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Alejandro Araluce - O-I Europe
Function: European Sourcing Manager
Company: O-I Europe
City: Lausanne
Nationality: Spanish
Alejandro Araluce, a native of Spain, moved to Switzerland in 2005. His move to Switzerland transpired after receiving a relocation job offer from his current employer, an international company looking to open a European headquarters. Alejandro lives with his wife and son in the city of Lausanne, located on the shores of Lake Geneva.
What brought you to Switzerland?
I have lived in Switzerland since March 2005. My company is an international company--American actually -- that decided to open a European headquarters here in Lausanne. I came from the same company in Spain to work here.
What is your current status?
I have a permit that is renewed every five years. First, it was for one year and then it was renewed for five years. If I want to stay for more time, they will renew it again. As long as I am working here, it will be renewed. The next time will probably be to file for permanent residency.
Is it very difficult to immigrate to Switzerland?
It was really difficult before, almost impossible, but the laws have changed. They are a bit more open. It is much easier if you are sponsored by your company instead of coming to look for a job. My company assisted me in securing the necessary paperwork. It is probably quite difficult to do if you are trying to do it on an individual basis.
Are there a lot of immigrant communities in Switzerland?
There are a lot of immigrant communities. I believe 15% to 20% of the Swiss population is immigrants.
Do you perceive the Swiss as being open and welcoming to people from other countries?
Traditionally, they are not a very open society, but that is slowly changing as I think they realize that people coming here are helping the economy.
Can you describe what the climate is like in the area where you live?
I expected something more extreme in terms of low temperatures in the winter, but it is not that extreme. Switzerland is not a big country, but there are big differences between living close to the lake and living up in the mountains. It is not a far distance in kilometers, but it is a big difference in altitude. The climate at the lake altitude is quite good, but in the winter as you go into the mountains it becomes more extreme. It may be only 20 to 30 kilometers from the lakeside to the mountains, but it goes from 450 meters to 800 to 900 meters. The climate really changes a lot.
The climate is not very cold in the winter. It is cold but not very extreme and it is comfortable in the summer.
Would you say that Switzerland is environmentally-friendly?
The environment is a very big plus for Switzerland. It is a well-preserved country. It is very environmentally-friendly. Everything is green and the air is pure. Environmentally, compared to many other world capitals, Geneva is really a dream.
Is Switzerland a relatively safe country, i.e. low crime?
Very low crime and very safe; one of the safest in the world. You can leave your car open and nothing happens. From time to time in the newspaper you may see a story about something criminal, but that does not happen frequently. You really get comfortable in not having to worry about criminality. If you travel abroad a lot, it can be problematic because you become comfortable and may not be on guard as much as you should.
What is the healthcare system like in Switzerland?
It’s a good system, but it’s private. You have to pay a set amount to receive the minimum healthcare coverage required. Then, anything from that minimum level to more comprehensive coverage is up to you do decide. You are free to choose the health insurance provider, but normally your company will have an agreement with a particular company. Therefore, it is often more convenient to stay with the provider your company has an agreement with. You cannot work without being covered.
You pay every month and it comes out of your gross salary. It is important for foreigners to understand this because when they are looking at a job proposal that shows gross salary it sounds always better than what it is. For instance, from the gross salary in Spain you only have to deduct a small amount for social security. Here, you have to deduct the healthcare fee as well.
For those who cannot afford healthcare, does the government cover it?
Those who are of low-income can ask for a subsidy. They do not pay directly. They ask their commune or city hall, or even the State to pay part of it. If you are unemployed, then unemployment takes care of it. Everybody is supposed to have the minimum health coverage.
How would you describe the job market in Switzerland?
It’s a very good job market. It has a very low unemployment rate. Traditionally, Switzerland is under 3% unemployment. Now, some people are very worried because there is fear that it will go up to 4%. The average in Europe right now is 8%. Some countries like Spain are around 15% and likely to rise to 20%.
Unemployment is a little bit higher among the foreign population. Not all of the foreign population is made up of executives and managers. A lot of the foreign immigrants have lower education levels, and their unemployment rates are a little higher.
Overall though, the rate is still very reasonable compared to many other European countries.
Do most of the lower-income foreigners come to Switzerland to work in the service industries – the hotels and restaurants?
Yes, exactly. Some of them do not even live in Switzerland. They just work in Switzerland. They commute. The Swiss population generally does not like to perform jobs that do not pay well, like those related to tourism, so very often the French and Italians work these jobs. Many French commute to Switzerland to work and then return home to France to live as the salaries here are higher.
What is the work culture like in Switzerland?
I think it is more formal. My company is an international company so it is not very Swiss, but I know the Swiss culture is very strict and very formal. It may be a little difficult for some foreigners to adapt to.
Is it difficult to start up a new business?
