Changes

==People==

==People==

Switzerland sits at the crossroads of several major European cultures, which have heavily influenced the country's languages and cultural practices. Switzerland has four official languages--German, French, Italian, and Romansch (based on Latin and spoken by a small minority in the Canton Graubunden). The [[German]] spoken is predominantly a Swiss dialect, but newspapers and some broadcasts use [[High German]]. Many Swiss speak more than one language. [[English]] is widely known, especially among professionals.  

Switzerland sits at the crossroads of several major European cultures, which have heavily influenced the country's languages and cultural practices. Switzerland has four official languages—German, French, Italian, and Romansch (based on Latin and spoken by a small minority in the Canton Graubunden). The [[German]] spoken is predominantly a Swiss dialect, but newspapers and some broadcasts use [[High German]]. Many Swiss speak more than one language. [[English]] is widely known, especially among professionals.  

[[File:Alphorn players in Vals Switzerland.JPG|thumb|250px|left|Alphorn players in Vals.]]

[[File:Alphorn players in Vals Switzerland.JPG|thumb|250px|left|Alphorn players in Vals.]]

More than 75% of the population lives in the central plain, which stretches between the [[Alps]] and the [[Jura]] Mountains and from [[Geneva]] in the southwest to the [[Rhine]] River and [[Lake Constance]] in the northeast. Resident foreigners and temporary foreign workers make up about 20% of the population.  

More than 75% of the population lives in the central plain, which stretches between the [[Alps]] and the [[Jura]] Mountains and from [[Geneva]] in the southwest to the [[Rhine]] River and [[Lake Constance]] in the northeast. Resident foreigners and temporary foreign workers make up about 20% of the population.  

==Government==

==Government==

Switzerland is a federal state composed of 26 [[canton]]s (20 are "full" cantons and six "half" cantons for purposes of representation in the federal legislature) that retain many attributes of [[sovereignty]], such as fiscal autonomy and the right to manage internal cantonal affairs. The 1874 Constitution began, "Together, the peoples of the 23 sovereign Cantons of Switzerland united by the present alliance..."  Similarly, under the current 2000 Constitution, cantons hold all powers not specifically delegated to the federation. Switzerland's federal institutions are:  

Switzerland is a federal state composed of 26 [[canton]]s (20 are "full" cantons and six "half" cantons for purposes of representation in the federal legislature) that retain many attributes of [[sovereignty]], such as fiscal autonomy and the right to manage internal cantonal affairs. The 1874 Constitution began, "Together, the peoples of the 23 sovereign Cantons of Switzerland united by the present alliance..."  Similarly, under the current 2000 Constitution, cantons hold all powers not specifically delegated to the federation. Switzerland's federal institutions are:  

*A bicameral legislature--the Federal Assembly;  

*A bicameral legislature—the Federal Assembly;  

*A collegial executive of seven members--the Federal Council; and  

*A collegial executive of seven members—the Federal Council; and  

*A judiciary consisting of a regular court in [[Lausanne]]--the Federal Tribunal--and special military and administrative courts.

*A judiciary consisting of a regular court in [[Lausanne]]—the Federal Tribunal—and special military and administrative courts.

**The Federal Insurance Tribunal is an independent division of the Federal Tribunal that handles social security questions; its seat is in [[Lucerne]].

**The Federal Insurance Tribunal is an independent division of the Federal Tribunal that handles social security questions; its seat is in [[Lucerne]].

**The Federal Criminal Court, located in [[Bellinzona]], is the [[court of first instance]] for all criminal cases under federal jurisdiction.

**The Federal Criminal Court, located in [[Bellinzona]], is the [[court of first instance]] for all criminal cases under federal jurisdiction.

===Federal Assembly===

===Federal Assembly===

The Federal Assembly is the primary seat of power, although in practice the executive branch has been increasing its power at the expense of the legislative branch. The Federal Assembly has two houses--the Council of States and the National Council. These two houses have equal powers in all respects, including the right to introduce legislation. Legislation cannot be vetoed by the executive nor reviewed for constitutionality by the judiciary, but all laws (except the budget) can be reviewed by popular referendum before taking effect. The 46 members of the Council of States (two from each canton and one from each half canton) are directly elected in each canton by majority voting. The 200 members of the National Council are directly elected in each canton under a system of proportional representation. Members of both houses serve for 4 years.  

