In Switzerland, employees who are unable to work due to illness are entitled to continued pay from their employer for a limited period under the Code of Obligations (OR Art. 324a). The duration of continued pay depends on the length of service: three weeks in the first year of service, with longer periods for longer service. Many employers supplement this with daily allowance insurance (Taggeldversicherung) to extend the payment period.

Statutory entitlement

Continued pay from employer: 3 weeks in the first year of service. Increases with length of service: up to 18 weeks for 20+ years. The Berner and Zürcher scales are commonly used to determine the exact duration.

Eligibility

All employees are entitled to continued pay during illness. There is no minimum service requirement for the initial entitlement, but the duration increases with length of service.

Employer obligations

  • Continue to pay the employee's full remuneration during the statutory continued pay period.
  • Accept medical certificates from registered medical practitioners.
  • Not dismiss the employee during the continued pay period (protected period).
  • Maintain daily allowance insurance (Taggeldversicherung) if provided in the employment contract or collective agreement.
  • Allow the employee to return to work after recovery.

Employee rights

  • Right to continued pay during illness for the statutory period.
  • Right to daily allowance benefits if the employer provides Taggeldversicherung.
  • Right to protection against dismissal during the continued pay period.
  • Right to return to the same position after recovery.

Common pitfalls

  • Not checking the applicable scale — the Berner, Zürcher, and Basel scales determine the duration of continued pay. Employers should specify which scale applies in the employment contract.
  • Not maintaining daily allowance insurance — many employers offer this as a benefit, but it is not statutorily required.
  • Dismissing an employee during the continued pay period — this is prohibited and would constitute unfair dismissal.

Continued pay scales

The duration of continued pay is determined by one of three commonly used scales: the Berner scale, the Zürcher scale, or the Basel scale. The Berner scale is the most widely used: 3 weeks in the first year, increasing to 18 weeks after 20 years of service. The Zürcher scale is slightly more generous.

Daily allowance insurance

Many employers provide daily allowance insurance (Taggeld- versicherung) to supplement the statutory continued pay. This insurance pays a daily allowance (typically 80% of salary) for up to 720 days within 900 days. It is not statutorily required but is a common benefit.

Protection against dismissal

During the continued pay period, employees are protected against dismissal. The protected period is: 30 days in the first year of service, 90 days in years 2–5, and 180 days after 5 years of service.

Frequently asked questions

What is the difference between the Berner and Zürcher scales?

Both scales determine the duration of continued pay based on length of service. The Zürcher scale is slightly more generous, providing longer payment periods for the same length of service.

Is daily allowance insurance mandatory?

No. Daily allowance insurance is not statutorily required. However, many employers provide it as a benefit, and some collective agreements require it.

What happens after the continued pay period ends?

After the statutory continued pay period, the employee may receive disability benefits from their health insurance or daily allowance insurance if the employer provides it.

Sources

This page is provided for general guidance and does not constitute legal advice. Always check the cited primary source for current law before making employment decisions.