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Lucky or unlucky Friday the 13th? Bern approves the Bilaterals III package with the EU – but a referendum could still decide its fate.

Switzerland Today

Dear Swiss Abroad,

Happy Friday the 13th. Today marks one year in office for Defence Minister Martin Pfister. Is luck on his side – or is his personality his saving grace?

Airlines, travellers and Swiss citizens affected by the Middle East conflict have been less fortunate, as flights remain cancelled and options to return to Switzerland are scarce. The Swiss foreign ministry is not planning any repatriation flights. Why? We explain in detail below.

Wishing you a lucky day!

The Swiss federal government has adopted the new treaty agreement with the EU and submitted it to Parliament.
The Swiss federal government has adopted the new treaty agreement with the EU and submitted it to Parliament. Keystone / Peter Klaunzer

Today the Swiss federal government adopted the so-called Bilaterals III, a package of agreements with the European Union (EU) aimed at maintaining Switzerland’s economic ties with its most important trading partner. The package will now be submitted to parliament.

The EU is Switzerland’s most important trading partner. Stabilising relations is “not a political luxury” in view of the tense geopolitical situation, Foreign Minister Ignazio Cassis said.

The package comprises 18 agreements as well as amendments to 36 existing federal laws, 15 of which are considered “substantial”. In addition, parliament will have to deal with three new laws regarding the monitoring of state aid, administrative cooperation in the recognition of professional qualifications and Switzerland’s financial contributions to strengthening cohesion in Europe.

One aspect that is likely to spark debate concerns the so-called dynamic adoption of EU law, whereby changes at EU level would also be reflected in Swiss legislation. However, Cassis emphasised during the press conference: “Dynamic doesn’t mean automatic.”

In connection with this dynamic adoption of law, Switzerland – as well as relevant stakeholders – would be able to take part in what is known as the “decision-shaping” process. This would allow Switzerland to participate earlier in discussions on EU legislation.

The Swiss government is also sticking to its decision to submit the agreements to an optional referendum. This means that a simple majority of voters would be required to approve the package of treaties; a majority of the cantons would not be necessary. A referendum would ultimately answer the question of how closely Swiss voters want their country to align with the EU.

A wreath of flowers is displayed in the Valais cantonal government on March 9, during a session in which a supplementary loan following the fire at Crans-Montana was discussed.
A wreath of flowers is displayed in the Valais cantonal parliament on March 9, during a session in which a supplementary loan following the fire in Crans-Montana was discussed. Keystone / Cyril Zingaro

Following the fire disaster in Crans-Montana, the Valais cantonal authorities have taken two decisions relating to the New Year’s Day tragedy.

Yesterday, the Valais cantonal parliament agreed to set up a foundation in favour of the victims of the Crans-Montana fire disaster and their families. The fund is to be endowed with CHF10 million ($12.7 million). At this stage, pledges totalling around CHF24 million have been received from public authorities, private individuals and other bodies. The municipality of Crans-Montana has pledged CHF1 million and canton Vaud CHF7 million.

Today, the Valais cantonal house of representatives overwhelmingly approved a motion to introduce a cantonal building insurance scheme, with 103 votes in favour, 12 against and nine abstentions. The proposal would require cantonal and municipal buildings to be insured through this scheme, which would cover damage from fire and natural hazards and promote preventative measures. The motion will now be referred to the Valais state council for a response.

Valais is one of the few cantons in Switzerland that does not yet have such insurance. In 19 other Swiss cantons, building insurance with a cantonal insurer is mandatory. Just a few years ago, the Valais parliament rejected a similar motion.

Swiss travellers arrive at Zurich Airport after a special Swiss flight from Muscat, Oman. The flight brought stranded passengers from the Gulf region back to Switzerland.
Arrivals at Zurich Airport after a special SWISS flight from Muscat, Oman. The flight brought stranded passengers from the Gulf region back to Switzerland. Keystone / Michael Buholzer

“Pretty much complete”, “a short excursion”, “five to six weeks”, “whatever it takes” – the White House timeline for the conflict in the Middle East keeps shifting. With airspace closures narrowing possible flight paths, this is creating huge challenges for airlines such as Swiss International Air Lines (SWISS) and for Swiss citizens stranded abroad.

Flying east from Switzerland has become more complicated than ever. The conflict in the Middle East, together with Russia’s ongoing war in Ukraine, has limited the available flight corridors for airlines. In an interview with Swiss public broadcaster SRF, Mark Ansems, head of the SWISS operations control centre, spoke about the difficulties airlines face. Currently only two flight routes remain available. “There’s not much room for manoeuvre left before stable operations towards Asia are no longer possible,” said Ansems. With less than three weeks until the Easter holiday period, hopeful travellers could face disappointment.

Even more affected are the more than 1,900 Swiss nationals registered in the region. With limited commercial flights and very high costs, many have few options to return. The Swiss foreign ministry is also not planning additional repatriation flights, citing the principle of “personal responsibility”.

This principle forms the basis of the Swiss Abroad Act, which came into force in 2015: those who travel abroad should weigh the risks and largely resolve problems themselves. State aid is intended as support in emergencies, not as insurance. Social Democratic parliamentarian Carlo Sommaruga has proposed reviewing the Swiss Abroad Act to assess whether it still reflects today’s realities. At the same time, he notes that the regional consequences of an escalation between Israel and Iran were foreseeable, and travellers should have been aware of the risks.

He calls himself a “happy minister”, but how much longer will his nice-guy personality protect him from the realities of the Federal Palace?
He calls himself a “happy minister”, but how much longer will his nice-guy personality protect him from the realities of the Federal Palace? Keystone / Peter Schneider

After twelve months in office, one thing is clear: everyone seems to like Martin Pfister. Widely seen as open and personable, the defence minister enjoys a friendly reputation. Yet is such niceness an asset – or a liability – in federal Bern?

This is the question raised by the Tages-Anzeiger. According to a survey, Pfister is currently the most popular member of the Federal Council among the public. While many members of parliament praise his personality, some question his deeper understanding of the political intricacies of the Swiss federal government.

At the centre of the criticism is Pfister’s proposal to increase value added tax (VAT) by 0.8 percentage points to help finance his ministry.  

“It seems as if he hasn’t yet fully grasped the mechanism of the Federal parliament,” Social Democratic parliamentarian Priska Seiler Graf told the Tages-Anzeiger. “Otherwise he would never have come up with a project as hopeless as the VAT increase.” According to the newspaper, even members of Pfister’s own Centre Party doubt the proposal will succeed.

Having been in office for (only) a year, many of the problems facing the defence ministry are still attributed to his predecessor, Viola Amherd. However, as our briefings have reported repeatedly over the past year, difficulties have persisted – if not worsened – including delays and dissatisfaction surrounding projects such as the F-35 fighter jet, drones and military telecommunications systems.

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