The Federal Assembly is the primary seat of power, although in practice the executive branch has been increasing its power at the expense of the legislative branch. The Federal Assembly has two houses—the Council of States and the National Council. These two houses have equal powers in all respects, including the right to introduce legislation. Legislation cannot be vetoed by the executive nor reviewed for constitutionality by the judiciary, but all laws (except the budget) can be reviewed by popular referendum before taking effect. The 46 members of the Council of States (two from each canton and one from each half canton) are directly elected in each canton by majority voting. The 200 members of the National Council are directly elected in each canton under a system of proportional representation. Members of both houses serve for 4 years.  

The Federal Assembly meets quarterly for 3-week plenary sessions. The parliamentary committees of the two houses, which are often key in shaping legislation, meet behind closed doors, but both majority and minority positions are presented during the plenary sessions. The Federal Assembly is a militia parliament, and members commonly retain their traditional professions. Individual members of parliament have no personal staff.  

The Federal Assembly meets quarterly for 3-week plenary sessions. The parliamentary committees of the two houses, which are often key in shaping legislation, meet behind closed doors, but both majority and minority positions are presented during the plenary sessions. The Federal Assembly is a militia parliament, and members commonly retain their traditional professions. Individual members of parliament have no personal staff.  

====Federal Council Membership====

====Federal Council Membership====

*President and Economic Affairs--Doris Leuthard (Christian Democrat)

*President and Economic Affairs—Doris Leuthard (Christian Democrat)

*Vice President and Environment, Transport, Energy and Communications--Moritz Leuenberger (Social Democrat)

*Vice President and Environment, Transport, Energy and Communications—Moritz Leuenberger (Social Democrat)

*Justice and Police--Eveline Widmer-Schlumpf (Conservative Democratic Party)

*Justice and Police—Eveline Widmer-Schlumpf (Conservative Democratic Party)

*Defense, Civil Protection and Sports--Ueli Maurer (Swiss People's Party)

*Defense, Civil Protection and Sports—Ueli Maurer (Swiss People's Party)

*Finance--Hans-Rudolf Merz (Free Democrat)

*Finance—Hans-Rudolf Merz (Free Democrat)

*Foreign Affairs--Micheline Calmy-Rey (Social Democrat)

*Foreign Affairs—Micheline Calmy-Rey (Social Democrat)

*Home Affairs--Didier Burkhalter (Free Democrat)

*Home Affairs—Didier Burkhalter (Free Democrat)

*Federal Chancellor--Annemarie Huber-Hotz (Ex Officio)

*Federal Chancellor—Annemarie Huber-Hotz (Ex Officio)

===Judiciary===

===Judiciary===

===[[Referendum|Referenda]]===

===[[Referendum|Referenda]]===

A strong emphasis on ballot votes arises out of the traditional Swiss belief that the will of the people is the final national authority. Every constitutional amendment adopted by parliament is automatically brought to the ballot and has to carry a double majority of votes and cantons in order to become effective. The voters themselves may actively seek changes to the Constitution by means of the popular [[initiative]]: 100,000 voters may with their signatures request a national vote on a proposed [[constitutional amendment]]. New federal legislation also is subject to popular review, under the so-called referendum: 50,000 signatures suffice to call a ballot vote on any federal law adopted by parliament. The Assembly can declare an act to be too urgent to allow time for popular consideration, but this is rare. At any rate, an act passed urgently must have a time limit and is later subject to the same constitutional provisions on popular review as other legislation. This device provides a useful channel for linking laws closely to the will of the people and reducing the influence of elites. A stunning example of this process occurred in November 2009, when Swiss voters turned out at the polls in huge numbers to approve of an amendment to the constitution banning the construction of [[minaret]]s <ref>http://www.admin.ch/ch/d//pore/va/20091129/det547.html Official voting results (in German)</ref>. This decision of a vast majority of voters to take a stand against political Islam came after a campaign in which the establishment elites had presented a unified front against the measure: all political parties except the [[Swiss People's Party]] had strongly opposed the suggested amendment, and most of the media openly mocked its supporters as racist and foolish.

