupational pension funds, the so-called second pillar of the Swiss retirement system.

Voters rejected a lower conversion rate in 2010. It is currently 6.9 per cent for men and 6.85 per cent for women.