Parliament deals with attack on cantonal minimum wages
Published: Friday, Dec 13th 2024, 11:40
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According to the will of Parliament, provisions in generally binding collective employment agreements should take precedence over cantonal minimum wages in future. Despite fierce criticism during the consultation process and against its will, the Federal Council passed a corresponding bill on Friday.
To implement the motion by Council of States member Erich Ettlin (center/OW), which was passed by both chambers, the Federal Council is proposing an amendment to the Act on the Declaration of General Applicability of Collective Employment Agreements (Aveg). Accordingly, provisions on minimum wages in collective employment agreements (CEAs) should be able to be declared generally binding, even if they contradict mandatory cantonal law.
If the bill is implemented, cantonal minimum wage provisions confirmed by the people will become null and void if the Federal Council has declared the CEC to be generally binding in the relevant sectors. The CEC provisions would then apply. Today, a CBA may not contradict mandatory federal and cantonal law.
Referendum announced
The proponents of the proposal argued in parliament that the social partnership has ensured labor peace in Switzerland for over a hundred years. Today, the problem is that CLAs agreed by the social partners are declared generally binding for the whole of Switzerland by the Federal Council, but can be undermined by cantonal regulations.
In its dispatch, however, the Federal Council points out that the requested amendment contradicts "several principles of the Swiss legal system". For example, it violates the division of powers between the Confederation and the cantons. As in the consultation draft, the Federal Council therefore recommends that the bill should not be adopted.
The idea was also controversial during the consultation process. The Swiss Federation of Trade Unions (SGB) has already announced a referendum if the bill passes the parliamentary hurdle. The Conference of Cantonal Directors of Economic Affairs (VDK) complained that the amendment would override popular decisions.
©Keystone/SDA