A strong emphasis on ballot votes arises out of the traditional Swiss belief that the will of the people is the final national authority. Every constitutional amendment adopted by parliament is automatically brought to the ballot and has to carry a double majority of votes and cantons in order to become effective. The voters themselves may actively seek changes to the Constitution by means of the popular [[initiative]]: 100,000 voters may with their signatures request a national vote on a proposed [[constitutional amendment]]. New federal legislation also is subject to popular review, under the so-called referendum: 50,000 signatures suffice to call a ballot vote on any federal law adopted by parliament. The Assembly can declare an act to be too urgent to allow time for popular consideration, but this is rare. At any rate, an act passed urgently must have a time limit and is later subject to the same constitutional provisions on popular review as other legislation. This device provides a useful channel for linking laws closely to the will of the people and reducing the influence of elites. A stunning example of this process occurred in November 2009, when Swiss voters turned out at the polls in huge numbers to approve of an amendment to the constitution banning the construction of [[minaret]]s.<ref>http://www.admin.ch/ch/d//pore/va/20091129/det547.html Official voting results (in German)</ref> This decision of a vast majority of voters to take a stand against political Islam came after a campaign in which the establishment elites had presented a unified front against the measure: all political parties except the [[Swiss People's Party]] had strongly opposed the suggested amendment, and most of the media openly mocked its supporters as racist and foolish.

===Political Conditions===  

===Political Conditions===

Although it has a diverse society, Switzerland has a stable government. Most voters support the government in the armed neutrality underlying its foreign and defense policies. Domestic policy poses no major problems, but the changing international environment has generated a significant reexamination of Swiss policy in key areas such as defense, neutrality, and immigration. Quadrennial national elections typically produce only marginal changes in party representation.  

Although it has a diverse society, Switzerland has a stable government. Most voters support the government in the armed neutrality underlying its foreign and defense policies. Domestic policy poses no major problems, but the changing international environment has generated a significant reexamination of Swiss policy in key areas such as defense, neutrality, and immigration. Quadrennial national elections typically produce only marginal changes in party representation.  

In recent years, Switzerland has seen a gradual shift in the party landscape. The rightist Swiss People's Party (SVP), traditionally the junior partner in the four-party coalition government, more than doubled its voting share from 11% in 1987 to 22.5% in 1999, and finally to 26.6% in 2003, thus overtaking its three coalition partners. This shift in voting shares ended the 44-year old "magic formula," the power-broking agreement of the four coalition parties, and gave a second seat in the 7-person Swiss cabinet to the Swiss People's Party at the expense of the Christian Democrats, now the weakest party with 14.4% of the votes. For the first time in Swiss history, the SVP has two seats in the government, reflecting its new status as Switzerland's most popular party.  

In recent years, Switzerland has seen a gradual shift in the party landscape. The rightist Swiss People's Party (SVP), traditionally the junior partner in the four-party coalition government, more than doubled its voting share from 11% in 1987 to 22.5% in 1999, and finally to 26.6% in 2003, thus overtaking its three coalition partners. This shift in voting shares ended the 44-year old "magic formula," the power-broking agreement of the four coalition parties, and gave a second seat in the 7-person Swiss cabinet to the Swiss People's Party at the expense of the Christian Democrats, now the weakest party with 14.4% of the votes. For the first time in Swiss history, the SVP has two seats in the government, reflecting its new status as Switzerland's most popular party.  

On December 10, 2003, [[Christoph Blocher]]--a self-made industrialist and main figure of the right-populist Swiss People's Party known for his strong opinions on asylum and migration and law and order issues--was elected to the cabinet by parliament, replacing the incumbent Christian Democrat Justice and Police Minister Ruth Metzler. The parliament also elected the Free Democrat Hans-Rudolf Merz to replace retiring Finance Minister Kaspar Villiger. Both Blocher and Merz are strong advocates of drastic public spending cuts in order to reduce the country's mounting $102 billion francs state deficit and are staunch opponents to Switzerland's entering the European Union. On June 14, 2006, the Federal Council elected Doris Leuthard of the Christian Democratic Party. Leuthard replaced the retiring Joseph Deiss and has assumed the Economics and Trade portfolio that Deiss managed. Leuthard’s election and Deiss’ resignation do not change the dynamics of the Federal Council. The current makeup of the government remains fiscally conservative and against further integration with the European Union.  

