Work and wagesNews

Minimum wages: protect cantonal floors and strengthen collective agreements

On 7 October, Geneva’s Council of State set the minimum wage applicable in 2027 at CHF 24.73 an hour. The PCP supports complementary guarantees: an effective public wage floor and collective agreements that improve pay and employment conditions.

Reference date
Published

What Geneva has decided

The cantonal guidance explains that the statutory minimum applies when an individual contract or collective agreement specifies a lower wage. This is Geneva’s rule, not a federal minimum wage. Cantonal systems and sectoral provisions differ.

Indexation maintains a necessary benchmark. It does not, by itself, secure every household’s disposable income after rent, health insurance and travel costs. The number of hours actually paid matters as well. Low contracted hours or unpredictable schedules can leave workers exposed even where the hourly floor is respected.

Collective agreements should raise standards

An agreement’s value extends beyond its entry-level wage. Job classifications, progression, hours, leave and enforcement are also essential. The PCP supports bargaining that produces identifiable gains for employees and gives trade unions the means to defend them.

Parliament adopted the amendment to federal legislation on extending collective employment agreements on 19 June 2026. On 23 October, the Federal Chancellery confirmed that the popular referendum against this amendment had secured the required support. The amendment concerns the extension of minimum wages below cantonal statutory floors. Parliamentary adoption must therefore not be described as a new priority rule already in force. The PCP defends the guarantee that is more favourable to the worker.

Rights require effective enforcement

Clear payslips, verifiable classifications and adequately staffed inspections are priorities. Allowances and expense reimbursements must be distinguishable from basic pay so that compliance can be assessed properly. Recorded hours must reflect the work actually performed.

Cantonal authorities and joint enforcement bodies act within their respective responsibilities. Cooperation must prevent responsibility from being passed between institutions. A worker should be able to report a problem without having to reconstruct the entire legal framework alone or face retaliation for raising it.

The PCP’s position

Changes to the relationship between legislation and collective agreements must be judged by their practical effect on low-paid workers. Counting the contracts covered is insufficient. The PCP calls for rising real wages, reliable guarantees over working hours and lasting funding for enforcement.

A credible assessment should therefore examine pay received, unpaid time and the recovery of sums owed, while protecting personal information. Social partnership is valuable when it strengthens employees’ position. Its quality must be measured through the protection workers obtain, including in sectors where their bargaining power is weakest.

Documents and sources

The cited documents provide the facts and provisions examined. Political judgments and proposals expressed in this article are those of the PCP.