"We think that privatization has gone too far and that private actors are more expensive but not better. Therefore, we do not think it is justified that there is such an additional cost for taxpayers," says Minister for Labour Market Mats Persson (The Liberals) to the radio.
How much lower the compensation will be to the private companies that, on behalf of the Employment Service, support unemployed individuals in job seeking is still unclear.
The Employment Service will also start rating the actors and exclude those that are not good.
In October, a report from the Institute for Labour Market and Education Policy Evaluation (IFAU) found that the private actors' efforts had been more expensive but had not yielded better results.
The decision to privatize the Employment Service to a greater extent was implemented by the parties in the January Agreement (S, C, The Liberals, and Green party) in 2019.
