U.S. pressures Swiss corporations to abandon their inclusivity initiatives.
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Swiss companies are feeling the heat after receiving demands from the US Embassy in Bern to drop their inclusive employment practices – a stark contrast to Swiss legislation mandating such practices. Similar letters have landed in the inboxes of companies in France and Spain.
These demands include gender-equal hiring, pay analysis for equal wages, and other measures to promote equality. However, President Donald Trump's administration has already abolished targeted advancement programs for women and minorities in the US when he took office in 2025.
Now, Trump is pushing Swiss companies to follow his example. According to reports, large Swiss corporations like UBS, Roche, and Novartis are removing any mention of their diversity and inclusion goals from public documents to avoid antagonizing the US administration.
The Trump administration's heavy-handed approach is prompting criticism from Swiss legislators. "Swiss companies must comply with our laws, not US regulations, especially since equality targets are enshrined in Switzerland's law," said MP Min Li Marti. "Blind obedience is out of place here."
This is not the first time Trump has attempted to impose his regulations in Switzerland. In March, the US sent questionnaires to UN and NGO employees in Geneva, inspired by the US administration's ideology. The questionnaire aimed to determine whether they worked with entities associated with communism, socialism, or other anti-American beliefs. It also sought to know if the organizations received funding from China, Russia, Cuba, or Iran.
Resistance to these demands is likely to be minimal for companies that value access to the US market or fear loss of funding. Nevertheless, the implications and reactions are complex, given the existing legal framework and cultural context in Switzerland.
Large companies are grappling with the legal requirement to maintain diversity and inclusivity, the risk of economic sanctions if they don't comply with US demands, and potential reputational harm should they abandon these practices.
The majority of European companies, including those from Switzerland, have shown reluctance to abandon their DEI programs, underscoring the importance of these initiatives in European business culture. The EU as a whole has also urged resistance against these US demands. Tariff threats from the US could further strain economic relations and impact Swiss businesses if they fail to comply with US employment policies.
Despite adjustments made, major Swiss corporations like Novartis have emphasized their commitment to equal opportunity and diversity, even as they revise certain practices in the US. The balance between legal compliance and social responsibility remains a delicate one for many Swiss companies.
- In response to US demands, Swiss companies like UBS, Roche, and Novartis are reconsidering their public commitment to diversity and inclusion, a practice mandated by Swiss policy and legislation.
- The Trump administration's call to Swiss companies to abandon their inclusive employment practices has sparked criticism from Swiss legislators, with MP Min Li Marti stating, "Swiss companies must comply with our laws, not US regulations."
- The US administration's ideology was reflected in questionnaires sent to UN and NGO employees in Switzerland, asking about potential ties to communism, socialism, or anti-American beliefs.
- As the general news reflects, the EU has urged European companies, including those from Switzerland, to resist these demands from the US, as tariff threats could negatively impact Swiss businesses.
- In the face of these complexities, Novartis and other major Swiss corporations have emphasized their commitment to equal opportunity and diversity while navigating the intricate balance between legal compliance and social responsibility.
