Federal Council informed Swiss companies may put workers on short-time work due to US tariffs

The federal government has informed the relevant authorities that US tariff policy is accepted as a reason for short-time working compensation. Companies must be indirectly or directly affected.

On Wednesday, the Federal Council once again discussed US President Donald Trump's erratic customs policy. In a statement, it announced that the government does not currently expect the economy to collapse. However, the situation is fraught with uncertainty.

The State Secretariat for Economic Affairs (SECO) has therefore informed all relevant authorities today that affected companies can make use of short-time working to avoid redundancies.

In concrete terms, this means that companies that are directly or indirectly affected by the US customs policy can apply for short-time working compensation. Seco's decision saves companies from having to engage in fundamental discussions.

Short-time work must be applied for

Short-time working means that a company temporarily reduces the working hours of its employees in order to cushion economic difficulties, for example in the event of production stoppages due to supply bottlenecks. This requires the written consent of the employees concerned. During short-time working, unemployment insurance covers part of the loss of wages.

According to the press release, Federal Councillor Guy Parmelin's Department of Economic Affairs also wants to ensure that the maximum period of entitlement to short-time work compensation after the end of July is 18 months instead of just 12.