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ARTICLE · 28 SEPTEMBER 2022

Protecting Employment In Sweden: What Is Changing?

In a far-reaching reform, the Employment Protection Act, a cornerstone of Swedish Employment Law that governs termination of employment and other protection for employees, is changing.

SwedenEmployment and HR

In a far-reaching reform, the Employment Protection Act, a cornerstone of Swedish Employment Law that governs termination of employment and other protection for employees, is changing. What do employers need to know and do, and what happens next?

Termination reasons

Before the reform, an employer had to have 'objective grounds' for terminating employment. These fell into two categories:

  • personal reasons, such as misconduct or performance issues;
  • changes to the business, such as redundancies, downsizing or lack of work.

Following the reform, 'objective grounds' are now replaced with 'objective reasons'. This only affects the 'personal reasons' category. The distinction shifts the employer's responsibility away from trying to assess the scope for improvement (or otherwise) in an employee's conduct or performance in future, toward an assessment of how serious the breach of the employment agreement is. One attempt at relocation (to a new role or location)

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