Building Compromise on the Swiss Labor Market: Current Trends and Challenges

Bonvin, Jean-Michel

Building Compromise on the Swiss Labor Market: Current Trends and Challenges - 2014.


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The regulation of the Swiss labor market is characterized by the willingness of all stakeholders—be it at the political, branch, or company level—to seek compromise solutions. In the Swiss context, the prevalent structure is integrative bargaining which benefits all participants in the negotiation. However, the recent transformations of the Swiss labor market question the very possibility of integrative bargaining: indeed, it may well be the case that the evolutions toward more flexibility and increased pressure to be competitive favor the emergence of more distributive forms of bargaining, where the gains of one party counterbalance the losses of the other. The paper strives to tackle this issue: it first presents the history and main features of the Swiss model of compromise in the labor market, and then identifies the challenges this model faces in the present context. A case study on the Swiss metal sector illustrates the scope and importance of these issues.

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