Minimum wage Administrative Court annuls minimum wage in Zurich and Winterthur

The Administrative Court of the Canton of Zurich has annulled the ordinance on the introduction of a municipal minimum wage in the cities of Zurich and Winterthur. It justified its decision by stating that the ordinances violated cantonal law.

According to a press release issued by the Zurich Administrative Court on Friday, the cantons are permitted to introduce a minimum wage as a socio-political measure within certain limits under the case law of the Federal Supreme Court.

The minimum wages provided for in the cities of Zurich and Winterthur are within the permissible limits and are compatible with economic freedom and the principle of the primacy of federal law.

However, the court argued that neither the constitution of the canton of Zurich nor the cantonal social welfare law allowed the municipalities to intervene in private employment relationships to prevent poverty. The ordinances were therefore in breach of cantonal law. The court upheld the appeals lodged against this. The ruling is not yet legally binding.

In June 2023, voters in the city of Zurich and Winterthur clearly approved the introduction of municipal minimum wages. In Zurich, the minimum wage should have been CHF 23.90 per hour, in Winterthur CHF 23. In the run-up to the vote, opponents also expressed legal concerns.

SDA