4.5% for all!
Compensation for increases in cost of living of 3.5% – plus 1% in general (or CHF 150 per month)
In the financial year 2022, the banks have once again reported respectable profits. The published re-sults are good to very good for business in Switzerland – almost without exception. The economic prospects also remain positive, despite certain uncertainties. At the same time, the Swiss economy is in good condition – despite the war in Ukraine and the pandemic.
Increases in prices and the cost-of-living affect everyone!
Inflation is rising sharply for the current year – according to the latest estimates of the Federal Statistical Office, inflation increases 3.4% compared to previous year as of the end of July. Without compensation, employees will lose substantially the purchasing power. With an annual income of CHF 100,000, this means a loss of purchasing power of CHF 283 per month.
The health insurance companies announce massive premium increases (up to 10%). The general in-crease in rents and the expected massive rise in heating costs will be a burden for most people. These additional costs will also have an impact on purchasing power. It should not be ignored, that higher prices will already be charged in the current year, although compensation for inflation will not take effect until the following year. Therefore, it is inevitable that real wages will also be effectively increased. This is particularly justified, because the economic prospects are still look good. If only for reasons of macroeconomic responsibility, employers in the banking industry should compensate for inflation in any case.
Mobile-flexible working established in the banking industry
Gains in productivity and savings generated by mobile-flexible working, among other things, under the conditions of the pandemic must benefit everyone. Moreover, the surveys of the Swiss National Bank have identified substantial gains for the entire branch, while the total personnel expens-es have decreased for the whole branch over the last 5 years.
Wage increases are considered fair, if everyone receives an increase and if the criteria for individual wage increases are also made transparent. In contrast, in certain positions, namely in investment banking, bonuses are paid on an incomprehensible basis, even when the business unit is making loss-es. For most of the bank employees, these allegedly performance-based compensation components appear to require explanation.
Banks as employers and the future of the banking industry
On the job market, there is currently a shift of power toward employees. Skilled employees are al-ready rare. The retirement of baby boomers and the shortage of young talent will generally exacerbate the problem of the shortage of specialists in the coming years. By substantially increasing wages, companies are investing in their own future. According to forecasts, the job market for banking personnel is stagnating in some areas. The banking industry has suffered an enormous reputational damage over the past 13 years, from which it has only partially recovered. This can only be countered by far-sighted and consistent wage policies. It is true that individual wage increases will be additionally negotiated in order to retain the best employees. In general, the banks must remain attractive as employers. Wage development that maintains pur-chasing power is just as much a part of this as fair and transparent compensation systems. This re-quires a general increase in real wages across the banking industry of 1% for all.
Wage increases are the urgent requirement: We demand a cost-of-living adjustment of 3.5% for all – plus 1% in general – or CHF 150 per month. . The profit distributions that have been made, but also the unchanged bonus policy in many banks, show that general wage increases are possible and acceptable.