30.4.2023
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6 min reading

Sick leave in Switzerland ๐Ÿค’

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Understanding sick leave ๐Ÿค’

Sick leave is an incapacity to work due to illness, whether partial or total, regardless of its duration. It can be certified by a doctor by means of a medical certificate or it can be recognized by the sick employee simply notifying his or her employer. In Switzerland, sick leave due to pregnancy is also considered as sickness.

Sick Leave Management: HR Perspective ๐ŸŽฏ

The Value of a Well-Defined Sick Leave Policy โœ…

It is best to specify the treatment of sick leave in a company regulation. The advantages of this are:

  • Transparency about the duties and obligations of both employees and the employer.
  • Ensuring that employees are treated fairly
  • Avoidance of disputes
  • Enabling employees to take out personal insurance to supplement the cover provided by the employer

Sick Leave Procedures and Employee Rights ๐Ÿ“œ

The right to salary and the procedure to be followed by the sick person are, among other things, provisions that should be mentioned in a company regulation. It is customary, for example, to ask the sick employee to inform his or her hierarchy and/or the HR manager without delay and to request a medical certificate only from the 4th day of absence.

The employer is free to decide on more or less flexible treatment in the event of illness, provided that it complies at least with the Code of Obligations (CO) and any collective bargaining agreements to which it is subject.

The Impact of Sick Leave on Holiday Entitlement ๐Ÿ“…

The possible reduction of holiday entitlement is also an important point to mention in a company regulation. Article 329b of the Swiss Code of Obligations (CO) provides that if an employee is prevented from working for more than one month in total during a year of service through his own fault, the employer may reduce his holiday entitlement by one twelfth for each full month of absence. This period is extended to two full months in the case of pregnancy.

Again, the employer may decide to be more generous and not make any reduction.

Compensation during sick leave ๐Ÿ’ฐ

The sick employee's entitlement to salary generally depends on whether or not the employer has taken out daily sick pay insurance.

If the employer has not taken out insurance, Article 324a para. 2 of the Code of Obligations must be applied. It states that during the first year of service, provided the relationship has lasted more than 3 months, the employer pays the salary for 3 weeks. After the first year of service, the salary is paid for a longer period determined in a fair manner, taking into account the length of the employment relationship and the particular circumstances.

Due to the lack of precision in this article, payment scales have been developed. For example, the Bernese scale, which is often used in these situations, is as follows:

  • 3 weeks in the 1st year of service
  • 1 month during the 2nd year of service
  • 2 months in the 3rd and 4th year of service
  • 3 months from 5th to 9th year of service
  • 4 months from 10th year of service
  • 5 months from the 15th year of service
  • 6 months from the 20th year of service*.

*From the 20th year of service onwards, an additional month is granted for each additional 5 years of service.

If, on the other hand, the employer has decided to take out insurance, it must at least cover these benefits:

  • Payment of 80% of salary.
  • Cover for incapacity for work for 720 days out of a period of 900 days.
  • At least 50% of the insurance premium must be paid by the employer.

The employer can request better benefits such as a reimbursement of 90% or even 100% of the salary. Of course, the higher the coverage, the higher the premium.

Sick Leave during Holidays ๐Ÿ–

Falling ill During Holiday ๐Ÿ˜ท

Legal doctrine and the Federal Chancellery accept that the employee can recover holiday days if the incapacity occurs during holiday and the employee provides a dated medical certificate. (Carruzzo Philippe, Le contrat individuel de travail, Zurich 2009; Eric Cerrottini, Le droit aux vacances, Thรจse Lausanne).

As there is still no Federal Court ruling on this issue, it is advisable to be cautious and pragmatic and to ask the employer to cancel the holiday days only if the pathology in all likelihood prevents the purpose of the holiday under the law, i.e. rest. For example, the fact that you cannot go abroad is not in itself a sufficient argument.

Taking a Holiday While on Sick Leave ๐Ÿ

Here again, the answer cannot be limited to a yes or a no. The activity carried out during the holiday must be related to the pathology.

If taking a holiday while being unable to work due to depression does not seem to call into question the medical certificate, the same cannot be said for a skiing holiday when suffering from knee tendonitis.

In any case, we recommend that you always ask the insurer for prior authorization to avoid any disappointment caused by the cessation of daily allowance payments.

Dismissal of a sick employee ๐Ÿ“

It is a common misconception that it is forbidden to dismiss a sick employee. This is not true. In fact, an employer has the right to dismiss an employee after having respected the following protection periods (art. 336c para. 1 CO):

  • 30 days in the 1st year of service
  • 90 days from 2nd to 5th year of service
  • 180 days from the 6th year of service

These time limits are also void if the dismissal is immediate for just cause. There is also no protection during the trial period for fixed-term contracts or contracts concluded for a period of less than 3 months.

It should be noted that if the employer has taken out daily sickness benefit insurance, this will continue to pay benefits to the employee after the end of the employment relationship until the end of the 720 days and as long as the incapacity is recognized.

Strategies for Reducing Absenteeism ๐Ÿ“‰

The number of short-term sickness absences can often be reduced by improving working conditions.

A link between absenteeism and well-being at work has been demonstrated for some years. A recognized and motivated employee with a good work-life balance, working for a respectful and caring company will be less absent than an employee with worse working conditions.

Similarly, if the employer is considerate, shows genuine empathy for employees who are absent for longer periods of time, and makes every effort to ensure their safe return, some sick leave can be significantly shortened. To help employers, many specialist companies offer corporate health management services. Do not hesitate to call on their services.

How Earny can help ๐Ÿค

At Earny, we comprehend the intricacies of handling sick leave payments as part of payroll management. We are dedicated to simplifying payroll processes and fostering transparency in your workplace.

Efficient payroll management ๐Ÿ’ผ

Our advanced software streamlines sick leave payroll management. It simplifies tracking employee absences and ensuring appropriate compensation. We work in strict accordance with the Swiss Code of Obligations (CO) and any applicable collective bargaining agreements, providing accurate, transparent payroll solutions.

Custom Solutions for Your Unique Needs ๐ŸŽฏ

We understand that each business faces unique challenges when it comes to payroll management. Earny offers tailored solutions that meet your specific needs. Our goal is to simplify your HR tasks, enabling you to focus more on fostering a supportive and positive work environment. Let's build a healthier workplace together with Earny.

โ€Conclusion๐ŸŽ“

Sick leave is part of business life. If it is well managed, handled with care and professionalism, it will be easier for both the employer and the employee.

List of sources ๐Ÿ“š

Code of Obligations (CO)

https://www.seco.admin.ch/

https://www.questiondedroit.ch/conge-maladie-suisse/#rappel

Author-Trice
Sandra Vionnet
Payroll Lead

Sandra leads payroll at Earny helping clients with onboarding and complex payroll topics to ensure compliance. She has over 20 years of payroll experience helping clients and also building payroll products.

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