Working life country profile for Sweden

This profile describes the key characteristics of working life in Sweden. It aims to provide the relevant background information on the structures, institutions and relevant regulations regarding working life.

This includes indicators, data and regulatory systems on the following aspects: actors and institutions, collective and individual employment relations, health and well-being, pay, working time, skills and training, and equality and non-discrimination at work. The profiles are systematically updated every two years.

Esta sección se centra en la relación laboral, desde el inicio hasta la terminación, entre el trabajador individual y el empleador, cubriendo el contrato de trabajo, los derechos y obligaciones, los procedimientos de despido y terminación, y las disposiciones legales relativas a la licencia por enfermedad y la jubilación.

‘Individual employment relations’ refers to the relationship between the individual worker and their employer. This relationship is shaped by legal regulation and by the outcomes of social partner negotiations over terms and conditions. This section looks at the start and termination of the employment relationship and entitlements and obligations in Sweden.

Requirements regarding an employment contract

According to the Swedish Work Environment Authority, the minimum working age for labour that is not physically or mentally challenging is 13 years of age. For all other work, the minimum working age is 18 years.

In the private sector, the employer is generally free to choose employees as long as their reasoning is within the bounds of the law. For example, the employer cannot unlawfully discriminate. The Employment Protection Act states that the employer must provide written information to the employee on the conditions of their employment within one month of the employee starting their job. The laws concerning governmental employees are somewhat stricter, but are also regulated by the Public Employment Act (LOA 1994:260). With some exceptions, employment contracts are permanent.

Dismissal and termination procedures

Temporary contracts expire on their termination date. Permanent contracts can be terminated for two reasons: owing to redundancy or for personal reasons. Redundancy implies that the contract is terminated for organisational reasons, such as a lack of work. Personal reasons imply that the employee has not performed their job properly.

Dismissal and termination processes are regulated by the Employment Protection Act and the Employment (Co-Determination in the Workplace) Act. Collective agreements can offer alternative procedures to those decided by law. The Employment Protection Act has been highly debated in recent years. It was reformed in 2022. On the one hand, this made it easier for employers to choose which employees to lay off during work shortages; on the other hand, it made it easier for a worker with a temporary contract to gain a full-time permanent position.

Parental, maternity and paternity leave

Maternity and paternity leave are called parental leave in Sweden, as both parents qualify for paid leave. Parental leave is paid for approximately 16 months (480 days). A total of 90 days are reserved for each parent, while the remaining 300 days can be split whichever way the parents wish. According to the Swedish Social Insurance Agency (Försäkringskassan), the proportion of parental leave taken by fathers has increased but remains well below that taken by mothers (paternity leave represents around one-quarter of all parental leave days taken). In 2023, fathers used on average 30.9% of the total parental leave, equating to 148.8 days. (Försäkringskassan, 2024)

Statutory leave arrangements

Parental leave
Maximum duration480 days of paid leave, of which 90 days are reserved for each parent. Maternity leave can be taken from 60 days before the child’s due date.
Reimbursement390 days, based on income (if employed, this is often around 80% of the wage), and 90 days at SEK 180 (€17.70 as of 8 March 2021) per day. For more than one child, the duration of reimbursement is as follows: for two children, 660 days; for three children, 840 days; and for four children, 1,020 days.
Who pays?Swedish Social Insurance Agency
Legal basisParental Leave Act (Föräldraledighetslagen) (SFS 1995:584) provides for the right of parents to have time off when having a child. The Social Insurance Code (Socialförsäkringsbalken) (SFS 2010:110) and collective agreements regulate reimbursement.

Source: Försäkringskassan, 2024.

Sick leave

When an employee is on sick leave for 14 days or fewer, the employee has the right to obtain sick pay for 80% of their salary, except for on the first day, which is unpaid (karensdag). When the employee is sick for more than 14 days (or if they are unemployed), sick pay is provided by the Swedish Social Insurance Agency (in the form of a sickness benefit (sjukpenning)). The employer may terminate the employment relationship as long as the termination does not contravene the Employment Protection Act.

Retirement age

Sweden has a flexible retirement system. The retirement age is between 63 (the earliest age from when one can begin to collect their public pension) and 69 years (the age when one is no longer automatically protected from dismissal). However, workers have traditionally left the workforce at 65, which is the age at which people receive additional pension benefits, such as housing supplements. There are no gender differences in the retirement age. Everyone has the right to work until they are 69, and there is no upper limit at which an individual must stop working.

In January 2020, the retirement age span was increased from 61–67 to 62–68. In 2023, the age for receiving additional benefits was increased to 66, making it more likely to be the most common age at which people will retire. And while not yet decided on by the parliament, it is likely that the retirement age will increase again in the coming years. In 2026, a new source of flexibility will be introduced in the retirement system, where those of different ages will have different retirement ages. For instance, someone born in 1990 will receive their earliest retirement entitlements at the age of 66 years and a pension with all benefits at 69 years, while a person born in 2000 will receive their earliest retirement benefits at 67 and full benefits at 70 (Pensionsmyndigheten, 2023).

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The tripartite EU agency providing knowledge to assist in the development of better social, employment and work-related policies