Thanks to an extension of the free movement of persons agreement between Bern and Brussels, EU citizens will have the right of permanent residence in Switzerland after just five years – even if they don’t have a job.
Right now, immigration from the European Union and EFTA states (Norway, Iceland, and Liechtenstein) is contingent on these foreign nationals being employed in Switzerland.
Nationals of these countries have an unlimited access to Switzerland’s labour market – typically, they receive a residence permit B when they arrive and begin working, which can then be converted into the ‘settlement’ permit C, after five years of continuous employment.
EU/EFTA citizens who don’t work can live in Switzerland under the B permit; they must, however, prove that they have sufficient financial means to support themselves without resorting to public assistance.
This system has been the case since the free movement agreement went into effect on June 1st, 2002.
But it could change.
Why is that?
In the new series of treaties that Switzerland concluded with the European Union in December 2024, Bern committed to expanding the agreement on free movement of people.
This would allow EU/EFTA citizens to move freely within all signatory states and grant permanent residence status (permit C, which is a stepping stone to Swiss citizenship) after five years of residence.
What would be different from now, however, is that no conditions would be attached – in other words, having a job in Switzerland would no longer be a prerequisite for a EU or EFTA passport holder wanting to settle.
Not surprisingly, this scenario angers the right-wing Swiss People’s Party (SVP), which says the new rule will open the floodgates to more immigrants – and not only from the EU.
“In concrete terms, this means that a Syrian who became an EU citizen in Germany can immigrate to Switzerland and then bring his extended family directly from Syria with him,” SVP deputy Pascal Schmidt told Swiss media.
And all these people, whether employed or on social assistance, “will receive permanent residency after five years,” he added.
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What does this mean in terms of numbers?
Just over 1.5 million EU/EFTA citizens live in Switzerland currently.
But in an analysis commissioned by the federal government, the research and consulting firm Ecoplan concluded that five years after the new treaty goes into effect, 570,000 people will suddenly receive the right of permanent residence in Switzerland.
An additional 50,000 to 70,000 will be added annually.
The researchers at Ecoplan assume that the people who will apply for permanent residence are primarily those who are already receiving social assistance and are unemployed. And, unlike is the case currently, integration criteria will not have to be met.
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When would the new directive come into effect?
This is what Bern and Brussels have committed to on paper.
But this rule will not become a reality anytime soon.
That’s because all the new agreements concluded in December between Switzerland and the EU will be put to a referendum, or possibly several referendums; while the date has not yet been set, Swiss voters will have the final say in this matter.
Also, the SVP will bring its own initiative, called ‘No to Switzerland of 10 million people” to the ballot box sometime in 2026.
It seeks to significantly limit the number of immigrants coming to Switzerland as soon as the country’s population reaches the 9.5 million mark (it is now just over 9 million).
The reason, according to the SVP, is to relieve the pressure that immigrants put on the small country’s infrastructure in terms of housing, public transport, health system, and schools.
Do you think this would be a good move for Switzerland? Let us know in the comments section below or by email, news@thelocal.ch
