In November 2017, LO requested negotiations with the employers’ organisation Confederation of Swedish Enterprise, with a view to increasing employment security and enhancing career transition possibilities. The reason was the emergence of an increasingly divided labour market where a growing number of workers are not covered by an acceptable level of employment security and adequate career development possibilities.
In March 2019, the PTK (the Council for negotiation and cooperation, an organisation of private sector professionals) requested negotiations with the Confederation of Swedish Enterprise on employment security and career transition.
On December 19, LO, PTK and the Confederation of Swedish Enterprise agreed on a declaration of intent regarding the negotiations. The declaration of intent lays down the parties’ agreement on the large number of matters to be covered by the negotiations, including the rules on employment protection, career transition schemes and unemployment insurance.
During September and October 2020, negotiations on security and transition were pursued between these parties. For LO, the objective was, and still is, to improve the employment security for its members and enhance possibilities to career transition.
The LO General Council however, on October 20, unanimously rejected the outcome of the negotiations. The reason was that, seen as a whole, the result fails to meet the requirement of better conditions for LO members.
Another important reason was that LO has been forced to carry on the negotiations under the threat of potential legislation, which has been proposed by a commission of inquiry on the reform of the Employment Protection Act. The proposals contained in the commission’s report signify drastic deteriorations in employment security and a considerable shift in labour market balance to the advantage of employers.
If the social partners are to have a reasonable chance of achieving security and career transition in the Swedish labour market through negotiations, the conditions for reaching an agreement must be favourable and balanced.
In Sweden the problem is not that LO members have too much security at work. On the contrary, the problem is that insecurity has increased. Hourly employment, fixed-term employment and other precarious employment conditions have spread in the Swedish labour market.
LO wants to contribute to the developing, not dismantling, of the Swedish model, with strong employment protection, good career transition opportunities and job security. We are always willing to negotiate with employers on this subject.
LO will jointly use all available means to achieve our goals to create better conditions for LO members. All workers in the Swedish labour market must be entitled to appropriate career transition opportunities and decent working conditions.