World's Highest Minimum Wage on Ballot in Switzerland

[marmar]

(Bloomberg) Jasmin Eicher has already axed her sole full-time employee to keep afloat her shop selling cards, candles and paper in a Zurich suburb. If Switzerland approves what would be the world’s highest minimum wage, she says the only option would be to close her door.

The Swiss will vote in a national referendum May 18 on whether to create a minimum wage of 22 francs ($25) per hour, or 4,000 francs a month. While about 90 percent of workers in Switzerland already earn more than that, employers say setting Switzerland’s first national wage floor would push up salaries throughout the economy. When adjusted for currency and purchasing power, it would be the highest minimum in the world.

“We couldn’t pay it,” said Eicher, standing behind the counter in her shop in Schlieren. The employee she let go earned 3,500 francs a month. Now she’s by herself, working 10 hours a day, six days a week, and her hopes of hiring a cheaper helper would be dashed if the proposal passed.

“Of course I understand about people not earning enough, but not everyone is worth 4,000 francs. Here in Switzerland we’re already so well-off,” she said. ..................(more)

The complete piece is at: http://www.bloomberg.com/news/2014-04-13/world-leading-25-hourly-wage-floor-roils-swiss-businesses-jobs.html

[xchrom]

1. du rec.

[pampango]

2. What is the position right-wing Freedom Party which sponsored the anti-immigrant referendum in

February?

They portrayed that vote as designed to protect Swiss workers from immigrant competition rather than as a typical right-wing nativist tactic. If they are really interested in the interests of the Swiss working class they will support the minimum wage referendum as well. Since the are conservative, I figure they will side with the employer-based resistance to a higher minimum wage.

[muriel_volestrangler]

3. FWIW, I make 22 CHF about $16, from the 2013 OECD PPP tables

http://stats.oecd.org/Index.aspx?datasetcode=SNA_TABLE4

Abbrvtns R Us.

[gopiscrap]

4. Wow that's more like it!