Government Policy and the Nonprofit Sector: Switzerland - VMI

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Nollert and Budowski Government Policy and the Nonprofit Sector: Switzerland The sports sector also differs from the same sector in other countries. The main reason is that in Switzerland this sector is clearly stratified with elite sports sponsored and operated by for‐profit organizations and mainstream sports are in the domain of NPOs. Regarding religious communities there is a continuous debate regarding whether the government should collect the members contributions on behalf of the Church. In many cantons in Switzerland, as in many European countries, the contributions to the state‐affiliated Churches (Landeskirchen) 32 are included in the income taxes. Thus, the level of the contributions is linked to the level of income. This tax collection arrangement is challenged by two opposing views. On the one hand, secular and libertarian voices argue that Churches should be independent from state and therefore should levy voluntary contributions. On the other hand, some free Christian Churches and even Jewish and Islamic communities call for tax status’ similar to that of the state‐ affiliated Churches (Landeskirchen). Also, the constructive and strong relationships between the state and international development and cooperation (relief agencies) and the environmental associations are harshly criticized by the SVP (see section II.a), where as the NPOs active in the arts’ sector have experienced an improvement in their relationship with the state. In this sector professionalization is becoming increasingly important (also see section IV.d), but is a double‐edged sword because emphasizing professional qualifications for management has led to a decline in artistic content. Regarding structure, foundations in particular have profited from an improvement in the legal framework. 33 As in other countries, a comparison of various types of NPOs over the last decade has shown that some NPOs have been able to increase their resources (such as the Swiss People’s Party (SVP)), whilst others (such as the Swiss Workers Aid Association 34 and certain unions) have experienced more difficulty. However, the key factors for the success or failure of an NPO are not only business criteria, such as management and marketing, but also the timing of a given issue (e.g. the 2004 Indian Ocean tsunami,) and what the characteristics of the NPO beneficiaries are. a) Role of Nonprofit Organizations for Politics and Policies In this section we address the role of nonprofit organizations for politics and policies over the past ten to fifteen years. An important point to be mentioned is the huge potential for interest groups to wield political influence within the Swiss political system. Associations are therefore just as heavily involved and influential in political decision making as political parties (Tschäni 1986). This is due to the fact that members of Parliament only pursue their mandates on a part‐time basis and most of the political parties have fewer financial and human resources than interest groups or large companies. Comparative political research shows that Switzerland can be classified as “corporatist” (Armingeon 1997). 32 According to Helmig, Bärlocher and von Schnurbein (2009), Landeskirchen are not likely to be part of Swiss nonprofit sector. 33 Worthy of note is also that the foundation Pro Helvetia that promotes cultural activities is a well‐known example of a Swiss foundation operated by the Federal government under public law. 34 Schweizerisches Arbeiterhilfswerk (SAH) 14
Nollert and Budowski Government Policy and the Nonprofit Sector: Switzerland The strong influence of NPOs is grounded in four institutions; the democratic device of referenda and initiatives, the consultation process, and the Federation Complaint Right. Institutions allow NPOs to disband (by means of referendum), to advance (through initiatives), and to participate in the creation of legislation (consultation process). The Federation Complaint Right also allows NPOs to hinder planned construction. These devices are effective – as mentioned above – because large associations and many committees that organize initiatives or referenda have greater financial and human resources at their disposal than political parties. Furthermore, many interest groups are better able to put forward their views (e.g. against cuts in social welfare, tax increases, flight paths, or sexual predators) by means of collective protest than political parties specifically oriented towards general public welfare. A referendum (since 1874) is usually called for when a significant portion of the population does not agree with a law proposed by the Swiss Parliament. If a party, association, or private person is able to collect 50,000 signatures within 100 days, the decision is submitted to popular vote. This vote is called a facultative referendum. A simple majority is needed for the decision to be accepted. In the case of changes to the constitution, or to participation in any organization of collective security or in supranational associations, a referendum is compulsory. This means that a popular vote is necessary in every case. However, a double majority must accept such a proposal; i.e. it must be accepted both by the majority of voters, as well as the majority of cantons. Since 1891 citizens and NPOs have been able to demand a referendum on changes to the constitution by means of initiatives. If an initiative committee is able to collect the required 100,000 signatures within 18 months, a popular vote takes place. The Swiss population has rejected the majority of similar initiatives, such as the 1989 initiative to abolish the Swiss army. Citizens’ initiatives may also deal with cantonal and municipal issues. In order to diminish the probability of losing a popular vote (always a potential threat for legislators), all political parties with the power to call for a referendum are included during the formulation stage of a proposal. This happens by means of the consultation process, the preliminary phase of legal proceedings. This stage checks whether governmental proposals are politically, financially, economically, ecologically, socially, or culturally significant with regard to accuracy of contents, possibility of successful implementation and social acceptance. The draft proposal is thus submitted to the cantons, to the parties represented in Parliament, to the governing bodies of municipalities, cities, and mountain regions, to umbrella organizations of economic bodies, as well to other possible interested groups or associations according to the matter concerned. The consultation process is mandated by the Federal Council, and is organized and carried out by the relevant government department. Even individuals that are not invited to the consultation process may offer their input. All opinions connected with the consultation process are evaluated before the Federal Council marks out the conditions for the proposal. If the proposal is sent to Parliament, the Federal councilors discuss the proposal in the knowledge of the results of the consultation process. 15
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Government Policy and the Nonprofit Sector: Switzerland - VMI

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