I think it is not a very bureaucratic country. In terms of investment, it depends on the company. For instance, if you want to set up something in Geneva, you will have high operating costs and rent prices to contend with. Having said that, for the rest of the country, it’s pretty reasonable.
Do you have children and do they attend school?
Yes, I have one son. He’s in primary school.
What is your opinion of the school system?
My opinion is a bit biased as he is in a private international school. However, in general, I think the public schools are of good quality. The level of education is quite high here. There are some problems in a few areas where there is a large lower-income immigrant population.
Switzerland has a slightly different schedule than other countries. They have been more isolated historically than other European countries. They follow their own rules. For instance, if you are bringing a child from France and are enrolling him in the Swiss system, he will lose a year. So, if you integrate him into the Swiss system, then he will go one year later.
They have their own system, with their own rhythm. But, I think the quality is good. It’s good in the public schools and in the private system as well. Some of the best private schools in the world are here. If you have the money and you can afford it, you can benefit from some of the best schools.
Why did you decide to go with a private international school?
Primarily for the language. My son already knew Spanish, was fluent in French, and we decided to bring him to an English school to learn the language. He’s five years old and doing quite well in learning yet another language. We hope to keep him there for another year to really absorb the language and then will likely bring him back to the public schools.
Do you rent or own your own home?
I am renting.
Is it affordable and easy to own your own home?
It is not easy and it is not affordable. It is quite expensive and it is difficult to find housing. I lived in Spain and Paris and have traveled throughout Europe and if you are willing to pay a price at the top of the market, you usually will not have a hard time finding something in these markets. However, here, even if you are able to pay a high price, it is often really difficult to find an appropriate place to live. It’s really difficult.
I receive a pretty good housing allowance through my company. If I did not have that, I don’t think I’d be able to afford it. Some of my colleagues, who are looking for apartments, find places, but then must apply. Even if you can afford an expensive apartment, it doesn’t mean you will get it. You have to apply for it. You leave your name, references, income, etc. and the landlord chooses between the different candidates. It’s not easy.
The housing market is quite tight. There are not many new houses being built. Add to that the number of international companies who have relocated here that bring their workers from abroad, and the number of people looking for high quality apartments is not small.
Compared to Spain, is the cost of living in Switzerland high?
Yes, I would say it’s generally 40% to 50% higher.
How are the taxes?
I find them to be rather standard. The average income is higher otherwise people would not be able to afford the cost of living. I think you pay a similar level to what you would pay in Spain, but based on a much bigger salary here. Your salary here could be 1.5 or 1.6 times a Spanish or French salary, and you would pay roughly the same percentage in taxes as you would there. Compared to other countries, it’s not a bad situation.
What are the common languages spoken in Switzerland?
In this part of Switzerland, the official language is French. Everybody speaks French. In the business world, it’s English. It’s quite international. In Spain, you really do business in Spanish. In France, you do business in French. Here, you mainly do business in English especially in regards to the international companies. The local companies do not.
The rest of the country – approximately 80% -- speaks German (in fact Swiss-German, which is slightly different). Another circa 5% of the country speaks Italian in a region close to Italy called Ticino .To do business here with a local company; you should really be able to speak both French and German. If you work for a multinational, then you would likely use English.
Do you own a car or rely on public transportation?
I do have a car. Public transportation is reliable, but the terrain is not flat. It’s quite affordable to use a car here. In other countries, you may combine the use of the two. For example, in Madrid, you may use public transportation because of the traffic congestion. Here, traffic is quite good and because it is not a flat country, the car is more convenient.
Cars are cheap here compared to other European countries – around 8% cheaper. In France, buying a car generally equals eight to nine months of an average salary. Here it is only around five months. Car prices are similar or cheaper and income levels are higher so it is convenient to have a car. It’s not uncommon to have one car per person here.
The cars are imported, but the VAT is cheaper here. There is like a 5% to 8% difference in prices favorable to Switzerland.
What types of recreational activities do you enjoy?
There are many recreational activities, but the main ones are related to nature. Summer activities center on the lake. We have the biggest lake in Europe – Lake Geneva. It is very nice to walk by the lake, swim, and sunbathe on the beaches. In the winter, the big thing is to ski. Everyone skis.
Apart from that, you have some very good restaurants in the area. Not cheap at all, but apparently in the French Swiss region, there is a big concentration of good quality restaurants.
Geneva is more business oriented while Lausanne has a larger young population that enjoys the night life, cinemas, etc.
Quite a lot of activities for children are available as well. It’s a very child-friendly country.
What are the biggest positives and negatives, in your opinion to living in Switzerland?
The quality of life is quite good. In terms of the environment, security issues, job availability, and average income, the quality of life is good. I think probably one of the highest in the world.
A negative could possibly be that the Swiss people tend to be more closed and reserved in manner. They are often not as open and as welcoming to outsiders as what you may be used to.
