You'll feel it in your wallet Inflation is eating into your wages - this is how much you are really losing
Everything is getting more expensive, but wages are staying the same. You can feel this immediately in your wallet. A calculator now tells you how much we have all lost in purchasing power.
No time? blue News summarizes for you
- Many people feel that their wages are worth less - this is due to inflation, which has been measured by the national consumer price index for over 100 years.
- Although this index shows how much prices are rising, it does not take into account the sharp rise in health insurance premiums.
- Because there is no automatic inflation adjustment in Switzerland, many people are losing purchasing power without a pay rise.
- blue News uses a calculator to show you how much purchasing power you have lost with your current salary.
A few days ago, blue News reader Laura Franzen asked: Why does it feel like I have less and less money in my wallet? She knows that there is so-called inflation - but wanted to know whether it can be shown in figures.
The short answer: yes. The federal government has been publishing the national consumer price index (CPI) for over 100 years. Thousands of prices of a standardized basket of goods are surveyed every year. Rents make up around a quarter of this, food around ten percent.
If you add up the entire basket of goods, the index shows how much prices have risen over the years - or in other words: how much wages would have to rise for purchasing power to remain the same.
blue News has created a calculator with the data from the consumer price index. Simply enter your salary and the year you started earning it: the calculator will show you how high your income would have to be today for you to be able to buy the same amount.
Data protection notice: The data is not saved and is only analyzed on your device.
However, the LIK has a weakness: it does not take health insurance premiums into account. These have risen particularly sharply in recent years - significantly more than many other everyday costs.
Irrespective of this, many people will see a big minus. This is because the Swiss Code of Obligations does not provide for automatic compensation for salary inflation.
Many CLAs guarantee cost-of-living adjustments
So if you receive the same salary for years, you can usually actually afford less. Only employees with a so-called collective employment contract (CEC) benefit in part automatically from adjustments to inflation.
However, such agreements do not apply everywhere. They are negotiated between trade unions and industry associations and contain different levels of compensation depending on the industry.
If you don't have a CLA, you should still discuss the loss of purchasing power with your employer. Ideally with facts rather than frustration. For example, by referring to the official inflation rate. This is usually more convincing than a general criticism of wages.
Companies can also become more attractive in other ways
In addition, some trade unions report that companies can also offer other solutions under pressure. The railroad workers' union SEV, for example, reported that SBB Cargo International has granted all employees an additional day's vacation on a one-off basis.
Alternative subsidies are also possible: companies can discount public transport season tickets or offer discounts on payments into the Reka-Pay or Lunch-Check account.
The digital Reka-Pay account is the successor to the former Reka-Checks. The credit can be used for public transport travelcards, refueling or partially for purchases.
A bonus makes the system attractive: deposits bring discounts. The general Reka bonus is two percent, at the Coop customer counter it is three percent. This turns 500 francs into 515 francs. Companies can even grant their employees up to 20 percent. They pay the additional amount for the discount. Unlike a pay rise, however, this bonus is tax-free.
