Swiss say 'no thanks' to basic income for all

By Agencies In Geneva | China Daily | Updated: 2016-06-07 08:19

The Swiss on Sunday flatly rejected a radical proposal to provide the entire population with a basic income.

Final results in the referendum showed 76.9 percent of voters opposed the initiative to provide an unconditional, basic income to each Swiss national, along with foreigners who have been legal residents for at least five years.

Supporters had argued that such an income would help fight poverty and inequality in a world where good jobs with steady salaries are increasingly hard to come by.

The group behind the initiative had suggested paying $2,560 a month to each adult and $640 for each child.

Such a sum, however, would hardly cover basic living costs in Switzerland, which is one of the world's priciest nations where the median income is above $6,150 a month.

The idea, which stirred up debate both in Switzerland and abroad, was embraced in a few counties in the cantons of Jura and Vaud, while several neighborhoods of Geneva and Zurich voted in favor.

But overall, the response from the 46 percent of eligible voters who cast their ballots was a resounding "no", in line with the recommendation from the government and nearly all political parties.

The scheme to dish out an income to people whether they work or not was controversial from the start in Switzerland - a country where craftmanship and work ethic are highly valued.

'Realistic' people

Andreas Ladner, a political scientist at Lausanne University, told RTS the Swiss were "realistic" in their assessment of the UBI plan.

Accepting that people can "be paid without having to work would have been a very big step" for the industrious Swiss, he said.

Critics condemned the initiative, warning of sky-high costs and people quitting their jobs in droves, causing economic chaos.

Authorities have estimated an additional $25 billion would be needed annually to cover the costs, requiring deep spending cuts or steep tax hikes.