Cross-Border Workers: Your rights in case of termination in Switzerland

You are a foreign resident working in Switzerland and your employer has terminated your work contract. It is important to know your rights and the correct procedure to follow.

Who will pay your unemployment and how can you appeal in case of abusive termination?

How can an employer dismiss someone in Switzerland?

In Switzerland, an employer can fire a worker fairly easily. An employer can terminate a contract without having to show a particular reason, as long as the legal notice is respected; however, the employer must give the reasons in writing if the employee asks (Code of Obligations, art. 335(2)). An immediate dismissal without notice, on the other hand, requires good cause (CO, art. 337), for example serious misconduct: violence, theft, breach of trust. As such, the Swiss labor law is much more flexible than most European countries and contractual freedom is the rule.

Dismissal notices

Unless the contract says otherwise, the notice period depends on length of service. After the probation period, notice expires at the end of a month (CO, art. 335c):

These periods may be varied by written agreement, standard employment contract or collective labour agreement; a period of less than one month is only possible under a collective labour agreement and during the first year of service (CO, art. 335c(2)).

Opposing the dismissal

You may have been dismissed for abusive reasons, or you may simply disagree with the reasons given by your employer. You have the right to challenge the dismissal, but it must be done in writing.

You must object to the dismissal in writing before the end of the notice period. You must then bring the case before a judge within 180 days of the end of the contract, or lose your right to do so (CO, art. 336b). Following this procedure, you may claim compensation for unfair dismissal. It is set by the court and cannot exceed 6 months' salary (CO, art. 336a). Since this compensation is paid in Swiss francs, it can be helpful to estimate its value in euros: at ibani, the conversion is made at the real market rate, plus a margin of 0.40% to 0.15% depending on the amount.

Please note that in some situations you cannot be dismissed. After the probation period, the employer cannot terminate the contract during a total or partial incapacity for work caused by illness or accident through no fault of your own (30 days in the first year of service, 90 days from the second to the fifth year, 180 days from the sixth year), nor during compulsory military or civilian service, nor during pregnancy and the 16 weeks following childbirth. Notice given during these periods is void (CO, art. 336c).

Who pays unemployment benefits to a cross-border worker dismissed in Switzerland?

In the event of full unemployment, Swiss unemployment funds do not compensate cross-border workers, whatever the reason for losing the job. If you are a resident in another country and you have been fired from your job in Switzerland, you will have to register with the unemployment agency in your country of residence. They will give you compensation as if you had worked in the country, even if it isn't the country where you paid your contributions.

Full unemployment

If you have completely lost your job (as opposed as a partial unemployment, see below), you will need to ask for full unemployment. This demand must be submitted in the unemployment agency of your country of residence.

You will have to provide a U1 form when registering for unemployment. This U1 form certifies your periods of employment in Switzerland; you will get it from a Swiss unemployment fund by providing the following documents:

• A work certificate from your employer
• A dismissal letter
• Your last 6 pay slips
• A copy of your work contract
• A copy of your AVS/AHV card

The U1 form is required for anyone wishing to obtain unemployment rights after having worked in Switzerland or in a EU member state. You must absolutely do all of the above during the year following your dismissal.

Compensation in France

In order to get unemployment in France, it is important to take the reasons of the dismissal into account:

• If you have quit, you won't get any compensation.
• If you and your employer have decided together to put an end to your contract, you won't get any compensation either as it is not considere as a conventional breach.
• If you have been fired for serious misconduct or for economic reasons, you will be compensated.

The compensation will be calculated according to the gross salary you earned before your dismissal, i.e. on a Swiss salary following a dismissal in Switzerland.

Partial unemployment

If your employer has simply reduced your working time or has temporarily suspended your job, you haven't been fired. Your work contract is still valid and you can therefore get partial unemployment in Switzerland.

It is your employer's responsibility to handle the formalities with a Swiss unemployment fund. Your employer must notify the relevant canton of the reduction in working hours at least 10 days before it starts (AVIG/LACI, art. 36) and obtain your agreement. The benefit then amounts to 80% of the eligible loss of earnings (AVIG/LACI, art. 34).

Toward a change of rights

The European regulation that governs these rights has been revised: the European Parliament adopted the reform on 7 July 2026, and it reverses the principle — the State of last activity, rather than the State of residence, would pay the benefit. That revision does not yet apply to cross-border workers in Switzerland. Regulation 883/2004 applies to Switzerland only through Annex II to the agreement on the free movement of persons, and amending that annex requires a decision of the Joint Committee and Switzerland's consent — which Bern has not given to date. The rules described above therefore continue to apply in full.

No timetable has been set for Switzerland to take up this reform. Until the Joint Committee has decided, keep registering with the unemployment agency in your country of residence, exactly as today — that is what opens your rights.

What steps should you take after a dismissal in Switzerland?

After being fired in Switzerland, you must update your status among several bodies in order to make your situation compliant:

• Occupational Benefit Plan (2nd pillar): you must inform the Swiss pension fund with which you have paid your mandatory 2nd pillar social contributions.
• Health insurance: health insurance is mandatory when you work in Switzerland, and you must inform yours, whether it is a Swiss insurer or, for cross-border workers living in France who used their right of option, French health insurance (PUMa).
• Swiss and European family allowance funds: you must inform the bodies that gives you subsidies for your children.

Frequently asked questions

What is the notice period for a dismissal in Switzerland?

During the probation period, which is the first month of work unless agreed otherwise in writing (3 months at most), the notice period is 7 days. After that, the contract ends at the end of a month, with one month's notice in the first year of service, two months from the second to the ninth year and three months thereafter (CO, art. 335b and 335c). A written agreement or a collective labour agreement may provide for other periods.

Does a Swiss employer have to justify a dismissal?

No, an ordinary dismissal does not have to be justified, but the employer must give the reason in writing if the employee asks (CO, art. 335(2)). An immediate dismissal, without notice, requires good cause, such as serious misconduct that destroys the relationship of trust (CO, art. 337). A dismissal given for an abusive reason gives rise to compensation.

How do you challenge an unfair dismissal in Switzerland?

You must first object to the dismissal in writing to the employer, at the latest by the end of the notice period. If no agreement is reached to keep the contract going, the employee must bring the case before a judge within 180 days of the end of the contract, or lose the right to do so (CO, art. 336b). The compensation, set by the court, cannot exceed six months' salary (CO, art. 336a).

When can an employer not dismiss someone in Switzerland?

After the probation period, the Code of Obligations provides protection periods: during an incapacity for work due to illness or accident through no fault of the employee (30 days in the first year of service, 90 days from the second to the fifth year, 180 days thereafter), during pregnancy and the 16 weeks following childbirth, or during compulsory military or civilian service. Notice given during these periods is void (CO, art. 336c).

Where does a cross-border worker dismissed in Switzerland register as unemployed?

In the event of full unemployment, the country of residence pays: a cross-border worker registers with the unemployment agency of their country of residence (France Travail for a resident of France), which calculates the benefit on the basis of the Swiss salary. They must provide the U1 form, issued by a Swiss unemployment fund, which certifies their periods of employment in Switzerland. The European reform adopted on 7 July 2026 changes nothing until Switzerland takes it over.

Can a cross-border worker receive short-time work compensation in Switzerland?

Yes, if the contract has not been terminated and working hours are reduced or work is suspended: the short-time work compensation is paid by a Swiss unemployment fund. The employer must notify the canton of the reduction at least 10 days before it starts, and the benefit amounts to 80% of the eligible loss of earnings (AVIG/LACI, art. 34 and 36).