Background information

The Confederation of Swedish Enterprise (Svenskt Näringsliv), The Swedish Trade Union Confederation (LO) and the trade union Unionen have concluded an agreement on the programme of establishment job [etableringsjobb]. The agreement aims to increase the labour market integration of long-term unemployed by reducing the risk and cost for companies to employ the long-term unemployed. The agreement has entered into force on 1 January 2023.

Content of measure

Establishment jobs will be offered to two groups of jobseekers: new arrivals who have been in Sweden for up to three years and the long-term unemployed. Refugees from Ukraine who are granted residence permits under the EU Directive on Temporary Protection 2001/55/EC can also find a way into the Swedish labour market through the establishment jobs.

Through the establishment job, the employee receives a combination of a salary from the employer and compensation from the state, so that the total income corresponds to the minimum wage in the regular collective agreement. The employee will be employed in the establishment job for up to two years after which the job would become a permanent job.

The cost is shared roughly equally between the state and the employer. Public reimbursement is based on collectively agreed salaries.

The government has earmarked SEK 500 million for establishment jobs in the year 2023.

Use of measure

There are more than 100,000 persons that are considered long-term unemployed in Sweden. The government of Sweden is aiming at 10,000 persons being covered by the earmarked budget for establishment jobs 2023.

Contents

• Employment retention
• Training and employability

Target groups

Workers	Businesses	Citizens
Unemployed Migrants or refugees in employment	Applies to all businesses	Does not apply to citizens

Actors and funding

Actors	Funding
National government Social partners jointly	National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	Agreed (outcome) incl. social partner initiative	Agreed (outcome) incl. social partner initiative
Form	Direct consultation outside a formal body	Direct consultation outside a formal body

Social partners' role in the implementation, monitoring and assessment phase:

• Social partners jointly
• Main level of involvement: Peak or cross-sectoral level

Involvement

The measure is a social partner agreement.

Views and reactions

The measure is a social partner agreement.

Sources

• 05 December 2022: Agreement reached on establishment jobs (Avtal klart om etableringsjobb)(5 december 2022) (www.svensktnaringsliv.se)
• 12 December 2022: Money for settlement jobs insufficient (Pengar till etableringsjobb riskerar ta slut) (www.svd.se)