What changes with the increase in VAT to fund the 13th AVS?

The increase in VAT by 0.4 percentage points will be used to fund the 13th AVS. This increase will have a direct impact on Swiss consumers, who will need to adjust to the new costs. The public vote will decide whether this increase will be confirmed.

What are the implications of the new minimum wages in collective agreements?

The new law will prioritize the minimum wages set in collective agreements over those established at the cantonal level. This will have a direct impact on workers in various sectors, such as catering, cleaning, and hairdressing. The Swiss Trade Union Federation has announced a referendum to oppose this decision.

How will the decision on nuclear power affect Swiss energy policy?

The repeal of the ban on new nuclear power plants represents a strategic shift from the vote ten years ago. Switzerland could return to investing in atomic energy, significantly changing its energy policy and electricity production.

Nuclear, 13th AVS & Minimum Wages: Summer Session Results

By Laura Bianchi (editorial byline of the newsroom, AI-generated text) · Published on 20 June 2026 · Updated on 8 October 2026

Swiss Federal Parliament in Bern during a session.

New votes in Switzerland on nuclear power, 13th AVS funding, and minimum wages. Here's what changes.

Context

In brief

Summer session of Parliament: three key dossiers
13th AVS: 0.4% VAT increase
Nuclear: end of ban on new power plants

Key Facts

What: Discussion on three main dossiers: nuclear, 13th AVS, and minimum wages.
When: Summer session of the Swiss Parliament.
Where: Bern.
Who: National Council and Council of States.
Amount: 0.4 percentage point VAT increase.

With the closure of the summer session of the Federal Assembly in Bern, three major dossiers have been postponed to a popular vote. These concern the opening to nuclear energy, the financing of the 13th AVS, and the issue of minimum wages in collective labor agreements.

The National Council and the Council of States have given the green light to the indirect counterproposal of the Federal Council to the 'Stop Blackout' initiative. With this change, the current ban on building new nuclear power plants in Switzerland is lifted. This represents a strategic shift from the popular vote ten years ago, which decided on the gradual phase-out of nuclear energy.

Energy dossier: nuclear and VAT

To finance the 13th AVS, the Parliament approved a 0.4 percentage point increase in VAT, without affecting wages. This solution was imposed by the Constitution and will need to be approved in a popular vote. The major AVS 2030 reform, which also includes an increase in the retirement age, will remain on the table for discussion.

Minimum wages: referendum announced

Regarding minimum wages, the Parliament decided to prioritize those set in collective labor agreements over those established at the cantonal level. The Swiss Trade Union Federation has already announced a referendum, arguing that the law overrides the democratic choices of cantons and municipalities, such as Geneva, Neuchâtel, Zurich, and Ticino, which had introduced minimum wages for all workers. With the new provisions, collective labor agreements will prevail over cantonal laws, directly affecting the lowest wages in sectors such as catering, cleaning, and hairdressing.

Fireworks: final surprise

In closing the session, the National Council rejected the indirect counterproposal to the popular initiative that sought to ban fireworks. In this case as well, the decision will go to a popular vote.

Operational details

The summer session of the Swiss Parliament has left three major dossiers that will return to the Swiss people. These concern the opening to nuclear power, the financing of the 13th AVS, and the issue of minimum wages in collective contracts.

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Key points

Procedure for Minimum Wages

With the new law prioritizing minimum wages from collective agreements over cantonal ones, Swiss workers need to be aware of some changes. Here is a step-by-step guide to understanding what's new:

1. Check the collective agreement: Verify if your industry is covered by a national collective agreement. If so, the minimum wage specified in the collective agreement will override the cantonal minimum wage.

2. Compare wages: If your industry is not covered by a national collective agreement, the cantonal minimum wage will continue to apply. However, if a collective agreement is introduced in the future, the minimum wage specified in the agreement will take precedence.

3. Documentation: Keep a copy of the collective agreement and the applicable minimum wage. This may be useful in case of disputes or checks by authorities.

4. Request clarifications: If you have doubts about the applicable minimum wage, you can contact your employer or a union representative for clarification. Navigate to action for more details.

Procedure for VAT Increase

With the 0.4 percentage point increase in VAT to finance the 13th AVS, Swiss consumers need to adapt to the new costs. Here is a step-by-step guide to understanding what's new:

1. Information on new prices: Swiss retailers are required to inform consumers about the new prices, including the increased VAT. Check price tags and invoices to verify the correct application of VAT.

2. Household budget: Reprogram your household budget considering the VAT increase. This might include cutting non-essential expenses or finding more affordable alternatives.

3. Documentation: Keep invoices and receipts showing the application of the increased VAT. This may be useful in case of disputes or checks by authorities.

4. Request clarifications: If you have doubts about the application of the increased VAT, you can contact the retailer or the Swiss Federal Tax Administration for clarification. Navigate to action for more details.

Deadlines and Voting

The votes on the three main issues will take place on a date yet to be specified. It is crucial to stay updated on deadlines and participate actively in the vote to express your opinion. Navigate to action for more details.

Useful Tools

To calculate the impact of changes on wages and household expenses, you can use tools like the salary calculator, which allows you to estimate the new net salary and applicable VAT. Navigate to action for more details.

Source: rsi.ch

Frequently Asked Questions

What changes with the increase in VAT to fund the 13th AVS?: The increase in VAT by 0.4 percentage points will be used to fund the 13th AVS. This increase will have a direct impact on Swiss consumers, who will need to adjust to the new costs. The public vote will decide whether this increase will be confirmed.
What are the implications of the new minimum wages in collective agreements?: The new law will prioritize the minimum wages set in collective agreements over those established at the cantonal level. This will have a direct impact on workers in various sectors, such as catering, cleaning, and hairdressing. The Swiss Trade Union Federation has announced a referendum to oppose this decision.
How will the decision on nuclear power affect Swiss energy policy?: The repeal of the ban on new nuclear power plants represents a strategic shift from the vote ten years ago. Switzerland could return to investing in atomic energy, significantly changing its energy policy and electricity production.