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Employment: This is where Switzerland’s jobs are right now

Switzerland’s labour market bounced back quite well from the Covid pandemic, with many industries looking to hire skilled workers. A new study shows where most vacant positions are.

Employment: This is where Switzerland's jobs are right now
More Swiss employers are hiring right now (and yes, handshakes are allowed again). Photo: Sora Shimazaki / Pexels

As The Local recently reported, “many sectors are looking for qualified workers, according to the State Secretariat for Economic Affairs (SECO), which reports that the unemployment rate was a record-low 2.3 percent in April, and the number of job seekers is currently 25 percent lower than at the same time in 2021. 

While many industries are experiencing a boom — for instance, jobs in IT, healthcare, construction and sales are plentiful — the shortage of skilled employees is a huge problem for many employers.

READ MORE: Which jobs are in demand in Switzerland right now – and how much can you earn?

Now a study by the Swiss section of Manpower recruiting agency sheds light on where in Switzerland most job vacancies are, which could be helpful to everyone looking for employment now.

The good news for job seekers is that “the market situation is very positive for employees…Skilled workers are scarce and the shortage cannot simply be filled by workers from neighbouring countries”, according to Peter Unternährer, Manpower’s regional director for central and eastern Switzerland.

Manpower’s survey for the second quarter of 2022 (April to June) shows that 38 percent of Switzerland’s employers plan to hire new workers.

Most job opportunities (32 percent of employers seeking to hire personnel) are found in the greater Zurich area, followed by 31 percent in the Mittelland, which encompasses the cantons of Bern, Fribourg, Jura, Neuchâtel and Solothurn.

Next (30 percent) are in the Lake Geneva region, which includes the city and canton of Geneva, as well as Vaud.

In central Switzerland, 24 percent of companies are looking for employees, 23 percent in the eastern part of the country, and 18 percent in the northwest.

Manpower also found that 75 percent of the companies surveyed promote gender equality and 63 percent promote diversity in the workplace — meaning they are inclusive of employees of all backgrounds and nationalities, both in terms of hiring practices and wages.

Overall, Switzerland’s unemployment rate is much lower than across the European Union — where more than 6 percent are jobless, according to latest figures from Eurostat — because the Swiss economy was already sturdier than many others before Covid struck, so was in a better position to withstand the crisis.

But Switzerland was also one of the very few countries that have been able to attract international companies to its shores even in the midst of the pandemic, which translated into more jobs for the local workforce.

Experts believe this is due to the country’s strengths, including political, economic and financial conditions.

“Even in a time of crisis, Switzerland scored thanks to its stability, predictability and security”, said Patrik Wermelinger, member of the executive board of Switzerland Global Enterprise (SGE), which promotes the country abroad on behalf of the federal government and the cantons.

READ MORE: How the Swiss job market rebounded from the Covid pandemic
 

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EMPLOYMENT

Property, traffic and jobs: What a doubling of cross-border workers means for Switzerland

Over the next decade, the number of employees from France who commute to their jobs in Switzerland is predicted to increase two-fold.

Property, traffic and jobs: What a doubling of cross-border workers means for Switzerland

Currently, about 190,000 French citizens —aptly called ‘frontaliers’, which in French means ‘border people’ — commute to their jobs in Switzerland.

Data from the Federal Statistical Office (OFS) shows that the highest number — 90,000 people — are employed in Geneva. The rest work in other cantons that share a border with France: Vaud, Jura, and Neuchâtel.

However, according to the European Cross-Border Grouping (GTE) and Crédit Agricole de Savoie bank, the number of these workers “will double within ten years”, said Olivier Balima, the bank’s deputy general manager. This projection is based on demographic and economic studies, he added.

This means that by the year 2032, nearly 400,000 people from the neighbouring regions of France will be employed in Switzerland.

The reason for the increase, the two groups say, is Switzerland’s aging population, as well as continuing shortage of skilled labour in some sectors; both factors “could increase the need to call on staff from the other side of the border”

In the healthcare sector alone, an estimated at 70,000 workers will likely be needed, according to  Gabriella Taricone, head of the GTE’s employment service. In fact, at Geneva’s university hospital (HUG), 3,200 caregivers out of around 5,200 in total — 60 percent — come from France.

Many are also employed in the service industry, retail, and hotel and restaurant sector.

READ MORE: EXPLAINED: Who can work in Switzerland but live in a neighbouring country?

Historic trend

The forecast for the increase in frontaliers in next decade is not in itself a new phenomenon.

Numbers have been rising since the beginning of the 2000s, when the Free Movement of Persons Agreement signed between Switzerland and the European Union went into effect.

The treaty lifted restrictions on EU / EFTA citizens wishing to live or work in Switzerland — either permanently (permit B or C) or as cross-border commuters (permit G).

As this OFS chart shows, the number of frontaliers has risen dramatically in the past 20 years.

What impact will the increase in cross-border workers have?

Based on what we know now, the effect will likely have a three-fold effect.

Property prices

As The Local reported on June 3rd, the Léman Express, a train linking the Geneva region with neighbouring French towns to provide a quicker commute for cross-border workers, has caused property  and rents on both sides of the border to rise sharply.

In the vicinity of the train’s 45 stations, real estate prices soared by 8 to 9 percent on average — a sharper increase than elsewhere in the region.  

Prices went up in the French departments of Haute-Savoie and Ain, as well as in Swiss cantons of Geneva and Vaud, all of which lie along Léman Express’ 230-km track.

READ MORE : How a cross-border train has pushed house prices up in Switzerland and France

Based on these facts, it is within a realm of possibility (and even probability) that the same trend will continue as more workers from France become employed in Switzerland.

Traffic jams

Frontaliers already create bottlenecks at and near border crossings during peak times, and the situation will likely worsen with even more people coming and going to and from France.

While in terms of traffic Geneva is by far the worst in Switzerland, other border areas are impacted as well.

For instance, in canton Jura, which lies on the Swiss side of Doubs department in the Bourgogne-Franche-Comté region in eastern France, cross-border commuters are creating congestion at several border crossings.

‘Brain drain’

This expression means the departure of trained or qualified people from a particular country — in this case, France.

While Switzerland benefits economically from the presence of cross-border workers, France — not so much.

This poses a problem for French companies located near the border, as they can’t find any personnel.

There have been many instances of French officials and employers complaining about their local workforce leaving in droves to work for a higher pay across the border.

One example is officials in the Haute-Savoie accusing private Swiss health clinics of ‘poaching’ essential healthcare workers during the Covid pandemic.

In another case, Jean Benoît-Guyot, who runs a plumbing business in the French commune of Saint-Julien-en-Genevois, which is located right on the border with the canton of Geneva, can’t find any employees to hire as “everyone wants to work in Switzerland”.

This disparity in Swiss and French wages was also made clear by another French citizen, Kévin Lecoq, who makes a daily cross-border trek to the Swiss canton of Jura..

“If we add up everything that has to be paid in taxes, we still have one and a half times the French salary”, he told The Local.

This article explains how this “exodus” affects French regions, and is likely continue to have a negative impact as numbers of cross-border workers continue to grow.

READ MORE: Why French cross-border workers choose to work in Switzerland

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