15 Jan. – unemployment getting higher

the wrong numbers are going up
pic: svt.se

Fewer jobs, more people looking for jobs, and more people losing their jobs, DN writes, summing up the reasons why the unemployment rate in Sweden is rising again. The unemployment rate is now at 7.2%, higher than it’s been in two years, and it’s across the board – young people, Swedish-born, foreign-born, women and men.

On the other hand, however, the Swedish Public Employment Office (Arbetsförmedling) writes, there are still a lot of jobs out there – if you’re willing to “broaden your profession” and/or move. Annika Sundén, chief analyst at the Employment Office, writes that the job market has been very strong the last few years, and is now coming down from a high. Suzanne Spector, senior analyst at Nordea, SvD writes, is in agreement, saying that jobs are still being found – just there are more looking for them, and it takes more time.

The Swedish Trade Union Organization, however (Landsorganisation, LO), is criticising the government for acting too slowly, for one thing. It also criticises the Moderate and Christian Democratic parties for the budget they pushed through after the 2018 election, plus the government for the January Agreement and going along with the demands from the Center and Liberal parties to reform the Employment Office (reforms that were later cancelled under threat, see this post, this post and this post).

Another critique that LO directs towards the government is for cancelling the “extra service” jobs (extratjänster) that were doled out by the Employment Office. Extratjänster jobs were jobs in social services like health care and elder care which were heavily subsidized by the government. They were created to help people who are otherwise “a long way from the job market” (långtidsarbetslösa) to get into, or back into, the job market. The program was severely panned since permanent jobs were seldom offered to the persons after their subsidized employment was over. The jobs did raise the employment numbers, and kept some people in jobs, so the measure can (in some ways) be put down as a success, but many thought it was an expensive program that was merely obfuscating the real employment numbers.

Lars Jagrán, SvD reports, analyst at the Confederation of Swedish Enterprise (better known as Svenskt Näringsliv), remarked that the higher unemployment was expected, but was sorry nonetheless. “Those that haven’t gotten work during the good economy are going to have a harder time now, which will make integration even more difficult. ”

The Social Democrats don’t seem so worried about the numbers. Minister for Employment, Eva Nordmark, also said the higher numbers were expected and that counter measures have been put in place: 1.3 billion kronor has been earmarked for a jobs package, 900 million kronor is set to strengthen the Employment Office, and five million has been directed to the municipalities to help strengthen their economy.

“As the Minister for Employment, I feel proud that the government is meeting the situation that we see around us – we’re not at a loss, saying “goodness, oh dear” Nordmark said (oj, hoppsan). “We know what’s going on, our finances are good and we have been able to pull our efforts together now when we see a downturn on the way.”

It is precisely that Sweden’s economy is, and has been, so strong that the Left party is pushing to use that money – and to borrow more – to send out to the municipalities. The Moderate party has also just gone on record saying that more money has to be sent to the municipalities to prevent the reduction in services in the health, school, and elder care sectors: They may even in the near future join forces (as they did in regards to the Employment Office reform) to threaten the government into sending more funds to the local governments. The difference in their approaches is that the Left party wants the government to take the required monies out of savings, while the Moderate party would rather keep the savings and take it out of the foreign welfare budget.

Way back in 2014, the Social Democratic party went into the election with a promise that Sweden would have the lowest unemployment in Europe in 2020. Not going to happen. But it wasn’t a smart thing to promise in the first place.

5 Dec. – saving Unemployment and face

future uncertain
pic: Per Gudmundson, SvD

Remember back in November, when Jonas Sjöstedt threatened to bring a no confidence vote to the floor to protest the government’s plan to completely reform the Swedish Public Employment Service (better known as Arbetsförmedlingen)? If you forgot, there’s a post to read about it here. And if you didn’t, well, time is almost up. If nothing happens, the vote of no confidence on Eva Nordmark, Minister for Employment, will happen on Tuesday.

When Sjöstedt, leader of the Left party, first made this threat, he was not just protesting the disassembly and privatisation of the Employment Service, but also the provision of the January Agreement that said that under no circumstances was the Left party to have any influence over government policy. The provision was stipulated by the Center and Liberal parties specifically as a requirement for their support for the formation of the Löfven government.

It’s understandable that this was part of the Left party’s anger, as the government is absolutely dependent on the Left party to stay in power (otherwise they don’t have the votes to pass their budget). Still, it was likely the government thought that they were safe because the Left party would never vote with the Sweden Democrats, and the two right block parties, to topple them…

Until today, it turned out, when the Left party became willing to do just that. Apparently, the meetings held between the Social Democrats and the Left party have not been assuaging enough. The Left party is determined to change the course of the government in respect to the current privatisation of the Employment Service.

