Extension of short-time work: compensation of up to 24 months

Post on: 19.05.2025

In the light of the continuing economic crisis, the Social Security and Health Commission of the Council of States (CSSH-S) proposes an urgent amendment to the Short-Time Work Act. The Objective è allow companies to receive the indemnity; for up to 24 months, instead of; the current 12, in order to avoid redundancies and protect the employment.

Short-time working in Switzerland: the current situation

Today, under current legislation, companies can access short-time work for a maximum of 12 months in a two-year period. In extraordinary cases, the Federal Council may; extend this duration up to 18 months. Just in June 2024, the government decided on this extension, currently valid until July 2025.

This week, noting that the economic situation is not è The Federal Council has announced a new extension until July 2026.

The difficulties Of Swiss industry

According to the CSSH-S, the The Swiss technology industry and its suppliers have been going through a difficult phase for more than two years, due to the weakness of international markets. Many companies have already short-time work for several months and are now close to the maximum limit of 18 months compensation.

In this context, the extension of short-time work in Switzerland to 24 months è considered essential to avoid a wave of redundancies.

A flexible and pragmatic proposal

The Commission proposes that the law be amended as a matter of urgency and that the Federal Council should have the power to activate the extension optionally, as needed. The dossier now goes to the National Council's counterpart committee.

Conclusion | Protecting jobs, not stopping the recovery

According to the CSSH-S, this measure is egrave; essential to help companies overcome the economic crisis without having to cut jobs. Offer greater flexibility in the management of short-time working in Switzerland represents a concrete and responsible response to the complexity; of the economic moment.