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Old 20.04.2009, 20:42
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Wage cut?

My job is being made redundant, but I was offered another position at a reduced wage. What are the unemployment benefit consequences if I do not take it?

Thanks,

Larry
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Old 20.04.2009, 20:48
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Re: Wage cut?

How long have you been working in CH?
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Old 20.04.2009, 20:49
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Re: Wage cut?

12 months in CH
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Old 20.04.2009, 22:21
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Re: Wage cut?

My advice is take the job with the paycut. Generally to get any unemployment money here in Switzerland you need to have been paying unemployment insurance (normally deducted by the employer for you) and have been employed for 12 months out of the last 24 months. If you are entitled to the unemployment insurance money you would get a maximum of 80% (70% if no kids) of your wage to a limit of 10,500CHF per month, and this is then taxed. No matter how much you earned before you will take a max of 6500 -7000 net. You will also be penalised (i.e. lose money) if you do not take a reasonable job offer.

As with all insurance they don't like to pay out if they do not have too. If you are less than 12 months employed (even 1 day!!) you will not get anything from the unemployment insurance.

It is complicated and you should contact your local RAV, but my advice is take the job, you can always look for another position with another company at the same time. Also gaps on the c.v do not look as good as continuous employment. Unfortunately I currently have a gap...
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Old 20.04.2009, 22:24
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Re: Wage cut?

I should add that I'm not sure about the redundancy angle, so maybe contacting the RAV is the best option. The website is quite good http://www.treffpunkt-arbeit.ch/ and it has english on it...
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Old 20.04.2009, 22:28
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Re: Wage cut?

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If you are entitled to the unemployment insurance money you would get a maximum of 80% (70% if no kids) of your wage to a limit of 10,500CHF per month, and this is then taxed.
Are you sure? I thought the maximum payment was closer to CHF 8500 per month.
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Old 21.04.2009, 08:02
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Re: Wage cut?

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What are the unemployment benefit consequences if I do not take it?
Larry,

You should be aware that when you register with RAV for unemployment benefit, RAV will give you a form to be filled in by your current employer. The form requires the employer to state the reason why you are out of a job. It may also require the employer to say that you were offered another position but you turned it down. In this case, RAV will most likely decide not to pay you.

The maximum RAV payout is based on a yearly salary of CHF105K per year. Your actual entitlement is based on your salary over the last 24 months of employment. From this, RAV will calculate your daily rate and each monthly paycheck is calculated by the number of working days in the month times the daily rate.

RAV will also send you to a day course to tell you all the rules e.g. holidays. sick days, etc... You will also be asked to do a German language assessment.

There are lots of rules when one is on RAV.

Given the current economic situation, I'd advise you to accept the job while looking around for something else as things are likely to get worse later on this year.

Hope this helps.
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Old 21.04.2009, 08:29
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Re: Wage cut?

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My job is being made redundant, but I was offered another position at a reduced wage. What are the unemployment benefit consequences if I do not take it?

Thanks,

Larry
To give a useful answer, you'll have to give us more info. Are you Swiss? If not what nationality and permit do you hold? What field do you work in??
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Old 21.04.2009, 09:31
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Re: Wage cut?

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Larry,

Given the current economic situation, I'd advise you to accept the job while looking around for something else as things are likely to get worse later on this year.
Sound advice in my view, but you might try and negotiate a transitional cut in pay rather than an immediate change. Maybe they will go for that and help soften the blow.
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Old 21.04.2009, 11:32
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Re: Wage cut?

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Are you sure? I thought the maximum payment was closer to CHF 8500 per month.
The gross is based on either 70% or 80% of 10500CHF per month depending on if you have children or not. From this may you can expect between 7000 -7500 net if you're lucky.

As somebody else mentioned you need to attend courses etc, also you cannot leave the country without telling your cousellor so they deduct these days from the monthly total of days available for work. Apply for minimum 14 jobs per month and lots of other rules to fulfill.

It is easier to take the offer and look elsewhere...
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