Switzerland Today
Dear Swiss Abroad,
It’s well known that the Swiss old-age pension system needs more funding. Today, the federal government presented its plans for the next reform. In a nutshell: income from existing funding sources is to be increased, while the retirement age will remain at 65.
Good reading!
It’s no secret that the Swiss pension scheme needs more money. Interior Minister Elisabeth Baume-Schneider today presented the federal government’s plans for the next reform, known as “AHV2030”.
The government aims to boost the pot through current sources of pension funding, which specifically means increasing VAT and payroll taxes. These increases are to be temporary, limited to the period when financial pressure due to the retirement of the baby boomer generation is at its peak.
The government also wants to improve incentives for people to continue working beyond retirement age. In future, it should be possible to continue contributing to the pension scheme past the age of 70, and the CHF1,400 ($1,673) monthly allowance should be raised for those still working after 65. Early retirement, on the other hand, is to be made less attractive.
For now, the government has ruled out raising the retirement age, citing last year’s rejection by voters of such a measure. Likewise, it does not plan to introduce any new taxes.
What happens next? In the autumn, the federal government will publish guidelines for “AHV2030”. A draft bill is expected to go out for consultation at the beginning of 2026.
Switzerland’s highest court is celebrating its 150th year at work. The official ceremony takes place today at the Federal Court in Lausanne.
To mark the occasion, Swiss media have highlighted several landmark rulings made throughout the court’s history. One such case dates to 1986, when the Federal Court settled a legal dispute between discount supermarket chain Denner and the Swiss Beer Brewers’ Association. Denner refused to follow the industry’s price agreements, and in response, breweries blocked deliveries. The ruling effectively ended Switzerland’s beer cartel.
Another historic decision came in 1990, when the men of Appenzell Inner Rhodes had voted against women’s suffrage for the third time. The Federal Court unanimously ruled that women in the canton must be granted equal political rights.
In a detailed interview with Le Temps, Federal Court President François Chaix discussed the independence of the judiciary in democracies: “The rule of law is an intellectual construct based largely on written laws, on our decisions, and on the shared conviction that powers respect one another. We shouldn’t have to remind ourselves of these principles, but we realise they are fragile.” He added that in Switzerland, “we are fortunate to live in a true constitutional state where mutual respect is shared.”
The Swiss Broadcasting Corporation (SBC), SWI swissinfo.ch’s parent company, and the Swiss Media Publishers’ Association have reached an agreement for the first time on joint measures to strengthen Switzerland’s media landscape.
In short: the SBC will scale back its online offering to address the concerns raised by private media outlets. In return, these outlets will oppose the Swiss People’s Party’s initiative to slash the licence fee in half.
Key elements of the agreement include shorter text articles, limited use of interactive formats, and the elimination of text-based live tickers for sports events which are broadcast only. The SBC will also continue to forgo advertising in its online content.
Cooperation will be expanded: the SBC will focus on sports coverage that is not already provided by commercial outlets and will be more mindful of private media when acquiring rights.
The publishers’ association, in turn, has pledged its support for the SBC’s licence fee model and officially opposes the initiative to reduce the licence fee to CHF200. Notably, the TX Group is the only major Swiss media organisation that has not signed the agreement.
Imagine paying with your fingernail. That’s the idea behind a new Swiss payment method that uses a chip embedded in your nail – handy if your smartphone battery is dead, your wallet is at home, and you spot a bargain you can’t pass up.
The company behind this innovation is Lucerne-based Smart Chip. The chip links to a smartphone app and your credit card. Mastercard and Swiss lender Cembra Bank are already on board, according to reports from CH Media.
Smart Chip will roll out the product this autumn in partnership with around 30 nail salons across Swiss cities. The chip is applied to the nail in just ten minutes and costs CHF10 to CHF20 ($11 to $24). One catch: nails grow. On average, it’s estimated that the chip will need to be replaced every two months.
Payment is only the beginning. “The chip could also be used in future for timekeeping at work, unlocking secure doors, or even personal identification – like a digital business card,” says Smart Chip’s Head of Marketing, Mike Wicki.
Translated from German using DeepL/amva
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