Parental allowances: new entitlements from 1 July 2027 (cross-border guide)

The Federal Council approves the amendments to the IPG law: from 1 July 2027 parents and families will have access to benefits hitherto reserved for the military.
Context
In a nutshell
- The Federal Council implements the IPG amendments from 1 July 2027
- Parents will be entitled to benefits hitherto reserved for military and civil service personnel
- Four concrete measures: company allowances, prolonged maternity, bereavement, hospitalisation assistance
Key facts
- What: Review of the loss of earnings allowance (IPG) law to harmonise performance
- When: Federal Council Decision 26 August 2026; entered into force 1 July 2027
- Where: Federal Switzerland
- Who: Federal Council, Parliament (approval December 2025)
- Beneficiaries: Parents, mothers, fathers, adoptive parents, parents of children with health problems
The Federal Council decided on 26 August 2026 to give the green light to the amendments to the law on loss of earnings indemnities, approved by Parliament in December 2025. The measures will come into force on 1 July 2027 and aim to harmonise benefits between parents and those performing military, civil or civil protection service.
Until today, those who take parental leave funded through loss of earnings compensation (IPG) did not have access to certain ancillary benefits, such as company allowances, childcare allowances, or bereavement allowances. These rights were reserved exclusively for military, civilian and civil protection volunteers. The new regulation eliminates this disparity.
The
Operational details
Who benefits from the reform and why
Amendments to the IPG Act mainly affect parents who are entitled to parental leave funded through loss of earnings allowances. Until 1 July 2027, the situation was fragmented: parents and military/civilians enjoyed different protections despite being in comparable circumstances of loss of income.
With the reform, mothers and fathers who are absent from work due to parenthood will be able to access the same benefits as those on military or civil leave. The checks for the company will guarantee the self-employed a continuity of economic protection during the absence. Childcare allowances will compensate for the costs of babysitting or asilo nido necessary to allow a parent to return to work after maternity.
A significant novelty is the recognition of situations of mourning and hospitalization. So far, if a child was stillborn or died a few days after giving birth, the father (or the mother's wife in the case of a homosexual couple) was not entitled to paid leave. From 2027, the law will subsist, offering protection even in the most difficult situations.
Impact on families and the self-employed
Self-employed workers (artisans, freelancers, traders, professionals) will have more robust income protection in case of parental leave. Today, a craftsman who is absent on maternity or paternity leave risks losing his entire income without
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Key points
How to Access the New Benefits from July 1, 2027
Those entitled to income loss compensation must inquire with the competent authority in their canton to learn about the procedures for requesting the new benefits. Although the legal changes will take effect on July 1, 2027, it is advisable to prepare now by gathering the necessary documentation.
For self-employed workers wishing to access business allowances, it will be necessary to provide documentation attesting their status as self-employed and income loss during leave. For childcare expense allowances, proof of expenses incurred will be needed (receipts from daycare centers, babysitters, childcare facilities).
In the case of extended maternity compensation for hospital stays (of the mother or newborn), medical certification of the hospitalization and its duration will be essential. Similarly, for bereavement compensation (stillborn child or deceased within 14 days), a birth or death certificate issued by the competent authorities will be required.
Deadlines and Next Steps
The amendments to the income loss compensation ordinance will take effect on July 1, 2027. Before this date, the cantons will communicate the specific administrative procedures for accessing the new benefits. It is recommended to consult parental leave for information on national and cantonal rights.
Those already on parental leave before July 1, 2027 must verify with their canton whether they can retroactively benefit from the new benefits. This possibility will depend on the cantonal administrative provisions being developed. The Federal Council has indicated that the implementing ordinances will be published before the entry into force, allowing cantons to adapt their administrative systems.
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Frequently Asked Questions
- When do the new IPG benefits for parents start to apply?
- The amendments to the law come into effect on July 1, 2027. From this date, parents and adoptive parents will be entitled to company allowances, childcare allowances, and extended benefits in the event of their child's bereavement or hospitalization. The decision was taken by the Federal Council on 26 August 2026, confirming the parliamentary approval of December 2025.
- What is the difference between the new system and the previous one?
- Until now, only those serving in the military, civil service or civil protection had access to benefits such as company allowances and maintenance allowances. Parents on parental leave were not entitled to it. From 2027, benefits are harmonised: parents and military/civilians will enjoy the same economic protection during periods of absence from work for family reasons.
- If my child is hospitalized for four days, am I entitled to assistance indemnity?
- Yes, from 1 July 2027. Previously, care indemnity required an unfavorable prognosis or a radical change in health status. Now it is enough for the child to be hospitalized for at least four consecutive days, regardless of the severity of the diagnosis.
- If my child is stillborn, am I entitled to compensation for the other parent?
- As of July 1, 2027, yes. The changes extend the right to compensation for the other parent (mother's father or wife) even if the child is stillborn or dies within 14 days of birth. The allowance may be extended if the mother has to stay in hospital for at least two weeks in the 14 weeks after birth.
- Will the child allowance also be maintained under the new system?
- No, it will be abolished because its function is now carried out by family allowances (FAM), which all Swiss residents with children can claim regardless of the IPG. This is not a net loss, as family allowances offer universal protection and are managed at the cantonal level.
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