Severance payments in Switzerland

Under the Code of Obligations, severance payments must only be paid if the employee affected is over the age of 50 and has worked for more than 20 years for the same employer.

In that case, the statutory minimum severance payment is equal to two months’ salary. If the employee receives, or will receive, payments from a social security scheme that has totally or partly been funded by the employer, there is no obligation to make severance payments.