Government Policy and the Nonprofit Sector: Switzerland - VMI

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Nollert and Budowski Government Policy and the Nonprofit Sector: Switzerland The importance and political influence of the NPO sector in Swiss politics is tied to the general weakness of the state bureaucracy. One indication of the weakness of the state bureaucracy is that most members of Parliament are strongly affiliated with interest groups (supervisory boards of enterprises, employers’ organizations, trade unions). A second indication is that public servants and members of the Parliament often depend on external expertise provided by interest groups. A further indication is that the comparatively few strikes, high protectoral tariffs, and large agricultural subsidies are due in particular to special interest politics of associations and not to activities of public authorities. The low level of conflict amongst the workforce can be traced back to the so‐called “peace agreement” of 1937 in the Swiss metalwork and machine industry. Against the background of threatening fascist Axis powers, the National Council and the president of the Swiss Metalwork and Watch Industry Workers Federation (SMUV) 8 , Konrad Ilg, proposed to the president of the Federation of Swiss Metalwork and Machine Industrialists (ASM) 9 abstention from militant action under certain conditions. One condition was that central disputes be evaluated and resolved by a neutral arbitration board according to a “good faith” effort (Humbel 1987). This model of social partnership became the collective labor agreement 10 , a sector‐by‐sector agreement between trade unions and employers regarding working conditions, pay and hours. This agreement continued after the war and became codified in the 1974 collective labor agreement (Armingeon et al., 2000, Fluder et al., 1991, 1996). The NPOs’ strong influence is further institutionalized in some of the instruments of direct democracy: the referendum, the initiative, as well as the consultation process (see section III.a and Linder 1999). If a qualified number of citizens disagree with proposed legislation, Swiss law requires it to be subject to a referendum. Consequently legislators try to incorporate as many NPOs as possible at the consultation stage of policy‐making in order to avoid this happening too frequently (see section III.a). NPOs can also force votes on extra‐ parliamentary proposals via initiatives. 3. The Philosophy and Principles Behind Swiss Policy The Swiss government’s policy with regard to nonprofit organizations is fundamentally based on the subsidiarity principle (Latin: subsidum = assistance). Article 5a of the Federal Constitution explicitly states: “The principle of subsidiarity is to be observed in the allocation and implementation of public functions.” According to this principle the state should only carry out activities and resolve problems when no other social actor subordinate to the Swiss Government can be found to take responsibility, such as municipalities, cantons, families and commercial or nonprofit companies. In Switzerland the subsidiarity principle has two philosophical origins; these are evident in the differences between the manifestos of the Liberal and Catholic parties. The liberal subsidiarity principle supports the assumption that individuals are responsible for their own lives and their own protection against risk. The state therefore interferes only when the individual’s resources and those of its primary social networks are insufficient. 8 Schweizerischer Metall‐ und Uhrenarbeiterverband 9 Arbeitgeberverband schweizerischer Maschinen‐ und Metallindustrieller 10 Der Gesamtarbeitsvertrag, GAV 4
Nollert and Budowski Government Policy and the Nonprofit Sector: Switzerland The Catholic subsidiarity principle developed in Switzerland in the second half of the 19 th century; its origins date back to the search for solutions to the “social question”. The 19 th century Papal Social Encyclicals 11 advocated a third way forward between capitalism and state socialism that built on the potential of families and workers to help and organize themselves and on the activities of charities (Caritas 2002) to solve the problem of social integration. Unlike the liberal approach which limits governmental support to that of last resort (the ultimate social safety net), the Catholic view emphasizes State support of its citizens in their efforts to organize themselves, and to protect their social and employment rights. 4. Differences Among Parties in Their Attitudes Toward the NPO Sector In general, four political parties have influenced Swiss politics for many years: the Liberal‐Democratic Party (FDP) 12 , the Christian Democratic People’s Party (CVP) 13 , the Swiss People’s Party (SVP) 14 , and the Social Democratic Party (SPS) 15 . The political stances of these four parties vary widely, but most political parties have positive attitudes towards the nonprofit sector. The Liberal‐Democratic Party (FDP) considers the nonprofit sector to be an important antithesis to the state and consequently supports it in theory. Their position has become extreme when it comes to social issues: many of the party’s representatives hope that NPOs and their volunteers will assume responsibility for the traditional social services provided by the state. The Christian Democratic People’s Party (CVP), on the other hand, views it as an area of common public interest, solidarity, and charity. The moderate‐left Social Democratic Party (SPS) does not share or appreciate the FDP’s posture. They fear that the delegation of traditional public services carried out with governmental support to NPOs and other actors without governmental support will erode professionalism in the nonprofit and social sectors. Although the Social Democratic Party in general advocates state‐run or state‐led problem‐solving, it nonetheless considers the nonprofit sector a bastion of practiced solidarity and accordingly supports the sector in the political arena. The only party with a critical attitude towards the nonprofit sector is the conservative Swiss People’s Party (SVP). Many party representatives consider several nonprofit organizations unnecessary. They are particularly critical of the environmental associations, which they believe misuse the Federation Complaint Right 16 (see section III.a) to block economically sound construction projects. In the last few years the Swiss People’s Party (SVP) has received support from the Liberal‐Democratic Party (FDP) to start an initiative to cancel the Federation Complaint Right. Targeting environmental associations and development agencies, the SVP members of Parliament requested that the Federal Council obliges NPOs receiving substantial financing from public institutions to disclose the sources and the amount of contributions received from the state or from major 11 Sozialenzyklika 12 Freisinnig‐Demokratische Partei (FDP) 13 Christlichdemokratische Volkspartei (CVP) 14 Schweizerische Volkspartei (SVP) 15 Sozialdemokratische Partei der Schweiz (SPS) 16 Verbandsbeschwerderecht 5
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