Swiss union demands 1,5% wage increase for workers in 2027

As the cost of living in Switzerland continues to rise, the Swiss Employees' Association (Angestellte Schweiz) is calling for a 1,5 percent average wage increase for 2027.

Salary increase for 2027: Union calls for pay rise 

Housing costs, health insurance premiums and petrol prices are surging this year, putting pressure on Swiss workers. As companies have also attempted to adapt to a difficult global environment, the Swiss Employees' Association is demanding that more be done to help employees who have “borne the brunt of this period”.

The association is calling for the average wage in Switzerland to increase by 1,5 percent for 2027 as part of annual wage negotiations (Lohnrunde) with employers and employer associations. 

Furthermore, the Swiss Employees’ Association is asking companies to provide dedicated funding for training, particularly AI upskilling, alongside improved workplace conditions that help staff maintain a healthy, productive approach to working in Switzerland.

Wage growth lags behind strong Swiss economic performance

Companies in Switzerland are adjusting to new environments such as geopolitical and trade uncertainty and increasing pressure on costs. Despite a difficult year, the Swiss economy is performing well and is expected to continue growing into 2027. 

Economic investments and Swiss exports are also “likely to pick up again” in the coming year. This, combined with an expected inflation rate in Switzerland of around 0,7 per cent for 2026 and 2027, means there is “room for wage increases,” states a Swiss Employees’ Association press release.

Swiss salaries have “not kept pace” with the success of the economy, and as employees have contributed to positive company performances, they “should therefore share in long-term productivity gains”.

The association believes that a wage increase in 2027 not only benefits employees but also companies that want to hire and retain skilled workers. Particularly in the MEM (mechanical, electrical and metalworking) sector, where, in Switzerland, 83.000 extra workers are needed by 2031. Offering a competitive wage is an “investment”, states the union.