Equal Pay Analysis (Lohngleichheitsanalyse)
A Lohngleichheitsanalyse is a systematic audit of your payroll to ensure men and women performing substantially the same work earn comparable wages. Swiss employers with 100+ employees must conduct one by law; smaller firms use it to verify fairness and reduce legal risk.
An equal pay analysis examines whether your compensation for comparable roles differs significantly between genders. It covers base salary, bonuses, allowances, and benefits across all Pensum levels and job families.
This obligation stems from the Swiss Gender Equality Act and applies sector-wide. Many cantons and GAV (collective labour agreements) now require it as a governance standard, not just compliance.
When It Applies & Your Legal Obligation
Employers with 100+ employees must complete a Lohngleichheitsanalyse every four years under federal law. Smaller firms are not legally required, but increasing pressure from insurance companies, certification bodies, and cantons means many do conduct them anyway.
The law does not mandate a specific result—it mandates transparency. You must identify gender pay gaps and document how you will address them. A lawyer should confirm your canton's specific requirements, as some cantons have stricter rules or different timelines.
- Threshold: 100+ employees (including all Pensum percentages combined)
- Timing: Due every four years from the last submission
- Scope: All employees on your payroll; include part-time and fixed-term staff
- What counts: Base salary, 13. Monatslohn, performance bonuses, and taxable benefits
- Documentation: Record the method, date, and findings; keep results for seven years
- Action: Develop a corrective plan if gaps exceed 5% within job families
How to Conduct One
Group employees by job function and responsibility level, not job title. Compare wages across genders within each group. The standard method is linear regression or a simplified point-factor system; both are accepted under Swiss law.
You can do this yourself using a spreadsheet or hire an external consultant. Many cantonal employment offices and business associations offer templates. The key is documenting your methodology so it withstands scrutiny.
- Define job families by role, seniority, and Pensum percentage
- Isolate gender from other variables (experience, performance, tenure)
- Use consistent pay data from the same pay period across all staff
- Flag gaps larger than 5% within a job family as needing explanation
- Document legitimate reasons (qualifications, market conditions, special agreements)
- Assign a deadline and owner for corrective measures
Most Common Mistake
Employers often ignore part-time employees or assume they are not 'comparable' to full-time staff. Under Swiss law, Pensum differences do not exempt you from the analysis—a part-time employee doing the same work must earn the same hourly or monthly rate.
Another frequent error is treating job titles as job families. Two people with different titles may do equivalent work; two with the same title may not. Precision here prevents legal exposure later.
- Do not exclude part-time, temporary, or apprentices from the scope
- Do not compare gross salary alone—include all compensation elements
- Do not assume seniority always justifies a gap; document it clearly
- Do not delay corrective action; build a timeline into your plan
- Do not treat results as confidential indefinitely; transparency builds trust
- Do not assume your last analysis is still valid; repeat it every four years
Frequently asked questions
- Do I have to publish the results of my Lohngleichheitsanalyse?
- No law requires publication. However, transparency is increasingly expected by employees, unions, and certification bodies. Many employers share a summary with staff to demonstrate commitment to equal pay.
- What if I find a gender pay gap I cannot explain?
- You must address it within a reasonable timeframe (typically 12–24 months). A gap exceeding 5% is presumed discriminatory unless you can document a legitimate business reason. Consult a lawyer on your specific gaps.
- Can I use an external consultant, or must I do it in-house?
- Both are acceptable. External consultants offer impartiality and credibility; in-house analysis is cheaper. Either way, document your method and keep records for seven years.
General information for Swiss employers, not legal advice. Have a lawyer confirm anything with legal consequences.