Aargau Labour Market: Wages, Sectors and Training (cross-border guide)

Context

In brief

• Education (AFC, diploma, university) determines salary levels
• Maximum 45 hours/week for industry, offices, and sales
• Minimum 4 weeks of vacation; 5 if under 20 years old
• Collective agreements set minimum wages for roles and sectors

Key facts

• What: Structure of the Swiss labor market based on education level and collective agreements
• When: Federal rules in effect and stable
• Where: Canton of Aargau and all of Switzerland
• Who: Employees with a federal contract or subject to CBA
• Rights: Minimum 4 weeks of vacation; regulated maximum hours

The canton of Aargau, located in northeastern Switzerland, follows the Swiss labor market system. Like all Swiss cantons, the market is structured around three pillars: education, collective labor agreements (CBA), and federal regulation.

In Switzerland, there is no mandatory federal minimum wage: wages are primarily determined by collective agreements, individual agreements between employer and employee, and the level of education achieved. For specific sectors and cantons, numerous collective agreements set minimum wages for roles and seniority, protecting workers from excessively low wages.

The level of education is the main factor influencing salary levels. Professional training in Switzerland follows three paths: Apprenticeship (AFC - Federal Certificate of Proficiency), high school diploma, and university.

Levels of education and salary differentials

Apprenticeship typically lasts 3-4 years and combines classroom lessons with practical training in a company. Upon completion, the apprentice receives the AFC, a nationally recognized title that opens access to many jobs in the manufacturing, construction, commercial, and service sectors. It combines technical skills and operational management.

…

Operational details

Collective agreements and federal regulation

Collective Labor Agreements (CLA, or GAV in German) are agreements negotiated between unions and employers' associations for a specific sector and often for a canton. They establish minimum wages for job functions, annual increases for seniority, working hours, vacations, bonuses, and other employment conditions.

In the canton of Aargau, numerous sectors have active CLAs. For example, the metal industry, construction, the public sector, and services have collective agreements that protect workers. An employee hired by a company subject to a CLA receives a salary that respects the minimum established by the contract for their function and seniority. This system ensures fairness and transparency in the labor market.

The duration of the working week in Switzerland is regulated at the federal level. For industry, offices, and the sales sector, the maximum is 45 hours per week. For other sectors (e.g., agriculture), the limit can be 50 hours. Overtime is compensated with equivalent rest hours or additional pay, as stipulated in the contract.

Minimum vacations are set by federal law. All workers are entitled to a minimum of 4 weeks of paid vacation per year. Those under 20 at the time of hiring are entitled to 5 weeks. Many CLAs provide for more vacation—e.g., 5 or 6 weeks for workers with high seniority or in certain specific sectors.

Contract termination follows federal terms: 1 month during the first year of employment, 2 months from the second to the ninth year, and 3 months from the tenth year onwards. However, CLAs can establish longer and more favorable terms for the employee. Termination must be communicated in writing, respecting precise deadlines that vary for the first or fifteenth day of a month.

…

Key points

How to find work and negotiate in Switzerland

If you are interested in looking for work in the canton of Aargau, here are the concrete steps to follow.

Step 1: Job search. The main Swiss job portals include specialized platforms for each sector. You can search for the canton of Aargau and the required level of education (VET, diploma, university). Many Swiss companies publish job offers 2-3 weeks before the expected start date.

Step 2: Prepare the Swiss CV. The CV is more concise compared to other countries: 1-2 pages are the standard. Include work experience in reverse chronological order, education (VET level, diploma, university, additional courses), spoken languages, and references from previous employers. It is not customary to include a photo, although some employers may request it.

Step 3: Attend the interview. Swiss interviews are formal and focused on skills and expected salary. It is common for the employer to mention the salary range during the first interview. Research the median salary for your position and the canton of Aargau using evaluation tools to have a realistic idea of the salary.

Step 4: Check the applicable CBA. Once you receive the offer, ask the employer which collective agreement applies to your role. If there is a CBA, your salary must comply with the minimum stipulated. Many employers automatically provide a copy of the relevant CBA at the time of hiring.

Step 5: Calculate the net salary. The gross salary reported in the offer will be subject to deductions for AHV/AIV (5.3%), unemployment insurance, LPP (pension fund) contributions, and federal/cantonal taxes. Use the salary calculator to simulate the net salary based on the offered gross salary, work/residence canton, and level of education.

…