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Employers to report "vabbing"

The Government wants to increase control over parental allowance and sick leave for parents. The fraud is extensive, according to Finance Minister Elisabeth Svantesson (The Moderate Party). This is taxpayers' money that is financing completely wrong things.

» Updated: 16 July 2024, 14:12

» Published: 11 July 2024

Employers to report "vabbing"
Photo: Caisa Rasmussen/TT

The Government wants to increase control over parental allowance and temporary parental allowance, VAB. Fraud is extensive, according to Finance Minister Elisabeth Svantesson (The Moderate Party).

This is taxpayers' money that finances completely wrong things.

The Government wants to tighten control over both parental allowance and temporary parental allowance, VAB.

In a referral to the Council on Legislation, it is proposed that the employer shall be required to report to the Tax Agency every month when employees have been absent due to parental leave and childcare.

With this information, the Social Insurance Agency will be able to more easily check if individuals are receiving temporary parental allowance while working and receiving a salary.

We want to tackle fraud. It's quite extensive fraud, says Finance Minister Elisabeth Svantesson (The Moderate Party) at the Government's summer party.

Today, it's very time-consuming and complicated for the Social Insurance Agency to obtain the information.

The Ministry of Finance estimates that around two billion kronor are paid out incorrectly every year. However, it is unknown how much of this is deliberate fraud and how much is negligence. Svantesson hopes that the state will be able to recover most of this amount through the tightened control.

Two billion is an incredible amount of money, and we must do everything we can to push it back, says Svantesson.

She acknowledges that the proposal will entail some increased cost for companies, but only initially when the reporting systems need to be changed.

The proposal is expected to come into force on January 1, 2025.

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By TTThis article has been altered and translated by Sweden Herald

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