Sweden
A Worker may be employed under a fixed-term contract only where permitted by, and in accordance with, the applicable collective agreement. The permissible duration, conditions, and termination requirements will depend on the fixed-term employment arrangement used.
Workers recognize 13 paid public holidays. Public holidays are treated as a paid day off. If the holiday falls on a weekend, Workers do not receive an additional day off during the week.
Workers accrue 25 paid vacation days per year, which they may use after one year of service. Accrued but unused leave must be paid out at the time of termination. Vacation pay is equal to the Workers daily salary plus a vacation premium of .43% of their monthly salary. An additional 12% vacation pay is also due on variable pay such as bonuses. A Worker must be allowed to take at least 4 consecutive weeks of vacation during the main vacation period, which is generally between June and August, unless otherwise agreed.
Probationary periods are permitted but may not exceed 6 months. During the probationary period, a Worker can be terminated with 2 weeks’ notice.
Workers are not entitled to pay on the first day of injury or illness. For the following 14 days, employers must pay 80% of their salary. After that, the Swedish Social Insurance Agency provides sick benefits. In some cases, a portion of the sick pay issued to the Worker may be recovered.
A regular workweek is 40 hours per week. Workers are entitled to a statutory 30-minute break after 5 hours of work.
Overtime cannot exceed 50 hours per month or 200 hours per calendar year. Sweden does not have a statutory overtime pay rate under national law. Overtime rates and compensation rules are set entirely by individual employment contracts or Collective Agreements (CBA). Under the applicable CBA, any hours worked over 40 hours during Monday through Friday will be paid with 77.66% premium and other overtime hours (weekends, bank holidays, etc.) will be paid with a 131.94% premium on top of earned wages.
There are no mandatory bonuses in Sweden.
In general, a Worker can only be terminated with just cause. Terminations that do not meet the standards of the Swedish Employment Protection Act may be considered invalid. Valid reasons include but are not limited to criminal activity, neglect of work duties, disloyalty, or regular absenteeism. Notice period will be as follows: • Less than 2 years – 1 months’ notice • 2 to 4 years – 2 months’ notice • 4 to 6 years – 3 months’ notice • 6 to 8 years – 4 months’ notice • 8 to 10 years - 5 months’ notice • 10+ years - 6 months’ notice
A Worker who resigns is generally required to provide at least one month's notice.
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