Cross-border workers: Switzerland and France reach permanent deal on working from home

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23 Dec, 2022 Updated Fri 23 Dec 2022 12:34 CEST
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A "Leman Express" train carriages makes his way in Geneva on December 10, 2019 (Photo by Fabrice COFFRINI / AFP)

Switzerland and France have reached a permanent agreement allowing cross-border workers to work part of their hours remotely from home.

The deal that was announced on Friday by Swiss authorities means that from January 1st, 2023 new permanent rules will be come into force.

A cross-border worker will be able to work remotely for up to 40 percent of their annual working time without any changes to the employee’s cross-border status or their existing tax arrangements.

This concerns mainly cross-border workers employed in cantons Bern, Solothurn, Basel City, Basel Country, Vaud, Valais, Neuchâtel and Jura. 

The agreement also covers those workers who are subject to a double taxation agreement between Switzerland and France.

It means they will continue to be taxed in the country where their employer is located if remote work is carried out in the country where they live for no more than 40 percent of their time.

This part of the deal concerns Geneva, where some 97,000 cross-border workers based in France are employed.

The agreement has come about due to the changing nature of work during the pandemic when many cross-border workers worked from home in France rather than in Switzerland.

An estimated 370,000 cross-border workers are employed at Swiss-based firms but live in France (208,600), Italy (89,700), Germany (63,900) or Austria (8,600).

"The negotiated solution constitutes a balanced result reflecting the budgetary interests of the two States, the communities and the cantons concerned," read a statement from Swiss authorities.

"Its entry into force will however be subject to its signature, then its ratification, by each of the two States. The text will be made public when it is signed, scheduled for the end of the first half of 2023."

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2022/12/23 12:34

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