Today in Switzerland: A roundup of the latest news on Wednesday
Swiss pensioners believed to be wealthier than working population:; Davos conference worsens local housing shortage: and more news in our roundup on Wednesday.
MP: Swiss pensioners ‘don’t need more money’
On June 3rd, the Swiss will vote on a proposal, created by left-wing parties and trade unions, on whether an additional-month (13th) old-age pension should be paid to provide more income to seniors, who are usually worse-off financially than working population.
However, some economists claim that such a logic is faulty, as many seniors are, in fact, wealthier than general population.
One, Philippe Wanner of the University of Geneva, who carried out a study in 2022 on the average wealth available to seniors in 11 cantons, found that many have ‘median assets’ of 130,000. At the age of 90, these savings amount to 220,000 francs for single individuals, and for couples, this figure increases from 370,000 to 420,000 francs.
The study concluded that Swiss retirees have, on average, more savings than working people.
And according to another analysis, conducted by economist Marius Brülhartfrom the University of Lausanne, only 3 percent of retirees report financial difficulties that require additional resources.
Therefore, paying a 13th monthly pension to all retirees, “would redistribute even more resources from young people to support older people, while the poverty rate is higher among young people.”
READ ALSO: What is Switzerland's 13th-month pension plan and why are they voting on it
Davos tenants disadvantaged vis-a-vis WEF forum delegates
Right now, as every year, thousands of high-profile individuals gather in the Alpine village of Davos for the annual World Economic Forum (WEF), where the most pressing global issues are discussed.
Meanwhile, many of the 11,000 local residents are experiencing housing problems related directly to the WEF.
How?
As the Swiss media reports, since delegates are willing to pay A LOT to rent accommodations during the WEF — much more than landlords would receive from ‘regular' tenants during the entire year — many owners leave their properties empty during the rest of the year, renting them instead for upwards of 100,000 francs a week to forum participants during January.
In the meantime, this housing remains inaccessible to local tenants, causing many people to leave the village altogether.
READ ALSO: What you should know about Davos and why the global elite hobnob there
Swiss employees and bonuses: what is a realistic expectation?
According to a study by the recruitment firm Robert Walters, 56 percent of employees in Switzerland expect to receive a bonus by the end of January.
Most count on a generous payout, and only about a third believe that the amount equal to a month's salary is acceptable.
Human resources expert Ursula Bergundthal said these expectations are realistic, but only in some sectors and for some positions.
“In the financial sector, a bonus of 6,000 to 10,000 francs is realistic for an annual remuneration of 80,000 francs,” she said.
“The higher the position in the company, the greater the chances of getting a bonus because the more responsibility you take on, the more you can positively affect the business result.”
The country’s labour shortage also motivates companies to offer financial perks to entice new employees or retain old ones, Bergundthal pointed out.
If you have any questions about life in Switzerland, ideas for articles or news tips for The Local, please get in touch with us at [email protected]
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MP: Swiss pensioners ‘don’t need more money’
On June 3rd, the Swiss will vote on a proposal, created by left-wing parties and trade unions, on whether an additional-month (13th) old-age pension should be paid to provide more income to seniors, who are usually worse-off financially than working population.
However, some economists claim that such a logic is faulty, as many seniors are, in fact, wealthier than general population.
One, Philippe Wanner of the University of Geneva, who carried out a study in 2022 on the average wealth available to seniors in 11 cantons, found that many have ‘median assets’ of 130,000. At the age of 90, these savings amount to 220,000 francs for single individuals, and for couples, this figure increases from 370,000 to 420,000 francs.
The study concluded that Swiss retirees have, on average, more savings than working people.
And according to another analysis, conducted by economist Marius Brülhartfrom the University of Lausanne, only 3 percent of retirees report financial difficulties that require additional resources.
Therefore, paying a 13th monthly pension to all retirees, “would redistribute even more resources from young people to support older people, while the poverty rate is higher among young people.”
READ ALSO: What is Switzerland's 13th-month pension plan and why are they voting on it
Davos tenants disadvantaged vis-a-vis WEF forum delegates
Right now, as every year, thousands of high-profile individuals gather in the Alpine village of Davos for the annual World Economic Forum (WEF), where the most pressing global issues are discussed.
Meanwhile, many of the 11,000 local residents are experiencing housing problems related directly to the WEF.
How?
As the Swiss media reports, since delegates are willing to pay A LOT to rent accommodations during the WEF — much more than landlords would receive from ‘regular' tenants during the entire year — many owners leave their properties empty during the rest of the year, renting them instead for upwards of 100,000 francs a week to forum participants during January.
In the meantime, this housing remains inaccessible to local tenants, causing many people to leave the village altogether.
READ ALSO: What you should know about Davos and why the global elite hobnob there
Swiss employees and bonuses: what is a realistic expectation?
According to a study by the recruitment firm Robert Walters, 56 percent of employees in Switzerland expect to receive a bonus by the end of January.
Most count on a generous payout, and only about a third believe that the amount equal to a month's salary is acceptable.
Human resources expert Ursula Bergundthal said these expectations are realistic, but only in some sectors and for some positions.
“In the financial sector, a bonus of 6,000 to 10,000 francs is realistic for an annual remuneration of 80,000 francs,” she said.
“The higher the position in the company, the greater the chances of getting a bonus because the more responsibility you take on, the more you can positively affect the business result.”
The country’s labour shortage also motivates companies to offer financial perks to entice new employees or retain old ones, Bergundthal pointed out.
If you have any questions about life in Switzerland, ideas for articles or news tips for The Local, please get in touch with us at [email protected]
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