Gender Equality Act (Gleichstellungsgesetz)
The Gleichstellungsgesetz (Gender Equality Act) is Swiss federal law requiring employers to pay men and women equally for work of equal value. It applies to all employers in Switzerland regardless of size. You must conduct regular salary audits, document your findings, and correct any unjustified gaps—failure to do so can result in wage claims and fines.
The Gender Equality Act (Gleichstellungsgesetz) mandates that employers pay male and female employees the same wages for work of equal value. This applies to your base salary, bonuses, and all contractual benefits. The law does not require identical pay—differences must be justified by objective factors like experience, performance, or role scope.
In practice, this means you must periodically check whether your wage structure favours one gender over another. Since 2020, employers with 100+ staff must conduct certified salary audits every four years. Smaller employers have no legal audit requirement but remain liable if wage discrimination is discovered.
When This Comes Up
The Gleichstellungsgesetz becomes relevant when you hire, promote, set pay scales, or face a wage complaint. An employee can claim back pay if they prove unequal treatment based on gender. Even without a formal complaint, audits or disputes with employees or unions may trigger a review.
Compliance also matters if you bid for public contracts or seek investment—many public bodies and institutional investors now require proof of wage equality as a condition of doing business.
- Hiring a new employee: ensure your salary offer is consistent with what you pay the opposite gender in the same or equivalent role
- Promotion or raise decisions: document the business reason (performance, seniority, new responsibility) separately from gender
- Seasonal or temporary staff: wage equality rules apply even to short-term contracts
- Bonus or commission structures: these must not systematically advantage one gender
- Parental leave or flexible work: cannot be used to justify lower base pay
- Union negotiations: GAV wage tables must comply with the act
Your Obligation
You must pay equally for work of equal value—a legal standard that looks beyond job title. Two roles can have the same title but different compensation if the responsibilities, qualifications, or effort genuinely differ. The burden of proof is on you to show why a wage gap exists.
If you employ 100+ staff (calculated across all locations in Switzerland), you must commission an external salary audit every four years and correct any unjustified gaps within a reasonable timeframe. Smaller employers have no mandatory audit but must respond if challenged in court or by a regulator.
- Conduct an honest internal review of your salary bands by gender and role
- Document the objective reasons for any wage differences (experience, hours, Pensum percentage, additional duties)
- Do not use seniority alone if it correlates suspiciously with gender
- Correct gaps promptly: delayed action increases legal risk and damages trust
- Keep records of salary decisions for 5+ years in case of a dispute
- Inform your team (especially managers) that wage discrimination is unlawful and unwelcome
Most Common Mistake
The single biggest error is assuming that 'market rates' justify a wage gap. Many employers pay women less because 'that's what they accepted' or 'they didn't negotiate hard.' This is not a legal defence. Offering lower pay based on perceived gender norms or negotiation behaviour is discrimination.
A second mistake is failing to audit before a complaint arrives. By then, you may owe years of back pay, interest, and legal costs. A proactive internal review costs far less and signals good faith to employees and regulators alike.
- Do not assume internal pay grades are fair: check them by gender explicitly
- Do not rely on 'he has a family to support' or 'she didn't ask for more' as reasons for wage gaps
- Do not delay corrections once a gap is found—this strengthens an employee's legal claim
- Do not confuse flexibility arrangements (part-time, remote work) with lower base pay: Pensum adjustments should scale hourly/monthly rate proportionally
- Do not assume your industry 'standard' is legal: compare yourself to role and experience, not to competitors
- Do not wait until you are audited: a proactive review shows diligence and limits damages
Frequently asked questions
- Do I have to conduct a formal audit if I have fewer than 100 employees?
- No—the law does not mandate audits for employers under 100 staff. However, you remain liable if wage discrimination is proven. A voluntary internal review is inexpensive insurance and helps you sleep at night.
- Can I pay someone less because they work part-time (lower Pensum)?
- Only if you adjust the hourly or monthly rate proportionally. A person working 80% should earn 80% of what an identical full-time role earns. You cannot apply a percentage reduction on top of that as a 'part-time penalty.'
- What happens if an employee sues me for wage discrimination?
- If the court finds the wage gap cannot be justified by objective factors, you may owe back pay (usually up to five years), interest, and the employee's legal costs. The burden shifts to you to prove the difference was lawful, so clear documentation of your pay decisions is critical.
General information for Swiss employers, not legal advice. Have a lawyer confirm anything with legal consequences.