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WORKING IN SWEDEN

Make it easier for Swedish work permit holders to sue employers, new report argues

It should be easier for work permit holders to take dishonest employers to court, a new report by the Swedish Confederation for Professional Employees (TCO) argues.

Make it easier for Swedish work permit holders to sue employers, new report argues
Non-EU labour migrants' right to be in Sweden is closely tied to their contract, which leaves them vulnerable to dishonest employers. Photo: Isabell Höjman/TT

TCO, an umbrella organisation for trade unions representing white collar workers in Sweden, in its report outlines two proposals to improve job security for work permit holders and increase their chances of staying in the country.

The first proposal is that work permit holders whose employers don’t follow those labour or salary conditions that the work permit was based on should be able to sue them for compensation.

The second proposal argues that work permit holders who take their employer to court for not living up to the conditions promised in the work permit application should be able to stay in Sweden during the court process, even if their permit has expired.

“The risk for labour migrants of losing their work permit gives them a weak position vis-à-vis the employer, which reduces the incentives for labour migrants to report misconduct to the authorities or contact their trade union,” reads the report.

“Current regulations also lack sanctions aimed at employers who exploit the vulnerable position that labour migrants find themselves in, by for example not paying the salary or giving them the conditions promised in the work permit application.”

There have been several reports in recent years about dishonest employers not paying foreign employees the salary they’re owed or were offered in their work permit application – ranging from illegal practices to conditions that are not criminal, but do not equal good job security.

Work permit holders may be reluctant to stand up against these employers, because their right to remain in Sweden is so closely tied to their job, argues TCO’s report. But when it’s time to renew their work permit they may still be the ones to take the hit, and be told to leave the country after their permit extension is rejected because the conditions in their original application were not met.

TCO argues that making it possible for work permit holders to demand compensation from employers who don’t live up to what was promised in the permit application, would encourage victims of dishonest employers to speak up about unfair working conditions.

“In order for the protection of rights not to become a chimera, it has to be possible for a labour migrant to be able to stay in the country during an ongoing legal dispute,” the report reads.

A work permit holder who loses their job has three months to apply for a new job before their permit expires and they have to leave Sweden. Three months may in some cases be enough to settle a dispute, argues the report, but to allow for more drawn-out cases Sweden should either extend those three months or consider offering temporary residence permits to people in that situation.

“The details of a proposal to enable labour migrants to remain in the country to pursue a dispute with their employer should of course be subject to an inquiry,” the report adds.

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SPOTIFY

Taxes, schools and housing: Three reasons Spotify staff may reject Sweden

Spotify's HR boss has said lower taxes, better schools and available housing are needed to stop a 'skills exodus' from Sweden.

Taxes, schools and housing: Three reasons Spotify staff may reject Sweden

High taxes on share payouts, low-quality schools and Stockholm’s housing shortage are the main factors making it harder for Spotify to recruit foreign talent to Sweden, the streaming giant’s HR boss, Katarina Berg, told Swedish news agency TT in an interview.

She called it a “skills exodus” which pushes not only foreign workers, but even Swedes to move abroad.

Stockholm remains the company’s HQ, but today it employs more people in New York, where there’s a greater pool of skilled engineers, Berg said. Engineers make up around 50 percent of Spotify staff, and Sweden’s homegrown talent isn’t enough to fill those positions.

Almost half of Spotify’s Sweden-based staff are foreigners from 76 countries around the world, with the top nationalities being Brazil, the UK, the US, India, France, Russia, Iran, Italy, Spain and Germany.

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One of the perks that Spotify uses to attract people to the company is a share-based rewards programme that employees can take part in. But Berg said that Sweden’s high taxes on stock incentive plans cancel out a lot of the benefits that such a scheme offers.

“Depending on where in the world you work, you could get taxed 17 percent, 33 percent – or 56 percent, like in Sweden. Of course that could determine where an employee wants to work. You don’t choose Sweden then,” she said.

The housing shortage and lack of elite schools, in particular senior high schools, are also key factors, Berg argued.

“We get a lot of families who come here. They settle down. They want to stay here. They like the Swedish philosophy, with quite a lot of parental leave, another type of holidays and balance in life. But then when their children get so big that they need their grades to apply to a university somewhere, perhaps a US college, our Swedish schools are not up to scratch,” she said.

What are the positives and negatives about working in Sweden? Let us know in the comments.

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