Function: European Sourcing Manager
Company: O-I Europe
City: Lausanne
Nationality: Spanish
Alejandro Araluce, a native of Spain, moved to Switzerland in 2005. His move to Switzerland transpired after receiving a relocation job offer from his current employer, an international company looking to open a European headquarters. Alejandro lives with his wife and son in the city of Lausanne, located on the shores of Lake Geneva.
What brought you to Switzerland?
I have lived in Switzerland since March 2005. My company is an international company--American actually -- that decided to open a European headquarters here in Lausanne. I came from the same company in Spain to work here.
What is your current status?
I have a permit that is renewed every five years. First, it was for one year and then it was renewed for five years. If I want to stay for more time, they will renew it again. As long as I am working here, it will be renewed. The next time will probably be to file for permanent residency.
Is it very difficult to immigrate to Switzerland?
It was really difficult before, almost impossible, but the laws have changed. They are a bit more open. It is much easier if you are sponsored by your company instead of coming to look for a job. My company assisted me in securing the necessary paperwork. It is probably quite difficult to do if you are trying to do it on an individual basis.
Are there a lot of immigrant communities in Switzerland?
There are a lot of immigrant communities. I believe 15% to 20% of the Swiss population is immigrants.
Do you perceive the Swiss as being open and welcoming to people from other countries?
Traditionally, they are not a very open society, but that is slowly changing as I think they realize that people coming here are helping the economy.
Can you describe what the climate is like in the area where you live?
I expected something more extreme in terms of low temperatures in the winter, but it is not that extreme. Switzerland is not a big country, but there are big differences between living close to the lake and living up in the mountains. It is not a far distance in kilometers, but it is a big difference in altitude. The climate at the lake altitude is quite good, but in the winter as you go into the mountains it becomes more extreme. It may be only 20 to 30 kilometers from the lakeside to the mountains, but it goes from 450 meters to 800 to 900 meters. The climate really changes a lot.
The climate is not very cold in the winter. It is cold but not very extreme and it is comfortable in the summer.
Would you say that Switzerland is environmentally-friendly?
The environment is a very big plus for Switzerland. It is a well-preserved country. It is very environmentally-friendly. Everything is green and the air is pure. Environmentally, compared to many other world capitals, Geneva is really a dream.
Is Switzerland a relatively safe country, i.e. low crime?
Very low crime and very safe; one of the safest in the world. You can leave your car open and nothing happens. From time to time in the newspaper you may see a story about something criminal, but that does not happen frequently. You really get comfortable in not having to worry about criminality. If you travel abroad a lot, it can be problematic because you become comfortable and may not be on guard as much as you should.
What is the healthcare system like in Switzerland?
It’s a good system, but it’s private. You have to pay a set amount to receive the minimum healthcare coverage required. Then, anything from that minimum level to more comprehensive coverage is up to you do decide. You are free to choose the health insurance provider, but normally your company will have an agreement with a particular company. Therefore, it is often more convenient to stay with the provider your company has an agreement with. You cannot work without being covered.
You pay every month and it comes out of your gross salary. It is important for foreigners to understand this because when they are looking at a job proposal that shows gross salary it sounds always better than what it is. For instance, from the gross salary in Spain you only have to deduct a small amount for social security. Here, you have to deduct the healthcare fee as well.
For those who cannot afford healthcare, does the government cover it?
Those who are of low-income can ask for a subsidy. They do not pay directly. They ask their commune or city hall, or even the State to pay part of it. If you are unemployed, then unemployment takes care of it. Everybody is supposed to have the minimum health coverage.
How would you describe the job market in Switzerland?
It’s a very good job market. It has a very low unemployment rate. Traditionally, Switzerland is under 3% unemployment. Now, some people are very worried because there is fear that it will go up to 4%. The average in Europe right now is 8%. Some countries like Spain are around 15% and likely to rise to 20%.
Unemployment is a little bit higher among the foreign population. Not all of the foreign population is made up of executives and managers. A lot of the foreign immigrants have lower education levels, and their unemployment rates are a little higher.
Overall though, the rate is still very reasonable compared to many other European countries.
Do most of the lower-income foreigners come to Switzerland to work in the service industries – the hotels and restaurants?
Yes, exactly. Some of them do not even live in Switzerland. They just work in Switzerland. They commute. The Swiss population generally does not like to perform jobs that do not pay well, like those related to tourism, so very often the French and Italians work these jobs. Many French commute to Switzerland to work and then return home to France to live as the salaries here are higher.
What is the work culture like in Switzerland?
I think it is more formal. My company is an international company so it is not very Swiss, but I know the Swiss culture is very strict and very formal. It may be a little difficult for some foreigners to adapt to.
Is it difficult to start up a new business?
