Unemployment Insurance in Switzerland: Your Rights

The Legal Framework of Unemployment Insurance

Unemployment insurance in Switzerland is governed by the Federal Act on Compulsory Unemployment Insurance and Insolvency Compensation (UIA/LACI). It aims to partially compensate the income loss of workers who find themselves without employment and to promote their professional reintegration.

Conditions for Entitlement to Benefits (Art. 8 UIA)

Art. 8 UIA sets the cumulative conditions for receiving unemployment benefits:

1. Being without employment totally or partially (art. 10 UIA)
2. Having suffered a loss of work to be taken into consideration (art. 11 UIA)
3. Residing in Switzerland (art. 12 UIA)
4. Having completed compulsory schooling and not having reached OASI retirement age
5. Fulfilling the contribution period or being exempt from it (art. 13-14 UIA)
6. Being fit for placement (art. 15 UIA)
7. Satisfying the control requirements (art. 17 UIA)

The Contribution Period (Art. 13 UIA)

Art. 13 para. 1 UIA requires the insured person to have been in employment subject to contributions for at least twelve months during the two years preceding unemployment (contribution framework period). Art. 14 UIA provides for exemptions from the contribution period, notably for persons who have completed training, who were ill or who devoted themselves to raising their children.

Fitness for Placement (Art. 15 UIA)

Art. 15 para. 1 UIA provides that the insured person must be willing, able and authorised to accept suitable work. They must be prepared to accept employment even if it does not fully correspond to their qualifications or previous salary expectations. The suitability of work is defined in art. 16 UIA: the proposed salary must not be more than 30% below the insured earnings, the workplace must not require more than two hours of round-trip travel, etc.

Benefit Amounts

Insured Earnings (Art. 23 UIA)

The insured earnings correspond to the average salary of the last six months of employment or the last twelve months if more favourable (art. 23 para. 1 UIA). The maximum insured earnings are set at CHF 148,200 per year (CHF 12,350 per month).

Compensation Rate (Art. 22 UIA)

Art. 22 para. 1 UIA sets the daily allowance at 70% of insured earnings. This rate is increased to 80% for insured persons who have maintenance obligations towards children, who receive an allowance below a minimum amount, or who are disabled (art. 22 para. 2 UIA).

Maximum Number of Daily Allowances (Art. 27 UIA)

The maximum number of daily allowances depends on the age of the insured and their contribution period:

1. 260 daily allowances for insured persons under 25 with 12 months of contributions
2. 400 daily allowances for insured persons with 12 months of contributions (general rule)
3. 520 daily allowances for insured persons over 55 or receiving a disability pension

Obligations of the Unemployed (Art. 17 UIA)

Art. 17 UIA imposes several obligations on the insured person:

1. Actively seeking employment and documenting their search (generally 8 to 12 applications per month, depending on the canton)
2. Attending regular meetings at the regional employment centre (RAV/ORP)
3. Accepting any suitable work offered to them
4. Participating in reintegration measures (courses, internships, temporary employment programmes)

Sanctions (Art. 30 UIA)

Art. 30 UIA provides for suspension days in case of failure to meet obligations. Grounds for suspension include:

1. Voluntary unemployment (own fault)
2. Insufficient job search efforts
3. Refusal of suitable work
4. Failure to attend a counselling interview

The duration of suspension varies from 1 to 60 days depending on the severity of the fault. In cases of repeated faults, entitlement to benefits may be suspended for an extended period.

Registration and Procedure

The insured person must register with the RAV/ORP at their domicile from the first day of unemployment (art. 17 para. 2 UIA). Late registration results in the loss of benefits for the elapsed days. The file is then processed by the competent unemployment insurance fund, which pays benefits monthly.