On December 10, 2003, [[Christoph Blocher]]—a self-made industrialist and main figure of the right-populist Swiss People's Party known for his strong opinions on asylum and migration and law and order issues—was elected to the cabinet by parliament, replacing the incumbent Christian Democrat Justice and Police Minister Ruth Metzler. The parliament also elected the Free Democrat Hans-Rudolf Merz to replace retiring Finance Minister Kaspar Villiger. Both Blocher and Merz are strong advocates of drastic public spending cuts in order to reduce the country's mounting $102 billion francs state deficit and are staunch opponents to Switzerland's entering the European Union. On June 14, 2006, the Federal Council elected Doris Leuthard of the Christian Democratic Party. Leuthard replaced the retiring Joseph Deiss and has assumed the Economics and Trade portfolio that Deiss managed. Leuthard’s election and Deiss’ resignation do not change the dynamics of the Federal Council. The current makeup of the government remains fiscally conservative and against further integration with the European Union.  

The Constitution limits federal influence in the formulation of domestic policy and emphasizes the roles of private enterprise and cantonal government. However, the Confederation has been compelled to enlarge its policymaking powers in recent years to cope with national problems such as education, agriculture, energy, environment, organized crime, and narcotics.  

The Constitution limits federal influence in the formulation of domestic policy and emphasizes the roles of private enterprise and cantonal government. However, the Confederation has been compelled to enlarge its policymaking powers in recent years to cope with national problems such as education, agriculture, energy, environment, organized crime, and narcotics.  

The Swiss Constitution declares the preservation of Switzerland's independence and welfare as the supreme objective of Swiss [[foreign policy]]. Below this overarching goal, the Constitution sets five specific foreign policy objectives: to further the peaceful coexistence of nations; promote respect for [[human rights]], [[democracy]], and the [[rule of law]]; promote Swiss economic interests abroad, alleviate need and poverty in the world; and preserve natural resources.  

The Swiss Constitution declares the preservation of Switzerland's independence and welfare as the supreme objective of Swiss [[foreign policy]]. Below this overarching goal, the Constitution sets five specific foreign policy objectives: to further the peaceful coexistence of nations; promote respect for [[human rights]], [[democracy]], and the [[rule of law]]; promote Swiss economic interests abroad, alleviate need and poverty in the world; and preserve natural resources.  

The Swiss feel a moral obligation to undertake social, economic, and humanitarian activities that contribute to world peace and prosperity. This is manifested by Swiss bilateral and multilateral diplomatic activity, assistance to developing countries, and support for the extension of international law, particularly humanitarian law. Switzerland (mainly Geneva) is home to many international governmental and nongovernmental organizations, including the [[International Committee of the Red Cross]] (whose flag is essentially the Swiss flag with colors reversed--the Red Cross historically being a Swiss organization). One of the first international organizations, the [[Universal Postal Union]], is located in Bern.  

The Swiss feel a moral obligation to undertake social, economic, and humanitarian activities that contribute to world peace and prosperity. This is manifested by Swiss bilateral and multilateral diplomatic activity, assistance to developing countries, and support for the extension of international law, particularly humanitarian law. Switzerland (mainly Geneva) is home to many international governmental and nongovernmental organizations, including the [[International Committee of the Red Cross]] (whose flag is essentially the Swiss flag with colors reversed—the Red Cross historically being a Swiss organization). One of the first international organizations, the [[Universal Postal Union]], is located in Bern.  

