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Economy

Swedish Industry Wants Salary Freeze

Published tisdag 26 maj 2009 kl 12.06
Lights out?

The Swedish Confederation of Enterprise and leaders of the Swedish business community are appealing for a ban on wage increases and more flexible working hours - to help combat rising unemployment in this Nordic nations.

Writing in a joint debate article in Sweden's leading newspaper, Dagens Nyheter, the appeal says that the labor unions should decrease their demands in order to save jobs for their members.

The article calls for the unions to accept employees cutting back on their working time during sluggish periods to help troubled companies survive in the present economic crisis - pointing out that Sweden has the European Union's 2nd highest percentage of youngsters shut out of the labor market - right after Spain.

Economic forecasts predict a painful 11 or 12 % unemployed here next year.

Some labor unions here in Sweden have accepted cutbacks in working hours and in salaries in order to avoid layoffs while others refuse –insisting that workers should not have to pay for company losses when the shareholders are still getting their dividends and top bosses award themselves fat bonuses.

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