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Swiss labor market: employment trends over the past five years and outlook for 2025

ByJean-Michel October 21, 2025October 21, 2025

Work in Switzerland – A market that is still strong, but is changing profoundly

In 2025, Switzerland still boasts one of the best-performing labor markets in Europe. The unemployment rate remains historically low—around 2.4% of total employment, according to the State Secretariat for Economic Affairs (SECO)—while the employment rate is nearly 81% of total employment. However, behind these flattering figures lie significant changes: an aging workforce, digitalization, and pressure on certain skilled workers.

📊 1. Five years of sustained growth despite the pandemic

According to data from the Federal Statistical Office (FSO), the number of employed people increased from 5.1 million in 2018 to 5.4 million in 2023, or a progression of +5 %The job market in Switzerland is healthy!
Even the COVID-19 crisis only caused a temporary setback: by 2021, the Swiss labor market had rebounded, driven by the recovery in services, the pharmaceutical industry, and finance.

👉 Highlights 2018-2023 :

+8 % jobs in total (according to STATEM)
Employment rate stable around 80 %
Average unemployment rate: 2.1 % to 2.4 %
Recovery of the tertiary and high-tech sectors

👩‍💼 2. Unemployment: low, but slightly rising

The seasonally adjusted unemployment rate stands at 2.4 % in 2024, against 2 % in 2023.
The increase remains moderate, but it reflects a economic slowdown : industrial exports are suffering, while domestic demand is slowing slightly.
However, Switzerland remains well above the European average (around 6% unemployment).

Swiss labor market statistics from 2018 to 2025 — Work in Switzerland – Infographic ICT: Information and Communication Technology, CON: Construction

👨‍🔧 3. An aging and changing workforce

One of the major structural changes of the last five years is the increase in senior participation :
the activity rate of 55-64 year olds reached 77.8 % in 2024, against 71.7 % in 2018.
This reflects a double phenomenon:

THE demographic aging,
and the political will to encourage continued employment.

The average age of Swiss workers has now reached 42.3 years old, a historic record.

🧠 4. Talent shortage: a changing challenge

There shortage of skilled labor, very marked between 2021 and 2023, tends to stabilize according to the EIT.swiss Association.
Technical, IT and medical profiles remain in demand, but some tensions are easing thanks to:

continuing education,
the mobility of cross-border workers,
and process automation.

However, the professions of digital, of the health and the sustainable building continue to show a supply/demand imbalance.

💼 5. Winning and losing sectors

Sector	Evolution 2018-2023	Trend 2025
Technologies & ICT	+14 %	Sustained growth
Health & Social	+11 %	Persistent shortage
Hotel & Restaurant Industry	–3 %	Post-COVID recovery
Finance & Insurance	+4 %	Stability
Manufacturing industry	+2 %	Slight slowdown

🌍 6. Outlook for 2025: stability, but vigilance

According to KOF (ETH Zurich) projections, total employment is expected to grow by approximately +0.8 % in 2025, before a possible stagnation in 2026.
Signs to watch for:

Evolution of the Swiss franc and export competitiveness,
Impact of artificial intelligence on skilled professions,
Migration policies and vocational training,
Increasing integration of teleworking and hybrid contracts.
Despite the major banking crisis following the bankruptcy of Credit Suisse, the sector is doing well, driven by cryptocurrencies (Fintech) and the entire ecosystem related to blockchains.
L'artificial intelligence is developing well in Switzerland and also creating employment, even if on the other hand this will decrease.

🧾 7. In summary

✅ 5.4 million employed people in Switzerland at the end of 2023
✅ Employment rate: 80.7 % (European record)
✅ Unemployment rate: 2.4 % (very low)
✅ Aging workforce
✅ Digitalization and transformation of professions

🗞️ Conclusion

The Swiss labor market remains one of the most resilient in the world.
But behind this strength lies a profound change: the digital transition, the aging of the population and the evolution of skills needs.
For businesses, this means train, retain and anticipate.
For employees, specialize and stay mobile will be the key to long-term employability.

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