Switzerland Update: Work permit for non-EU/EFTA citizens

Due to the constantly growing demand for qualified labour, the migration of foreign workers is a cornerstone of Swiss immigration policy. Switzerland as a business location is essentially characterised by a high wage level, its liberal economic and labour policy, its stability, its security, and the high quality of life.

While EU/EFTA nationals benefit from easier access to gainful employment through the Agreement on the Free Movement of Persons (AFMP), non-EU/EFTA nationals (so-called third-country nationals) are only admitted to the Swiss labour market under strict conditions of the Aliens and Integration Act (FNIA). How to obtain the desired work permit will be explained in more detail below.

Barriers to labour migration

Anyone wishing to be admitted to the Swiss labour market from a non-EU/EFTA country must apply for a residence permit from the relevant cantonal labour market and migration authority before gaining employment. Essentially, different admission requirements depend on the type of employment planned:

Gainful employment

To be able to work as a third-country national for an employer in Switzerland, it is not the employees themselves but the employer who must first submit an application for authorisation. The submission by the employer expresses that a permit is only granted for a specific job. However, such an application is only successful if the following criteria are met:

• The approval must be in the overall economic interest of Switzerland. This requires the consideration of the current labour market situation as well as future and sustainable economic development.
• Only skilled workers are admitted to gainful employment. This includes executives, specialists with a master’s or technical college degree and several years of professional experience.
• Employees from third countries can only be employed if it can be proven that the vacancy cannot be filled with suitable domestic or EU/EFTA employees despite search efforts (so-called national priority).
• The employer must comply with local, professional and industry wage conditions. In particular, the amount of compensation must be customary in the profession and industry. This serves the equal treatment of foreign and domestic employees.
• There must still be free capacity in the quota (determined by the Federal Council). The maximum number of immigrants for gainful employment is set annually based on economic and labour market indicators.

Dispatch

A special case of gainful employment is posted. Special rules exist regarding third-country nationals who are employed by an employer abroad and who are posted to Switzerland for a limited period and usually on a project-by-project basis to perform work in his name and on his behalf. In this case, too, the permit can only be applied for by the foreign employer. For admission, however, a prior employment period of at least one month with the foreign employer is required.

For the granting of the work permit, reference can be made to the requirements for employed workers. In contrast to self-employment, the criterion of national priority is waived since posted workers only stay temporarily in Switzerland and return to their home country after their assignment.

Self-employed persons

Self-employed persons are all persons who work under their own name on their own account, are under their own authority, and bear the entrepreneurial risk themselves. Third-country nationals wishing to pursue such gainful activity must apply for authorisation, which is approved under the following conditions:

• The authorisation must be in Switzerland’s overall economic interest. This is usually the case when a service is offered for high demand and for which there is no oversupply.
• From a financial point of view, the activity is likely to generate enough income to cover all the operating and living costs of the person.
• From an operational point of view, the equipment and/or premises required for gainful employment must be available, or it must be possible to procure them until the start of employment. This requires sufficient start-up capital.
• The self-employed person must be a qualified worker (i.e., with a master’s or technical college degree and several years of professional experience).

• There must still be free capacity in the quota (determined by the Federal Council). The maximum number of immigrants for gainful employment is determined based on economic and labour market indicators.

Are you interested in obtaining a work and residence permit in Switzerland? If you have any questions about work and residence in Switzerland, our immigration team will be happy to help.

By Vischer, Switzerland, a Transatlantic Law International Affiliated Firm.

For further information or for any assistance please contact switzerland@transatlanticlaw.com

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