Despite the appearance of a wrench being thrown into the disassembly work, threats being tossed about, and very serious looks on all party leader’s faces, it’s likely most of them are glad for Sjöstedt’s moves. The Unemployment Services’ quick and dirty disassembly was causing a lot of worry and problems at the municipal level: When workers are getting unemployment help they do it through the Employment Service. Without an Employment Service office nearby, the sooner the unemployed would turn to the local municipality for help – and that would be expensive, as well as more than the municipalities thought they could handle.

With the way things were going, it looked like a disaster was shaping up. Despite having previously been very much in favor of dismantling the Employment Service, the Moderate party and the Christian Democrats are now saying that they have always thought the deconstruction was going too quickly, and that’s why they are backing Sjöstedt. They are also happy when their former Alliance parties, the Center and Liberal parties, don’t get what they said they were going to get by leaving the Alliance and throwing their support behind the Social Democrats: If they can make the Center and Liberal parties look bad, the Moderate and Christian Democrats won’t be fussy about how.

Even Löfven is secretly happy because he has definitely not been a fan of this process, but was forced into moving quickly by the Center and Liberal parties and the agreement they signed back in January. The Left, Moderate, and Christian Democratic parties are actually doing him a favour if he can get out of it.

What remains to be done is for Löfven to spend the next few days finding ways to pacify the Center and Liberal party leaders and help them find ways to save face when the Unemployment Service is now not going to be disassembled as rapidly as first imagined. The Center and Liberal parties know that if the no confidence vote goes through, the government will be significantly weakened and they could find themselves on their own. A way to avoid this is most likely going to be found.

Meanwhile, Minister Eva Nordmark must be feeling a bit like a punching bag. A no confidence vote is supposed to mark no confidence in the Minister. The Left, Moderate, and Christian Democratic parties, plus the Sweden Democrats, though, are not actually protesting her, or the way she is doing her job: They’re using a no confidence vote against her to not just protest a current political course of action, but to get back at the government and its supporting parties. It’s going to be hard to see any impressed faces on the voters anytime soon.

10 sep. – new appointments

pic: recruitinginmotion

Two new ministers, an ex-minister gets the EU’s migration portfolio and and an ex-party leader goes back into uniform. Where to start?

When Margot Wallström said buh-bye to the Foreign Minister job there weren’t really a lot of candidates to replace her. It had to be a woman, so that narrowed it right down too. Today, we got the formal word that the new Minister for Foreign Affairs will be Ann Linde, previously Minister for Foreign Trade, with responsibility for Nordic affairs.

This is not particularly surprising, and she’ll likely continue with a feminist foreign policy (but without the fanfare). However, her appointment is far from unquestioned: Linde showed incredibly poor judgement when she heard about the data leaks at the Swedish Transport Agency (Transportstyrelsen) – and didn’t do anything. Let’s hope she’s learned something, or Sweden’s security is in shaky hands. A minor, but likely painful, problem will be all the coming meetings with foreign representatives who will no doubt think, however briefly, of Anna Lindh, the well known and popular Foreign Minister who met a tragic end in 2003.

The new Minister for Employment, Eva Nordmark, will also have to fill large shoes. Nordmark comes from TCO, The Swedish Confederation of Professional Employees where she has been chair. TCO is an umbrella organization for 13 different white-collar unions and as far as anyone knows, is skeleton free. The Ministry for Employment is responsible for “the labour market, the work environment, gender equality, human rights at national level, children’s rights and the introduction of newly arrived immigrants,” so not so piddly.

Meanwhile, the previous Minister for Employment, Ylva Johansson, is in Brussels and looks to be getting the dubious honor, but important position, of heading up EU’s Home Affairs office. The EU commission is the executive branch of the EU, proposing legislation and implementing decisions (nod here to Wikipedia) – at Home Affairs, Johansson will be working on easy stuff like migration issues and security. EU commissioner von der Leyen described Johansson as “hands-on. If you want something to be done, ask her”(t.sr.se/SRJohansson).

There’s going to be a lot of asks, as there is a lot that people want done. Or not. Some people want their own migration policy and not EU deciding it for them. Getting 28 countries to agree on a migration policy is, well, as the Chinese have it “when the sun rises in the west.”

Finally, Major Jan Björklund is back on the job. This time, not as Liberal Party leader but as acting operations leader in Middle Military Region’s command staff (). Though he couldn’t introduce discipline in schools, it seems like he’s giving it another try in the trenches.