The Social Democrats want to reform the system for short-term work

The Government should reform the system for short-term work, believe the Social Democrats together with the trade union. An important piece of the puzzle for Swedish competitiveness, says IF Metall's chairman Marie Nilsson.

» Published:

The Social Democrats want to reform the system for short-term work
Photo: Claudio Bresciani/TT

Share this article

If the American tariff threats have serious effects on Swedish export industry, Sweden must be prepared, according to the Social Democrats. There is already a system for short-term work where the state, employees, and companies share the risks in the event of serious economic crises. It was used during the pandemic, but there were deficiencies.

Now, S and IF Metall want to reform the system and point out that several other countries have better systems in place to handle economic crises.

We must improve our system, says Fredrik Olovsson, business policy spokesperson for S, at a press conference.

There is already an investigation that lies ready on the government's table.

It's high time for the government to move forward with the proposals, says Olovsson.

Short-term work essentially means that companies retain their employees, even if demand for the companies' products drops. This is done by employees reducing their working hours, and the state covering part of the salary that companies pay.

Tags

Author

TTT
By TTEnglish edition by Sweden Herald, adapted for local and international readers

More news

SEC Challenges Global Sustainability Reporting Standards

SEC Challenges Global Sustainability Reporting Standards

Spotify Introduces High-Resolution Sound for Premium Users

Spotify Introduces High-Resolution Sound for Premium Users

LKAB to Invest 6 Billion Kronor in New Gällivare Sorting Plant

LKAB to Invest 6 Billion Kronor in New Gällivare Sorting Plant

Larry Ellison Nears Elon Musk in Bloomberg Billionaires Index

Larry Ellison Nears Elon Musk in Bloomberg Billionaires Index

High Electricity Prices in Sweden as Several Nuclear Reactors Halted

High Electricity Prices in Sweden as Several Nuclear Reactors Halted

Oracle Stock Soars 30% on Boosted Cloud Investment Forecast

Oracle Stock Soars 30% on Boosted Cloud Investment Forecast

Government Plans to Lower Hiring Costs for Young People

Government Plans to Lower Hiring Costs for Young People

Norwegian Interest Rate Cut Possible Amid Stable Inflation

Norwegian Interest Rate Cut Possible Amid Stable Inflation

Swedish Economy Sees 0.2% GDP Decline in July

Swedish Economy Sees 0.2% GDP Decline in July

Klarna's Valuation Criticized as Unfair by Chief Analyst

Klarna's Valuation Criticized as Unfair by Chief Analyst

Zara Owner Inditex Sees Profit Rise in First Half of Fiscal Year

Zara Owner Inditex Sees Profit Rise in First Half of Fiscal Year

Stock Market Edges Up as Clas Ohlson Shares Surge 12%

Stock Market Edges Up as Clas Ohlson Shares Surge 12%

Novo Nordisk to Cut 9,000 Jobs Amid Organizational Changes

Novo Nordisk to Cut 9,000 Jobs Amid Organizational Changes

Clas Ohlson Sees Profit Rise in First Quarter with Strong Sales

Clas Ohlson Sees Profit Rise in First Quarter with Strong Sales

Used Electric Car Sales Surge in First Half of the Year

Used Electric Car Sales Surge in First Half of the Year

Handelsbanken Predicts Final Interest Rate Cut in September

Handelsbanken Predicts Final Interest Rate Cut in September

District Heating Prices Surge Again with Aggressive Increases

District Heating Prices Surge Again with Aggressive Increases

Asian Markets Mostly Rise in Wednesday Trading

Asian Markets Mostly Rise in Wednesday Trading

Judge Halts Trump's Firing of Federal Reserve Member Lisa Cook

Judge Halts Trump's Firing of Federal Reserve Member Lisa Cook

Klarna's Valuation Tops 140 Billion Kronor Ahead of NYSE Debut

Klarna's Valuation Tops 140 Billion Kronor Ahead of NYSE Debut