Swiss citizens faced a moment of reckoning as a two-pronged referendum tested whether a nation built on consensus can embrace sweeping reforms. In a display of direct democracy, voters rejected both proposals: to extend compulsory national service to everyone, regardless of gender, and to levy a wealth tax on very large inheritances and gifts. The results, announced after a campaign that blended security anxieties with climate ambitions, sent a clear signal about what Swiss voters will and will not countenance in a time of global volatility.
The compulsory national service proposal would have required all citizens to serve in the military, civil defense, or civilian service, expanding a system where men currently perform service or take substitute fees. Supporters argued such a move would bolster Switzerland’s resilience amid floods, cyber risks, and security concerns. Yet the vote showed less than 20 per cent support in most cantons, with critics warning of high costs and potential negative impacts on the labor market and women’s participation in paid work and childcare. The debate highlighted tensions between national security objectives and personal freedoms in a country accustomed to careful policy calibration.
The wealth tax on ultra-wealthy assets would have targeted inheritances and gifts over CHF 50 million (€53.5 million), with proceeds earmarked for climate protection under the banner of a fairer climate policy. It would have burdened only a small slice of society—approximately 2,500 people—but faced fierce opposition from business groups and tax lawyers who warned it could drive capital away and complicate family-business succession, especially with fears of retroactive application. Prominent opponents, including business leaders, labeled the plan a “disaster for Switzerland,” and authorities warned that such measures might undermine the country’s attractiveness for internationally mobile assets.
Switzerland’s system of direct democracy underpins these outcomes. National referendums four times a year require a 50,000-signature threshold and, for constitutional changes, a double majority of voters and cantons. The two votes’ alignment with prior criticisms—costs, potential disruption to the labor market, and concerns about capital flight—fits a pattern where bold reform is repeatedly tempered by fiscal pragmatism and economic caution.