Collective Agreements (GAV/CCT) in Switzerland

What Is a GAV and Who Negotiates It?

A GAV is a contract between employer associations and trade unions that sets minimum working conditions for all or part of an industry or a company. It is always concluded by collective parties, never between individual employers and employees. Key GAV in Switzerland: L-GAV (Gastgewerbe/hospitality), LMV (Landesmantelvertrag, construction), GAV Personalverleih (staffing), GAV Detailhandel (retail), Bankensektor GAV. SECO maintains the official database of all binding GAV at gav.ch.

Generally Binding Declaration (AVE)

A GAV can be declared allgemeinverbindlich (AVE, generally binding) by the Confederation or cantonal authorities. Once AVE is declared, the GAV applies to ALL employers in the sector within the defined geographic scope, regardless of whether the employer is a member of the employer association that concluded the GAV. This is the critical distinction: without AVE, the GAV only binds member employers. With AVE, it covers the entire sector. Check gav.ch to see whether the AVE applies to your employer.

The Principle of Favourability and Enforcement

The principle of favourability (Günstigkeitsprinzip): an individual employment contract cannot fall below the standards set by an applicable GAV. If it does, the GAV term automatically applies. The contract can always be more favourable than the GAV. Enforcement: joint enforcement commissions (Paritätische Kommissionen/PK) are established by GAV parties to monitor compliance, audit companies and sanction violations (fines, compensation orders). PK audits are common in construction, cleaning and staffing.

Context on the Swiss job market helps frame any career decision in Switzerland. Our gross-to-net salary guide shows what Swiss gross salaries look like after AVS, LPP and tax deductions. The salary negotiation guide covers how to use market data in offer discussions and which arguments work with Swiss recruiters. Our guide to working in Switzerland as a foreigner covers entry conditions, permit categories and practical relocation steps. The work permit guide explains B, C, G and L permit categories and processing timelines. For cross-sector salary benchmarks, the Switzerland salary guide covers all major roles and cities.

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Frequently Asked Questions

How do I know if a GAV applies to me?

Check gav.ch (SECO database) for your sector and location. If your employer is a member of the relevant employer association, the GAV applies. If the GAV has been declared generally binding (AVE), it applies regardless of membership. Also check your employment contract, it should mention any applicable GAV.

Can my employer pay less than the GAV minimum wage?

No. The GAV minimum automatically overrides the employment contract. If you are paid below the GAV minimum, you can claim the difference retroactively for up to 5 years through the joint enforcement commission or civil court.

What happens if my employer violates the GAV?

The joint enforcement commission (PK) can conduct audits, order back payments, and impose fines. Employees can also bring individual claims before the conciliation tribunal. The PK often has powers to inspect payroll records and conduct unannounced site visits.

What is the 13th month salary in Switzerland?

The 13th month salary in Switzerland refers to an additional monthly salary paid once a year, typically in December. It is included in annual salary benchmarks as standard: when a Swiss employer quotes CHF 120,000 per year, this normally means 13 monthly payments of approximately CHF 9,231 each, not 12 payments of CHF 10,000. The 13th month is governed by the employment contract or collective agreement (GAV), not by statute. It is subject to social contributions (AHV/ALV) and income tax. Always clarify with a prospective employer whether a quoted annual figure includes or excludes the 13th month.

How do Swiss notice periods work for employment contracts?

Under Swiss law (Code of Obligations, Art. 335c), notice periods during probation (default 1 month, up to 3 months by agreement) are 7 days. After probation, statutory notice periods are: 1 month during the first year, 2 months in years 2 to 9, and 3 months from year 10 onwards. Notice must be given in writing by end of calendar month (or end of the agreed notice period month). Contractual or GAV notice periods can be longer but cannot be shorter than statutory minimums. Protected periods exist (illness, accident, pregnancy) during which termination is suspended or prohibited.