I think it is not a very bureaucratic country. In terms of investment, it depends on the company. For instance, if you want to set up something in Geneva, you will have high operating costs and rent prices to contend with. Having said that, for the rest of the country, it’s pretty reasonable.
Do you have children and do they attend school?
Yes, I have one son. He’s in primary school.
What is your opinion of the school system?
My opinion is a bit biased as he is in a private international school. However, in general, I think the public schools are of good quality. The level of education is quite high here. There are some problems in a few areas where there is a large lower-income immigrant population.
Switzerland has a slightly different schedule than other countries. They have been more isolated historically than other European countries. They follow their own rules. For instance, if you are bringing a child from France and are enrolling him in the Swiss system, he will lose a year. So, if you integrate him into the Swiss system, then he will go one year later.
They have their own system, with their own rhythm. But, I think the quality is good. It’s good in the public schools and in the private system as well. Some of the best private schools in the world are here. If you have the money and you can afford it, you can benefit from some of the best schools.
Why did you decide to go with a private international school?
Primarily for the language. My son already knew Spanish, was fluent in French, and we decided to bring him to an English school to learn the language. He’s five years old and doing quite well in learning yet another language. We hope to keep him there for another year to really absorb the language and then will likely bring him back to the public schools.
Do you rent or own your own home?
I am renting.
Is it affordable and easy to own your own home?
It is not easy and it is not affordable. It is quite expensive and it is difficult to find housing. I lived in Spain and Paris and have traveled throughout Europe and if you are willing to pay a price at the top of the market, you usually will not have a hard time finding something in these markets. However, here, even if you are able to pay a high price, it is often really difficult to find an appropriate place to live. It’s really difficult.
I receive a pretty good housing allowance through my company. If I did not have that, I don’t think I’d be able to afford it. Some of my colleagues, who are looking for apartments, find places, but then must apply. Even if you can afford an expensive apartment, it doesn’t mean you will get it. You have to apply for it. You leave your name, references, income, etc. and the landlord chooses between the different candidates. It’s not easy.
The housing market is quite tight. There are not many new houses being built. Add to that the number of international companies who have relocated here that bring their workers from abroad, and the number of people looking for high quality apartments is not small.
Compared to Spain, is the cost of living in Switzerland high?
Yes, I would say it’s generally 40% to 50% higher.
How are the taxes?
I find them to be rather standard. The average income is higher otherwise people would not be able to afford the cost of living. I think you pay a similar level to what you would pay in Spain, but based on a much bigger salary here. Your salary here could be 1.5 or 1.6 times a Spanish or French salary, and you would pay roughly the same percentage in taxes as you would there. Compared to other countries, it’s not a bad situation.
What are the common languages spoken in Switzerland?
In this part of Switzerland, the official language is French. Everybody speaks French. In the business world, it’s English. It’s quite international. In Spain, you really do business in Spanish. In France, you do business in French. Here, you mainly do business in English especially in regards to the international companies. The local companies do not.
The rest of the country – approximately 80% -- speaks German (in fact Swiss-German, which is slightly different). Another circa 5% of the country speaks Italian in a region close to Italy called Ticino .To do business here with a local company; you should really be able to speak both French and German. If you work for a multinational, then you would likely use English.
Do you own a car or rely on public transportation?
I do have a car. Public transportation is reliable, but the terrain is not flat. It’s quite affordable to use a car here. In other countries, you may combine the use of the two. For example, in Madrid, you may use public transportation because of the traffic congestion. Here, traffic is quite good and because it is not a flat country, the car is more convenient.
Cars are cheap here compared to other European countries – around 8% cheaper. In France, buying a car generally equals eight to nine months of an average salary. Here it is only around five months. Car prices are similar or cheaper and income levels are higher so it is convenient to have a car. It’s not uncommon to have one car per person here.
The cars are imported, but the VAT is cheaper here. There is like a 5% to 8% difference in prices favorable to Switzerland.
What types of recreational activities do you enjoy?
There are many recreational activities, but the main ones are related to nature. Summer activities center on the lake. We have the biggest lake in Europe – Lake Geneva. It is very nice to walk by the lake, swim, and sunbathe on the beaches. In the winter, the big thing is to ski. Everyone skis.
Apart from that, you have some very good restaurants in the area. Not cheap at all, but apparently in the French Swiss region, there is a big concentration of good quality restaurants.
Geneva is more business oriented while Lausanne has a larger young population that enjoys the night life, cinemas, etc.
Quite a lot of activities for children are available as well. It’s a very child-friendly country.
What are the biggest positives and negatives, in your opinion to living in Switzerland?
The quality of life is quite good. In terms of the environment, security issues, job availability, and average income, the quality of life is good. I think probably one of the highest in the world.
A negative could possibly be that the Swiss people tend to be more closed and reserved in manner. They are often not as open and as welcoming to outsiders as what you may be used to.
