By 1 April 2020, employers 'obligation to cover their employees' cost for accommodation, meals and travel while on assignments in Switzerland will be lower due to new changes to the Foreign Nationals and Integration Act (FNIA).
By law, employers were required to cover all costs for accommodation, meals and travel for employees assigned to Switzerland, regardless of the assignment’s duration.
Changes as of 1 April:
Employers will have to cover the cost of accommodation, meals and travel for the first 12 months only.
This means a significant saving for employers in case of assignments in Switzerland – for example: in many cantons the lump sum to cover accommodation, meals and travel is approximately CHF 3.000 per month. For a four-year assignment, employers can now save up to CHF 108.000 compared to before the change.
We recommend to review the policies and respective assignment costs for assignees. We are clarifying details with the relevant authorities and will provide further updates as soon as possible.
Please reach out to our key contacts below if you would like to know more about this topic.
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