Unveiling Sweden's Work Permit Agenda: The 80s Finance Minister's Involvement Revealed
The history of employee funds (löntagarfonder) in Sweden dates back to the 1970s and 1980s, marking a significant political effort by the Social Democrats and trade unions (LO) to increase workers' ownership and influence in firms. This initiative, aimed at promoting industrial democracy, was primarily intended to gradually transfer ownership stakes from private owners to collective employee ownership, funded by company profits [1].
However, the employee funds system was highly controversial and met with strong opposition from employers and political opponents. The long-term impact of the proposal was that it contributed to political radicalization in the social debate of the time and signaled a shift in the traditional balance of power in Sweden — ultimately seen as a defeat for the LO leadership. When the right-leaning parties returned to power in 1991, they dismantled the employee funds system and repurposed the accumulated capital, ending the experiment with employee funds [1].
It's worth noting that there is no indication that employee funds influenced or are linked to Sweden's work permit salary threshold policies [1]. The rules for salary thresholds for work permits in Sweden today are typically defined by the Swedish Migration Agency and are unrelated to the employee funds history.
In recent news, Swedish summers have been in the spotlight, with our readers agreeing that summer in Sweden is special. With days that stretch past 10pm, natural, uncrowded beaches and lakes, berries, and locals who are suddenly carefree and smiling, it's no wonder why [2].
Meanwhile, the European Commission has set the start date for the long-delayed biometric passport checks known as the Entry & Exit System. Additionally, the Migration Agency published a list of 152 job titles which could be exempted from a higher work permit salary threshold [3]. However, the higher salary threshold plus exemptions were supposed to have come into force earlier this summer, but haven't yet made their way into a draft bill.
As for other developments, the government has shown few signs of moving forward with the plans to raise the work permit salary threshold to 100 percent of the median. Differing interest rates between Sweden's banks mean that mortgage holders could save thousands of kronor by switching banks or negotiating a new rate [4].
In other interesting news, a new forecast suggests that Sweden's security checks will slow down the processing of citizenship applications further than previously estimated [5]. And if you're wondering who is responsible if your home floods and what can you do to prevent damage, we've got you covered [6].
Lastly, we'd like to announce that Emma is writing her last Inside Sweden before going on maternity leave until spring. She will be replaced by Deputy Editor Becky Waterton and Nordic Editor Richard Orange. Inside Sweden, the weekly newsletter for members, provides news, analysis, and sometimes takes readers behind the scenes at The Local, published each Saturday [7].
[1] https://www.aftonbladet.se/nyheter/a/sjB9Xn/lontagarfonder-en-kort-historia-om-de-svenska-pensionerna-som-inte-blev-pensionerade [2] https://www.thelocal.se/20210625/sweden-summer-is-special-heres-why [3] https://www.thelocal.se/20210623/sweden-to-exempt-152-job-titles-from-higher-work-permit-salary-threshold [4] https://www.thelocal.se/20210621/sweden-mortgage-holders-could-save-thousands-by-switching-banks [5] https://www.thelocal.se/20210623/sweden-security-checks-to-slow-down-citizenship-applications [6] https://www.thelocal.se/20210621/sweden-who-is-responsible-if-your-home-floods-and-what-can-you-do-to-prevent-damage [7] https://www.thelocal.se/insidesweden/
Investigating the intersection of finance, business, and politics, one may uncover significant debates over employee funds in Sweden. Although the Social Democrats and trade unions (LO) originally introduced employee funds in the 1970s and 1980s to enhance worker ownership and influence, the system faced criticism and was ultimately dismantled by right-leaning parties in 1991.
In today's news, the discussion regarding general-news topics such as the slowdown of citizenship applications, work permit salary thresholds, and security checks continues to evolve, demonstrating the ongoing impact of political decisions on various sectors of the economy.
