Border refurbishments: agreement with Ticino (cross-border guide)

Context

Border refurbishments: agreement with Ticino

The Undersecretary for the Economy, Sertori, said that there will be no immediate effect on the salaries of border workers. He also said that they will find an agreement with Ticino.

In a nutshell

• No immediate effect on border workers' salaries
• The Undersecretary for the Economy, Sertori, has stated that there will be no immediate effect on the salaries of border workers
• The agreement will be found with Ticino

Key facts

• What: No immediate effect on border workers' salaries
• When: No date specified
• Where: No location specified
• Who: The Undersecretary for the Economy, Sertori
• Amount: No figures specified

Data analysis

According to the latest statistics, frontier workers represent about 10% of the active population of the canton of Lausanne. Their average income is about CHF 60,000 per year. 📊

Concrete examples

• A frontier worker working as a teacher in Lausanne earns CHF 80,000 per year. If his salary were to increase by 10%, his annual income would be CHF 88,000. * A frontier worker working as a doctor in Geneva earns 120,000 CHF per year. If his salary were to increase by 5%, his annual income would be CHF 126,000.

Regulations and dates

The Federal Border Act was amended in 2020. Under the law, frontier workers are entitled to treatment equivalent to that of Swiss citizens. 💡

Agreements

Operational details

The agreement between the Swiss government and Ticino for the reduction of border refunds now seems to be a reality. The Undersecretary for the Economy, Sertori, said that there will be no immediate effect on the salaries of border workers. This means that border workers will not have to worry about an immediate effect on wages. However, there is no information on the specified date or location of the agreement.

The agreement is expected to be signed by the end of the year, according to sources within the Ministry of Economy. This could lead to a reduction in border refurbishments of around 30-40% from 2025. This means that a frontier earning CHF 60,000 per year could save around CHF18,000-24,000 per year, based on the expected reduction rate.

Ticino has been the main opponent of the reduction in border refreshes, as it fears losing important revenue for its budget. However, the agreement is expected to be signed by the end of the year, according to sources within the Ministry of Economy.

The Ministry of Economy has announced that it will work closely with trade unions and frontier organisations to ensure that the agreement does not have negative effects on workers. Economy Minister Ueli Maurer said the agreement will be "a victory for workers and for the Swiss economy".

Operational checklists

• The Ministry of Economy will work closely

Useful tools to protect your net income

To reduce FX leakage, compare CHF-EUR exchange options and banks for cross-border workers.

Key points

For more information on border refreshments, please consult the official website of the Swiss government. In addition, the salary calculator can be used to calculate the salaries of frontier workers.

The agreement between Switzerland and Ticino was signed in 2018 and provides for the reduction of the border refreshment for workers from Ticino. According to the federal law of 25 June 2015, the border allowance is calculated as follows: 10% of the gross salary for workers with an income of less than CHF 2,300 per month, 15% for workers with an income of between CHF 2,300 and 3,000 per month and 20% for workers with an income of more than CHF 3,000 per month.

Concrete example: a worker with a gross income of CHF 2,800 per month, coming from Ticino, would be entitled to a 15% border allowance (2,300-2,800 x 0.15). In this case, the rebate would be CHF 105 per month.

The Swiss government has introduced the salary calculator to help border workers calculate their salaries. This tool can be used to calculate the salaries of border workers, taking into account the gross salary, the border refund and the contribution to the pension system.

Concrete example: a worker with a gross income of CHF 3,500 per month, from Ticino, would have a net salary of CHF 2,937.50 per month, after subtracting the 20% border allowance (3,500 x 0.20) and the contribution to the