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Sweden

How to Hire Workers in Sweden | Employer of Record (EOR) in Sweden

Entering the Swedish market? Our EOR services make it easy to establish your business in Sweden. We handle all aspects of local employment, including payroll, benefits, and compliance with Swedish labor laws. With our expertise in the Swedish market, you can confidently expand your business, knowing that you have a trusted partner managing your international employment requirements.

Why You're Here!

Sweden, known for its high standard of living, innovative spirit, and strong economy, is an attractive destination for businesses looking to expand internationally. TCWGlobal serves as your trusted partner in navigating the complexities of hiring in Sweden, offering comprehensive solutions for building your contingent workforce.

With a population of over 10 million people, Sweden boasts a highly skilled and educated workforce. From the historic streets of Gamla Stan in Stockholm to the beautiful landscapes of Gothenburg, the country offers a unique blend of culture and innovation.

When expanding your business into Sweden, compliance with local regulations is crucial. TCWGlobal, as your employer of record, ensures that your contingent workforce is fully compliant, minimizing risks for your organization.

In addition to compliance, TCWGlobal provides personalized services tailored to your specific needs. Whether you require assistance with payrolling management, benefits administration, or any other aspect of HR, our team is dedicated to supporting you.

Partnering with TCWGlobal guarantees a seamless and successful expansion into Sweden. Our expertise and local knowledge make us the ideal partner for businesses looking to establish a contingent workforce in this dynamic market.
Fixed-Term Contracts

Fixed-term contracts are permitted in Sweden but may not exceed 12 months. If a fixed-term contract is extended 3 times in a row, then it is generally considered to be converted into a permanent contract. A fixed-term contract may be used for specific projects, seasonal work, temporary positions, or for Workers over the age of 67.

Holidays

 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.

Vacation

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

Probationary periods are permitted, but may not exceed 6 months. During the probationary period a worker can be terminated with two weeks' notice.

Sick Leave

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. 

Working Hours

A regular workweek is 40 hours per week. Workers are entitled to a statutory 30 minute break after 5 hours of work.

Overtime

 Overtime cannot exceed 50 hours per month or 200 hours per calendar year. The premium rate for overtime work is 150% of the Worker’s hourly rate for each hour worked over 40 in a work week. Hours worked after 8:00 pm or on weekends are to be compensated at a rate equal to the Worker’s monthly rate divided by 72 for each additional hour worked.

Mandatory Bonuses

There are no mandatory bonuses in Sweden.

Termination

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 3 years – 2 months’ notice • 4 to 5 years – 3 months’ notice • 6 to 7 years – 4 months’ notice • 8 to 9 years - 5 months’ notice • 10+ years - 6 months’ notice

Resignation

A Worker's resignation notice period depends on the length of service. Resignation notice will be as follows: • Less than 2 years – 1 months’ notice • 2 to 4 years – 2 months’ notice • 4+ years – 3 months’ notice

Mandatory Employer Costs

Mileage Allowance: Employees can claim 18.50 SEK for every 10km for us of their own vehicles for business mileage

How an EOR Can Help You Win Fast

TCWGlobal stands unmatched as the leading employer of record service provider. Our global reach, expertise in diverse industries, and commitment to client satisfaction makes us the best choice. Looking for a global employer of record or international payrolling partner that will work with you and not for you? Trust TCWGlobal. We are here for you.

Common Pitfalls in Choosing an EOR

When choosing an Employer of Record (EOR) service, people often make mistakes such as overlooking compliance, global reach, technology integration, company experience, and fee transparency. Watch this video to see what to consider when picking an EOR.