===International Organizations===

===International Organizations===

===Global Economic Crisis===

===Global Economic Crisis===

Being a nation that depends upon exports for economic growth, and due to the fact that it is so closely linked to the economies of Western Europe and the United States, Switzerland was not able to escape recent slowdowns experienced in these countries. During most of the 1990s, the Swiss economy was Western Europe's weakest, with annual GDP growth averaging 0% between 1991 and 1997. Beginning in late 1997, the economy steadily gained momentum until peaking in 2000 with 3% growth in real terms. The economy returned to lackluster growth during 2001-2003, but has been growing at or above potential since 2004--2.5% per annum. The Swiss Economic Ministry reports that strong global demand, particularly in the U.S. and Asia, and better Euro zone growth has helped Switzerland’s economic recovery. Long-run economic growth, however, is predicated on structural reforms. In order to maximize its economic potential, Switzerland will need to push through difficult agrarian and competition policy reforms. These are essential if the government is to reduce its budget deficits and meet its 3% growth target.  

Being a nation that depends upon exports for economic growth, and due to the fact that it is so closely linked to the economies of Western Europe and the United States, Switzerland was not able to escape recent slowdowns experienced in these countries. During most of the 1990s, the Swiss economy was Western Europe's weakest, with annual GDP growth averaging 0% between 1991 and 1997. Beginning in late 1997, the economy steadily gained momentum until peaking in 2000 with 3% growth in real terms. The economy returned to lackluster growth during 2001-2003, but has been growing at or above potential since 2004–2.5% per annum. The Swiss Economic Ministry reports that strong global demand, particularly in the U.S. and Asia, and better Euro zone growth has helped Switzerland’s economic recovery. Long-run economic growth, however, is predicated on structural reforms. In order to maximize its economic potential, Switzerland will need to push through difficult agrarian and competition policy reforms. These are essential if the government is to reduce its budget deficits and meet its 3% growth target.  

The recent economic upswing had some positive impact on the labor market. Unemployment decreased from 4.1% in December 2003 to 3.1% in March 2007. Swiss in the 15-25 age bracket continue to fight unemployment numbers with a rate of 5.4%, and hotel and restaurant industry workers with 10.4%. One-fourth of the country's full-time workers are unionized. In general, labor/management relations are good, mostly characterized by a willingness on both sides to settle disputes by negotiations rather than by labor action. About 600 collective bargaining agreements exist today in Switzerland and are regularly renewed without major problems. However, the mood is changing. The massive layoffs that resulted from both the global economic slowdown and major management scandals have strained the traditional Swiss "labor peace." Swiss trade unions encouraged strikes against several companies, including the national airline SWISS, Coca-Cola, and Orange (the French telecom operator), but total days lost to strikes remain among the lowest in the OECD. Uncertainties concerning the proper management of pension funds, and the prospect of a potential hike in the retirement age from 65 to 67 have stirred heated political debate.

The recent economic upswing had some positive impact on the labor market. Unemployment decreased from 4.1% in December 2003 to 3.1% in March 2007. Swiss in the 15-25 age bracket continue to fight unemployment numbers with a rate of 5.4%, and hotel and restaurant industry workers with 10.4%. One-fourth of the country's full-time workers are unionized. In general, labor/management relations are good, mostly characterized by a willingness on both sides to settle disputes by negotiations rather than by labor action. About 600 collective bargaining agreements exist today in Switzerland and are regularly renewed without major problems. However, the mood is changing. The massive layoffs that resulted from both the global economic slowdown and major management scandals have strained the traditional Swiss "labor peace." Swiss trade unions encouraged strikes against several companies, including the national airline SWISS, Coca-Cola, and Orange (the French telecom operator), but total days lost to strikes remain among the lowest in the OECD. Uncertainties concerning the proper management of pension funds, and the prospect of a potential hike in the retirement age from 65 to 67 have stirred heated political debate.

The Swiss federal government remains deeply divided over whether to eventually join the EU, and in a March 2001 referendum more than 70% of Swiss voters rejected rapid steps toward EU membership. The issue of EU membership is likely to be shelved for several years, if not a decade. In May 2005, the government said it could sign a framework agreement with the European Union, as an alternative to joining the organization, to encourage dialogue and create a platform for closer cooperation.

The Swiss federal government remains deeply divided over whether to eventually join the EU, and in a March 2001 referendum more than 70% of Swiss voters rejected rapid steps toward EU membership. The issue of EU membership is likely to be shelved for several years, if not a decade. In May 2005, the government said it could sign a framework agreement with the European Union, as an alternative to joining the organization, to encourage dialogue and create a platform for closer cooperation.

