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Poverty in Switzerland

poverty in switzerland
The media often refers to Switzerland as one of the wealthiest countries, a country that others “look to as a model in ‘liberal-market economy’ within Europe.” Many positively know Switzerland for its place in the human development index (HDI), overall being quite stable and prosperous in developments regarding wealth and happiness. Despite this, it still requires aid to support hundreds of thousands in Switzerland struggling to make ends meet, with the poverty index having grown from 7.5% in 2016 to 8.2% in 2017. Here is some information about poverty in Switzerland.

The Poverty Line

The poverty line, although low in comparison to the population of 8,651,647, affects more than 660,000 per year as of 2018. Around 3.2% of those people are reliant on welfare from the government. The welfare that they receive is better known as the ‘basket of goods,’ a monthly payment to provide for basic necessities. Basic needs include food and clothes, for which individuals will receive CHF1,000 ($961.70), as well as CHF1,000 for housing and CHF200 ($192.34) for health insurance as of 2020.

Welfare is not the only aid that the government offers. Persons who receive welfare may also have to meet with a budget advisor to help improve financial stability. Depending on personal status, one may have to continue looking for work or join an integration program.

People 18 and younger along with those who are 64 and older are more likely to struggle with poverty in Switzerland. Those older than 64 struggle the most as a result of lack of education, ability to work and limited resources. For many, life continues despite living paycheck to paycheck.

NGOs in Switzerland

There are 26 total NGOs providing assistance in Switzerland and neighboring countries. Caritas Switzerland is one of them, and is working to “reduce poverty in half.” Caritas is a global organization, with the goal to reduce poverty globally as well as provide emergency relief and post-natural disaster reconstruction. Caritas emerged in Switzerland in 1901, working to provide aid for those experience financial disadvantages such as single mothers, retirees and refugees. Caritas has been able to provide assistance to those battling with hunger, hygiene and humanitarian aid.  Additionally, it offers resources for debt relief education and income support.

Though the poverty line in Switzerland is significantly low, predictions determine that the rate of poverty will increase in the upcoming years. With the support of many NGOs, there is hope for the future. HEKS/EPER implemented 248 projects in 2019 to provide aid in Switzerland and 32 other countries in need. HEKS/EPER raised CHF31.2 million through donations from organizations and foundations as well as income from services, with a goal to assist social distress, poverty and post-natural disasters.

HEKS/EPER also created the project HEKS Wohnen, a program to assist those who may be socially disadvantaged find living quarters. Wohnen has the ability to provide a home and daily assistance if necessary. To date, it has helped 95 persons, with 93.7% of those having positive outcomes with families or persons finding sustainable housing and independence.

Despite projections that Switzerland’s poverty line will increase within the next couple of years, the support of NGOs such as HEKS/EPER, Caritas Switzerland and government welfare reform programs has presented positive opportunities to provide aid and assistance to those living in the country. Switzerland may have the ability to decrease its poverty projections with the support systems in place.

– Allison Lloyd
Photo: Flickr