Updated: May 2026
Key points
  • Swiss employment law explained for international professionals
  • Legal basis, practical advice and what to do
  • Relevant for expats, cross-border workers and newcomers

The Employee Participation Act (MWG)

The Mitwirkungsgesetz (MWG, 1994) applies to companies with 50+ employees (some provisions from 1 employee). It grants employees the right to: be informed about working conditions and safety measures, be consulted on collective dismissals (20+ dismissals within 30 days), and be consulted on company transfers (Betriebsübergang). Employees can form a representative body (Arbeitnehmervertretung) to exercise these rights, but companies are not required to create one if employees do not request it.

Collective Dismissal Consultation

If an employer plans to dismiss 20 or more employees within 30 days for operational reasons (not individual misconduct), the MWG requires a consultation process: inform employees or their representatives with relevant data, consult on ways to avoid or reduce dismissals and mitigate consequences, and observe a minimum period before the dismissals take effect. The RAV (employment centre) must also be notified. Failure to consult does not invalidate the dismissals but may expose the employer to claims.

Trade Unions and Freedom of Association

Freedom of association is guaranteed by the Federal Constitution (Art. 28). Employees can join unions and cannot be dismissed for union membership (wrongful dismissal, up to 6 months' compensation). In Switzerland, unions primarily operate at sector level, negotiating GAV rather than company-level representation. The main unions: Unia (construction, industry, retail), Syna, KV Schweiz (commercial sector), SGB (umbrella federation). Union membership is voluntary; benefits include legal advice, support in disputes and access to GAV rights.


Frequently Asked Questions

Does Switzerland have mandatory works councils like Germany?

No. Switzerland has no mandatory Betriebsrat. The MWG gives information and consultation rights in certain situations, but setting up a representative body is at the employees' initiative. Many Swiss companies operate without any formal employee representation.

What information must my employer provide before collective dismissals?

Under MWG Art. 10, the employer must inform employees (or their representatives) about: the reasons for the planned dismissals, the number and categories of affected employees, proposed criteria for selection, the timeline, and any compensation or support measures. This information must be provided in time for meaningful consultation.

Can I be dismissed for being a union representative?

No. Dismissal for union membership or activities is wrongful dismissal under Art. 336 CO and entitles you to compensation up to 6 months' salary. Union delegates actively exercising a mandate have additional temporary protection during the mandate period.

Sources

FSO · Swiss Earnings Structure Survey (LSE/ESS) 2022 · SECO · admin.ch