Dear Insider,
Pride goes before destruction - but sometimes it takes awhile.
In one particular Swiss canton, that time was now and the results were predictable.
At the same time, the case of Valérie Dittli underscored the age-old maxim that youth is no guarantee of superiority.
Nor is a reputation for quality - a burden that is proving too hard to bear for the hapless Swiss military.
In both cases, there is no excuse for a lame defence.
Enjoy,
Ian
P.S. Have we connected on X yet? If not - please do!
💥Quick hits
News bits and bites…short and (sometimes) sweet
No caps, please
The Swiss Federal Council has rejected the Swiss People's Party's (SVP) initiative to cap the country's population at 10 million by 2050, citing potential harm to economic growth and societal functions.
The SVP's proposal, which aims to limit immigration, particularly targeting asylum seekers, has garnered enough support to trigger a national vote.
But - the date of a referendum remains unconfirmed.
Meanwhile, opponents are out in full force.
Switzerland's economy relies heavily on foreign workers, with 27% of the population being foreign-born.
AI made in Switzerland
National telecom Swisscom is getting in on the AI race.
The company has started testing 'myAI', a chatbot based on Anthropic's 'Claude' language model, available to private customers until the end of May.
The initiative is exploring a range of potential AI products and services.
And it’s being responsible.
Swisscom will ensure data remains in Switzerland and isn't used for model training.
Further development is subject to review after the beta phase.
Holding the (salary) line
High wages are a hallmark of Switzerland - and most people want to keep it that way.
The Swiss Federal Council has adopted 14 measures to enhance wage protection, aiming to facilitate a new agreement with the European Union.
These measures include:
Reducing the pre-notification period for cross-border service providers
Ensuring that expenses like accommodation and meals are covered according to Swiss standards when not adequately regulated in the home country.
The Swiss Trade Union Confederation and Unia have welcomed the measures but stress the importance of maintaining robust wage protection going forward.
📰 Person in the news - Valérie Dittli
Some political careers take years to bloom. Others blossom more quickly.
Valérie Dittli (as well as her sister Laura) seemed to be an example of the latter.
Born in 1992 in Oberägeri (Zug), Valérie Dittli burst onto the Swiss regional political scene with a bang.
After studying law in Lucerne and earning a doctorate in Lausanne, she made her political debut in Vaud with the Christian Democratic People’s Party (CVP), taking over as cantonal president in 2020 at the age of 28.
Two years later, she made headlines by securing a seat on the Vaud State Council—a first for the newly merged party that became known as “Die Mitte.”
And then controversy struck…
In 2023, it was revealed she kept her tax residence in Zug until 2022, despite living in Lausanne since 2016.
Though legally permitted (children under age 30 are allowed to keep their residence with parents), the optics raised a storm of criticism
And now controversy has struck again.
A government audit uncovered issues within the Finance Department under Dittli’s leadership, including strained internal relations and unauthorized attempts to annul tax assessments.
Not great for someone who already raised red flags about tax…
As a result of the recent improprieties, the Finance Department portfolio has been reassigned, and Dittli now oversees agriculture.
🪖The Swiss cripple
It comes as no great surprise…and yet…
With the election of Martin Pfister to the Federal Council and his instalment as the new Minister of Defence - scrutiny of the Swiss armed forces has reached a new level.
And new reports are now raising fresh alarms.
According to recent surveys, the Swiss Army is facing significant operational challenges due to vehicle maintenance issues.
Of approximately 20,000 wheeled vehicles, 20% are currently out of service, awaiting repairs.
This situation has led to training limitations, with soldiers sometimes having to simulate equipment during exercises.
And that’s not all…
In late 2023, all 248 M113 armoured personnel carriers were grounded due to technical defects.
Currently, only half are operational, with full restoration expected by the end of the year.
The shortage of technical personnel, both within the military and in civilian sectors, has exacerbated these maintenance delays.
"With these conditions, it's impossible to operate. One system after another fails due to age or is decommissioned without replacement."
Erich Muff, President of the Armoured Officers' Society
🐮 The fatted (foreign) calf
Everyone loves a good steak. Even in Switzerland - where a good T-bone can set you back more than 50 CHF.
So what exactly is the state of the meat market in this country?
Robust…and growing.
Switzerland’s total meat supply jumped 3.9% in 2024, surpassing 453,000 tonnes.
But here’s an interesting point:
The surge was almost entirely fueled by imports, while domestic production continued its decline.
More precisely - Swiss meat production now accounts for just 79.6% of total supply, down from 82.9% last year.
What is the biggest shift?
A 40% surge in pork imports, while local pork production fell 3.1%.
Meanwhile:
Poultry was the biggest winner, soaring 9.1% as both domestic production and imports climbed.
Beef supply rose 2.8%, with growth in both imports and local production.
Pork supply edged up 1.8%, but the real story is in imports—up 40%—as Swiss farms produced less.
Lamb and sheep supply dropped 2.2%, driven by lower domestic production.
On a per capita basis, meat supply per person increased 2.9%, outpacing Switzerland’s 0.9% population growth.
But an even more interesting stat is that not all this meat is actually eaten.
Studies show only 75-80% of the supply reaches consumers, with the rest ending up as bones, fat, pet food, or food waste.
En guete…
🇨🇭 Under the gun
The Swiss defence sector is usually not so controversial. After all - Switzerland is neutral. End of story.
But recent scandals and the prospect of war has turned up the heat - both on government and the private sector.
Read the recent Special Edition of The Swiss Insider for more insights.
A Chart is Worth…
Who’s a foreigner? In Switzerland, the percentage of foreign-born residents is particularly high…but not everywhere.
Geneva, Zurich and Lausanne top the charts, with Bern, Jura and the two Walden half-cantons on the lower end of the spectrum.
The Bonus
👍🏻 All trades go - The Swiss Parliament has approved the previously-signed free trade agreement negotiated with India. (Link)
✂️ Bucking the trend - The Swiss National Bank chose to continue its loosening policy and cut interest rates in half - bringing the bank’s rate now to 0.25%. (Link)