The Swiss cabinet has refused to ban the payment of salaries in other currencies while the strong franc persists.
The government said it would be an extreme measure that would not afford workers proper protection against the economic consequences of the strong Swiss franc.
A motion had been brought by two parliamentarians calling for the ban.
The inter-professional trade union Unia also submitted a petition to the cabinet calling for an end to Swiss businesses paying border workers in euros. The petition had 1,800 signatures collected in recent weeks in the metalworking and machinery sector.
Paying salaries in euros infringes bilateral accords which forbid all discrimination, said Renzo Ambrosetti, joint president of Unia.
swissinfo.ch and agencies