Economy: Why American companies are setting up in Switzerland

For large American multinationals, the advantages of establishing a presence in Switzerland – particularly in the cantons of Geneva and Vaud – extend beyond tax benefits and quality of life and air quality. These relocations represent a significant personal financial opportunity, including substantial bonuses, as evidenced by the quarterly reports these companies submit to the SEC.

These reports detail the bonuses, tax reimbursements, and cost-of-living adjustments received by some executives, which run into the hundreds of thousands, even millions, of dollars.

Concrete examples

David Williams, CEO of oilfield services company Noble Corp., saw his compensation increase by 13% to 8.5 million francs when he moved to Switzerland. This amount includes a "foreign service bonus" of 140,000 francs, annual reimbursements for "housing and automobile" expenses of 290,000 francs, and a contribution to his taxes of 520,000 francs. Bernard Duroc-Danner, director of Weatherford, another oil drilling company that moved to Geneva from Bermuda in 2008, received 500,000 francs in 2010 to cover his moving expenses to Switzerland.

In addition to these substantial amounts, there is a contribution of 28,086 francs per month payable in advance for "miscellaneous expenses and accommodation" to cover his daughter's schooling, and above all an annual bonus equivalent to 175% of his basic salary, or 852,000 francs. The only condition, however, is that he retain his position on Swiss soil for at least one year.

Source: www.letemps.ch