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Free Movement of Persons -- Overview

Source: Dispatch on the Approval of Bilateral III, Chapter 2.3 (pp. 266--281)
PDF Link | Federal Gazette 2025-0749


Summary

Free movement of persons is the central internal market agreement between Switzerland and the EU. The Agreement on the Free Movement of Persons (FMPA) has been in force since 1 June 2002 and will be updated through an amendment protocol (AP-FMPA) and an institutional protocol (IP-FMPA). The Federal Council pursued three clear negotiation objectives and achieved them in full -- even exceeding the mandate regarding the safeguard clause.


Context and Significance of the FMPA

The FMPA governs reciprocal freedom of establishment and access to labour markets. It guarantees:

  • The right of entry, residence and pursuit of gainful employment in Switzerland for EU citizens (and vice versa)
  • The coordination of social security systems (Annex II)
  • The mutual recognition of professional qualifications (Annex III)

The FMPA is employment-oriented: unlike EU-internal free movement, access is primarily linked to gainful employment. This fundamental principle is maintained.

Current Facts

Indicator Value
In force since 1 June 2002
EU nationals in Switzerland approx. 1.6 million (end 2025)
Swiss nationals in the EU approx. 460,000
Main reason for immigration 64% gainful employment
GDP growth since FMPA >50%

Three Negotiation Objectives

The Federal Council defined three core objectives for the negotiations on the FMPA update:

  1. Maintain employment orientation -- access remains primarily linked to gainful employment
  2. Respect Federal Constitution requirements -- in particular criminal deportation under Art. 121 FC must remain enforceable
  3. Preserve the notification procedure -- the proven notification procedure for short-term service provision is maintained

Three-Level Protection Concept

The negotiation result comprises a three-level protection concept:

Level 1: Three Exceptions

Exception Description
Permanent residence No automatic permanent residence right; linked to gainful employment and self-sufficiency
Criminal deportation Criminal deportation under the FC remains fully enforceable
Biometric ID Transitional period of 1 year; existing cards without chip remain valid

Level 2: Two Safeguards

Safeguard Description
Termination of residence Expanded options to terminate residence in case of social welfare dependency
Notification procedure Retention of the notification procedure for short-term service provision

Level 3: Specified Safeguard Clause

The safeguard clause (Art. 14a FMPA) is specified:

  • Switzerland can activate the clause autonomously (without EU approval)
  • Based on objective indicators (4 key indicators + additional exemplary indicators)
  • Annual monitoring involving cantons, social partners and Parliament

Wage Protection

Wage protection follows the principle "equal pay for equal work at the same location":

  • Dual enforcement system: state and social partners monitor jointly
  • Non-regression clause: the Swiss level of wage protection is safeguarded against regression
  • 14 concrete measures in four categories (compensatory, service bans, expenses, social partnership)

Coordination of Social Insurance

Annex II of the FMPA is updated and covers:

  • Coordination of social security systems (OASI/DI, health insurance, unemployment insurance)
  • Prevention of double insurance and gaps
  • Recognition of insurance periods from EU member states

Recognition of Professional Qualifications

Annex III is modernised via the IMI system (Internal Market Information System):

  • Electronic information exchange between authorities
  • Simplified recognition procedures
  • Automatic recognition for regulated professions (doctors, architects, etc.)

Negotiation Result

Objective Result
Employment orientation Fully achieved
FC requirements (criminal deportation) Fully achieved
Notification procedure Fully achieved
Safeguard clause Negotiation mandate exceeded

The Federal Council considers the negotiation result balanced and in Switzerland's interest.


Key Points

Topic Key Message
FMPA status In force since 1 June 2002, to be updated
Instruments AP-FMPA + IP-FMPA as integral components
Employment orientation Maintained -- access primarily linked to gainful employment
Safeguard clause Activable autonomously, mandate exceeded
Wage protection Equal pay, non-regression, 14 measures
Social insurance Annex II updated, coordination secured
Professional qualifications Annex III modernised via IMI system
Persons affected 1.6 million EU citizens in CH + 460,000 CH in EU

References

  • Dispatch Bilateral III, FG 2025 749, Chapter 2.3 (pp. 266--281)
  • Agreement on the Free Movement of Persons (FMPA), SR 0.142.112.681
  • Amendment Protocol to the FMPA (AP-FMPA)
  • Institutional Protocol to the FMPA (IP-FMPA)