Commissioner investigates new system of individual skill development

In December 1999, the Swedish government appointed a commissioner to examine and propose a new system for individual skill development. The proposal may involve a kind of "account" for skill-development funding that follows individuals throughout their working life, irrespective of changes in work and employment.

On 20 December 1999, the Swedish government appointed a commissioner, Lil Ljunggren Lönnberg, to examine a new system for individual skill development in working life (direktiv 1999:06). The commissioner is to propose a system that will be available both for individuals and employers. Two preliminary reports on the commissioner's work will be released during spring 2000 in order to give the social partners an indication of what proposals may emerge, before the 2001 bargaining round. The final report will be released on 15 January 2001.

The high rate of change in working life demands continuous skill development, and will increasingly do so in future, states the government. The interest and the will of individuals to participate in life-long learning are conditioned by their financial and practical opportunities to combine working life with education. It is said to be important that the state stimulates the interests of individuals in skill development, as the government also has an interest in a lower rate of unemployment. Furthermore, it is important for Swedish companies to keep up with ever-tougher international competition, and thus that employees are trained for new tasks continuously. However, according to the government, employers have a greater responsibility for the job-specific development of skills, whereas the state has a greater responsibility for the individual-specific development of skills. A system for individual skill development has to make it easier for the individuals to adapt to different sorts of changes in working life. The possibilities for skill development must follow individuals when they move on to a new employer, and this is why the government needs to become involved. A system for individual skill development should also stimulate new collective agreements between the social partners, leading to individual agreements between the employees and the employer. The system must also allow entrepreneurs to set aside money for their own development.

The commissioner is to review and describe existing models for skill development in other countries. The proposal for a new Swedish system may take the form of a kind of an individual "account" of skill-development money for employees, or a form of insurance, the government suggests. According to the national Budget for 2000 SEK 1.35 billion is put aside for the new system of skill development. Subsequently, SEK 1.15 billion will be set aside every year.