ETH Domain generates a further 100,000 jobs

The ETH Domain – i.e. the two Federal Institutes of Technology in Zurich (ETH Zurich) and Lausanne (EPFL), as well as the four research institutes: the Paul Scherrer Institute (PSI), the Swiss Federal Institute for Forest, Snow and Landscape Research (WSL), the Swiss Federal Laboratories for Materials Science and Technology (Empa), and the Swiss Federal Institute of Aquatic Science and Technology (Eawag) – is an important actor in the Swiss national economy. According to a new study, its 21,000 employees brought about another 98,000 jobs in 2016. This means that for each job in the ETH Domain, another five jobs were created.

On the basis of federal funding amounting to 2.5 billion Swiss francs in 2016, the ETH Domain generated a gross value added of 13.3 billion francs in Switzerland. As such, each franc invested in the ETH Domain generates more than five times its value. It is estimated worldwide that the ETH Domain generated a gross value added of 16.5 billion francs and created 123,800 jobs.

According to the study, the ETH Domain also provides many services that are difficult to quantify, especially as concerns the field of public goods such as air, water and soil. For instance, research conducted in the ETH Domain contributes to improved air quality. 

The ETH Domain also makes a crucial contribution towards Switzerland’s good reputation in other countries and to the fact that Switzerland occupies a top position with regard to innovation and competitiveness. Many foreign companies settle at institutions of the ETH Domain and profit from the cooperation. Prominent examples of this include Google and Disney Research in Zurich. These companies create numerous jobs with a high degree of value creation in Switzerland. For instance, more than 2,000 people now work for Google in Zurich, and that figure is expected to rise to 5,000 in the future.

The institutions of the ETH Domain also create numerous jobs through their spin-offs. Their activities generated a gross value added of around 2.2 billion francs in Switzerland and created 22,900 jobs in 2016. These estimates were based on all active spin-offs created up to and including 2016 – a total of 659.  

The study was conducted by the British consultancy firm BiGGAR Economics on behalf of the ETH Domain.