Switzerland is set to vote on a referendum to limit its population size, a proposal driven by divisions over immigration that could set the country on a collision course with the European Union.

Population Growth and Immigration

The Swiss electorate will be asked if the country’s population should be capped at 10 million. The current population is over 9 million, with more than a quarter of its residents being foreign-born, according to government figures.

The proposal for a cap was put forward by the country’s largest political grouping, the conservative Swiss People’s Party (SVP), which claims that uncontrolled immigration is causing Switzerland to grow too quickly. However, business leaders warn that the proposal risks harming the economy and leaving companies struggling to fill jobs.

Economic Concerns

Critics have warned that a yes vote could have major repercussions for the Swiss economy, which relies on foreign workers to fill many roles. Economiesuisse, the nation’s largest business union, said the proposal was a ‘dangerous boomerang’ that ‘poses a massive threat to Swiss prosperity,’ calling the vote ‘a chaos initiative.’

Prof. Rudolf Minsch, chief economist at Economiesuisse, warned that a population cap would exacerbate labor shortages in a country with an aging population. ‘Significantly more people will retire than young people will join the workforce,’ he wrote, adding that ‘if the immigration of urgently needed workers is stopped, Switzerland will find itself in a vicious circle: in restaurants and hotels, hospitals, at kiosks… or in the export industry – there would be a shortage of foreign workers everywhere.’

Original reporting: El Paso News (HLL/CB) — read the source article.