Switzerland nevertheless expressed interest in reaching a third layer of bilateral agreements that would involve energy, the Galileo satellite navigation system, health, and agriculture. But recent harsh criticism by the European Commission against preferential cantonal tax treatment for foreign holdings cooled the political climate surrounding the EU. Unilateral trade retaliation--as threatened by the EU if the Swiss cantons do not change their cantonal tax regimes--has not occurred, but the political damage is done, including greater anti-EU feelings among the population. The pressure to negotiate with the EU could turn sour as the EU has already asked Switzerland to pay another SF 300-350 million ($240-280 million, on top of the SF 1 billion cohesion fund) to provide further financial aid to Romania and Bulgaria, which joined the EU on January 1, 2007. Unlike the November 2006 referendum, the newly enacted Eastern Europe Cooperation Act does not provide for an automatic referendum on further payments. The parliament will decide on the additional aid request.

Switzerland nevertheless expressed interest in reaching a third layer of bilateral agreements that would involve energy, the Galileo satellite navigation system, health, and agriculture. But recent harsh criticism by the European Commission against preferential cantonal tax treatment for foreign holdings cooled the political climate surrounding the EU. Unilateral trade retaliation—as threatened by the EU if the Swiss cantons do not change their cantonal tax regimes—has not occurred, but the political damage is done, including greater anti-EU feelings among the population. The pressure to negotiate with the EU could turn sour as the EU has already asked Switzerland to pay another SF 300-350 million ($240–280 million, on top of the SF 1 billion cohesion fund) to provide further financial aid to Romania and Bulgaria, which joined the EU on January 1, 2007. Unlike the November 2006 referendum, the newly enacted Eastern Europe Cooperation Act does not provide for an automatic referendum on further payments. The parliament will decide on the additional aid request.

The government also decided in November 2006 to once more consider adoption of the EU “Cassis-de-Dijon” principle for trade after a first setback in 2004. If adopted, EU products could be imported in Switzerland without having to go through the burdensome Swiss certification and Swiss language requirement process. Currently, Swiss retail prices are on average 20-40% higher than in the EU. If parallel imports are allowed under adoption of the Cassis-de-Dijion principle, prices could drop by 10%. Possible exceptions have been reduced from 129 products to 40, but hurdles remain on the labeling of alcohol contained in Alcopops, the Swiss ban of phosphates in washing machine powders, the real origin of “EU meat”, and on the stringent Swiss generic food production requirements. The “Cassis de Dijon principle” will not apply to the many farming and industrial products already covered by mutual recognition agreements (MRAs) under the EU-Swiss Bilaterals I and II; nor will it apply to other products such as pesticides, motor engines, and weapons that require an authorization. The impact, as a result, may not be as large as expected. Another issue is that Swiss and EU MRAs concluded with third countries may also benefit from adoption of the Cassis-de-Dijon principle (these goods would also have to receive WTO most favored nation status).  

The government also decided in November 2006 to once more consider adoption of the EU “Cassis-de-Dijon” principle for trade after a first setback in 2004. If adopted, EU products could be imported in Switzerland without having to go through the burdensome Swiss certification and Swiss language requirement process. Currently, Swiss retail prices are on average 20-40% higher than in the EU. If parallel imports are allowed under adoption of the Cassis-de-Dijion principle, prices could drop by 10%. Possible exceptions have been reduced from 129 products to 40, but hurdles remain on the labeling of alcohol contained in Alcopops, the Swiss ban of phosphates in washing machine powders, the real origin of “EU meat”, and on the stringent Swiss generic food production requirements. The “Cassis de Dijon principle” will not apply to the many farming and industrial products already covered by mutual recognition agreements (MRAs) under the EU-Swiss Bilaterals I and II; nor will it apply to other products such as pesticides, motor engines, and weapons that require an authorization. The impact, as a result, may not be as large as expected. Another issue is that Swiss and EU MRAs concluded with third countries may also benefit from adoption of the Cassis-de-Dijon principle (these goods would also have to receive WTO most favored nation status).