Government moves to abolish Sweden’s agency chief elephant graveyard with new severance rules

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Government moves to abolish Sweden’s agency chief elephant graveyard with new severance rules
Photo: Martin Pahlmblad/TT

The current system is glaring, the minister believes. Therefore, an investigation is being appointed to propose how the elephant graveyard can be abolished and replaced with severance pay of up to two years.

Today, it is not possible to dismiss a Director General prematurely.

In theory, if you lose your position as Director General after a short period of time, you could receive full salary for over five years, and then extend this with a severance payment of two years or, if you have reached a certain age, receive an income guarantee for four years, says Slottner.

He emphasizes that it is unusual, but entirely possible under the current rules.

Also gets a parachute

If the government decides that a head of an agency should not remain in his or her post or if the agency is closed down, the person will be placed in the Government Offices with full salary until the appointment expires.

Agency heads such as directors-general and county governors are normally appointed for six years, with the possibility of a three-year extension. If a director-general or county governor is transferred early in that period, it can therefore result in several years of employment with unclear duties.

Former heads of government agencies can also choose a two-year parachute when their time in the elephant graveyard is over. Anyone who has reached the age of 61 and has worked a total of six years may instead be entitled to an income guarantee for four years. The government also wants the investigator to review this.

Not worried

One argument for keeping the system is that it protects the independence of agency heads. But Slottner does not believe that changed remuneration rules would affect this.

"I'm not worried. I'm convinced that the people who are applying for the position of Director General are very concerned about their professionalism and independence," he says.

Today, there are eight former agency heads in the elephant graveyard, two of whom are placed there because the agencies were liquidated. The total salary is approximately 13 million a year.

Those who have the longest remaining in their appointments are former Sida director Jakob Granit and former head of the Swedish Financial Supervisory Authority Daniel Barr, both of whom can continue working until some time into 2029 and have monthly salaries of more than 140,000 SEK.

The investigation must be completed by April 5, 2027.

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By TT News AgencyEnglish edition by Sweden Herald, adapted for our readers

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