The welfare state and trade unions in Switzerland: an historical reconstruction of the shift from a liberal to a post-liberal welfare regime

Abstract

Switzerland is an extreme case that exhibits affinities to both the liberal and continental welfare state. Furthermore, trade union social policy activities mirror the development of the welfare state. While in the liberal phase of the Swiss welfare state, trade unions were sceptical of national social policy and therefore preferred union-run welfare schemes and collective bargaining. During Switzerland’s post-liberal phase, trade unions have become proponents of national social policy legislation. Switzerland’s exceptionality gives reason to explore the specific conditions under which unions change their social policy activities. Using the method of process tracing and an historical institutionalist approach, this article argues that unions’ industrial and political integration decisively affect their decision on the use of private and public welfare schemes. The article draws two conclusions: first, when viewing policies of welfare state development, the research should analyse union-run welfare schemes and social benefits based on industrial agreements. Second, it argues that the Swiss case is valuable for the welfare regime approach as it confirms the divide between liberal and continental welfare states.