Littler Global Guide - Switzerland - Q2 2020

Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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Change of Pension Scheme

Precedential Decision by Judiciary or Regulatory Agency

Author: Ueli Sommer, Partner, Head of Employment – Walder Wyss, Ltd.

The Swiss Federal Court ruled that if a company changes the pension scheme provider without the consultation process required by law, i.e. without having the consent of at least 50% of the workforce, the termination of the contract with the former provider and the new contract with the new provider is null and void. Further, there is a risk that the management who pursued this change becomes (personally) liable for damages of the employees resulting from this. Hence, it is of utmost importance that the process is strictly followed.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.