Don't you (and your company) pay way more taxes in Germany than in Switzerland?
I've never applied to Munich positions but everything I've read point to a significant gap between Zürich and Munich in software engineering, even before taxes. But maybe that's only valid for software engineering and not so relevant for other engineering fields?
> I didn’t look at Zurich because of the crazy rental prices.
That's also where you have the highest salaries though... With the same reasoning nobody would work in the SV. And as soon as you start looking outside of the city center you quickly find cheaper accommodation.
But I think the main difference is really the taxes.
There is no single country here where wages have increased faster than real-estate/cost of living and where the rich aren't getting richer while everyone else is stagnating at best.
It's a side effect of globalization and our current version of capitalism supported by (intentional) poorly designed economic policies that enable this wealth gap to grow ever larger.