Switzerland’s migration policy has a two-tiered system for the admission of foreign nationals into the country. On the one hand, permit regulations are significantly facilitated for EU and EFTA citizens; on the other hand, conditions are more restrictive for third-country nationals.

EU and EFTA nationals

EU and EFTA citizens still require a residence permit and a work permit. The procedure for granting these permits has, however, been significantly simplified and is exclusively the cantons’ responsibility.

EU and EFTA nationals still need to obtain a work permit to work in Switzerland, but have the same opportunities on the labour market as Swiss nationals. They basically have the right to be self-employed in Switzerland.

As a national of an EU or EFTA State you basically have the same rights with regard to buying property as the Swiss. You must, however, be in possession of a valid residence permit.

Third-country nationals

Third-country nationals remain subject to the Foreign Nationals’ Residence and Settlement Act and its regulatory statutes, particularly the Ordinance on the Limitation on the Number of Foreign Nationals. Residence regulations for non-EU member states are restrictive and residence permits are granted at the sole discretion of the authorities.

To submit an application for a residence permit, you usually need to show proof of potential employment in Switzerland. Applications are normally submitted by the future employer to the cantonal immigration or labour authorities. Entry to Switzerland is only possible once the cantonal agency issues a confirmation of the residence permit.

Employment of third-country nationals – work permit policy

• Work permits are granted as required by law at the discretion of the competent authorities. The following restrictions apply:
• Swiss nationals and EU /EFTA nationals seeking employment have priority on the Swiss labour market. Job applicants from third-countries will only be considered when there are no applicants from the EU/EFTA member states.
• Work permits are only issued in compliance with the established quotas.
• Wage and working conditions (the same as for Swiss nationals) must be complied with.
• Under these conditions, exceptions are possible in particular for various professions and groups of individuals: specialists, executives of multinational companies (executive transfer), employees of international organisations and artists.

Third-country nationals are on principle not permitted to be self-employed in Switzerland. As a general rule, self-employment is only possible for third-country nationals who have obtained their settlement permit (C permit).

Solutions for third-country nationals

Investors and entrepreneurs

Investors and entrepreneurs as well as persons of independent means would normally have no problem obtaining a residence permit.

One option is to establish a company in Switzerland which then employs the individual seeking residence. Switzerland is keen to attract small and medium-sized enterprises as well as large corporations.

See our Company Formation Service for more information.

Retirement

Alternatively, you may obtain a Swiss residence permit if you are financially independent (annual income over 100’000.- CHF), be retired (no day-to-day responsibilities), over 55 years of age and can show evidence of close ties to Switzerland, although depending on the canton, the latter two conditions do not always have to be met. You may then avail yourself of a lump-sum taxation arrangement, instead of the usual taxation on worldwide income and assets.