What you need to know for employing in Sweden

Employee contributions include Pension Insurance.

Ordinary working hours cannot exceed 40 hours per week, and overtime cannot exceed 50 hours per calendar month. Employees can opt out of these statutory provisions through a collective agreement but not through individual agreements.

During the first 14 days of the sick leave, employers must pay sick pay amounting to 80% of the salary and other benefits, minus a qualifying deduction (Sw. karensavdrag) equivalent to 20% of the employee’s sick pay during an average work week.

Maternity leave: 7 weeks leave before birth and 7 weeks after birth. It is mandatory to take at least 2 weeks of maternity leave before and/or after the birth. Parental leave: Parents jointly get 480 days leave to use from when the child is 0-12 years of age. The compensation during parental leave is typically based on the employee’s income salary. Paternity leave: 10 working days.

Min. 25 working days (excl. PH). after completing 1 year of employment. Vacation is typically earned in one year and used the following year but it is common for employees to receive paid vacation in advance. Holiday pay is either paid as a daily vacation premium of 0.43% of the monthly salary in addition to regular wages, or at 12% of the earnings during the year.

Severance pay is not required.

Without Cause: Forbidden. Very hard to terminate for poor performance. 

For Cause: With notice or immediately for gross misconduct. Notice periods are determined by employment contracts, collective agreements, or by the Employment Protection Act.