Social Insurance Law
The social precaution in Switzerland is based on three risks: Age, death and invalidity according to the three-column principle: The state-run basic insurance (1st column) is supplemented by the occupational precaution (2nd column) and completed by the private, tax-reducible individual precaution (3rd column) as required.
| Insurance cover | Liability | |
|
1st column: Existence security: security of existence at old age and in the event of invalidity |
AHV/IV | 10,1 % vfrom wages equally paid by employer and employee |
|
2nd column: Occupational precaution: Protection of the usual life |
BVG | Equally paid by employer and employee |
| 3rd column: Voluntary, individual additional precaution | basically payable by employee |
An international study shows the varying mandatory employer's shares in different countries as percentage of the average income:
| Country | Employer's share | Share compared to Switzerland |
| Switzerland | 16 % | 100 % |
| Germany | 23 % | 144 % |
| France | 47 % | 294 % |
| Italy | 50 % | 313 % |
| Austria | 26 % | 163 % |
Employers in Switzerland have therefore an appreciably lower burden through social insurances than employers in our neighbouring countries.
Concrete load to the employer.