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PM: mandatory jobs insurance unlikely

PM: mandatory jobs insurance unlikely

Published: 17 Aug 2010 16:05 GMT+02:00
Updated: 17 Aug 2010 16:05 GMT+02:00

Sweden's prime minister Fredrik Reinfeldt has said that the election 2006 promise to make unemployment insurance (arbetslöshetsförsäking - A-kassa) obligatory is unlikely to be realized during the next mandate period.

Reinfeldt said in an interview with Sveriges Radio's Ekot news programme that even if the centre-right Alliance coalition would hold on to power after the September 19th election it was unlikely that the system would be introduced.

"We have no reason to move forward with a compulsory insurance scheme which forces high fees on those who have no wish for it," he said.

Reinfeldt also pointed out that the Moderate Party is less forthright in pushing the idea than its coalition partners and mirrored comments by finance minister Anders Borg when the results of an inquiry were presented a couple of years ago.

Borg has previously described the idea as a penalty tax on labour.

Reinfeldt meanwhile uttered a straight no when asked if he wants to remove the so-called temporary austerity tax (värnskatt) - an additional 5 percent levy on earned incomes above 532,700 kronor ($72,600).

He also ruled out an expansion of the childcare allowance which affords stay-at-home parents a payout of up to 3,000 kronor per month.

TT/The Local (news@thelocal.se)

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Your comments about this article

17:23 August 17, 2010 by Z-man
Reinfeldt and Bord are talking out of both sides of the mouth. I'm all for creating better incentives to work in Sweden, but I find it hypocritical that they speak against a penalty tax on labor, when they introduced rules forcing those who work to pay higher union fees.

That sly move of theirs, while looking so justifiable and "correct," seriously weakened several unions by causing a dwindling of membership. With the support of unions out of the way, they took the opportunity to introduce further "reforms" which look good at first glance, make the problems go away on paper in the short term, but solve nothing in the long run.

I'm not for bulky unions and fat rich union bosses with golden parachutes, but I do like to see honest hardworking people better able to stand up for their rights should a government decide to trample all over them. They should be represented and able to put things on the table that need to be addressed--an ability which was seriously weakened by the Moderates cleverly removing their power.
21:01 August 17, 2010 by Jan M
A pattern is emerging. Rational criticism of the Moderates is followed by ads for cheap designer clothing. Now either that's an ironic dig at a party that likes to flog national assets on the cheap and thinks only in the short term or it's a post intended to get the whole story pulled off the main page to avoid further damage to the Moderates' precious reputation. If so please leave the story up. These people need to be legitimately challenged on their policies without interference. Just pull the clothing post instead.
23:40 August 17, 2010 by NickM
Well said Z man. The main "penalty tax on labour" that Moderatana (and the social democrats to a slightly lesser degree) are imposing, is the wholesale privatization of sweden.

Lets see who can stand up for Swedish workers when all the utilities are provatised and the unions dead because no one can afford the membership premiums. It certainly won't be Reinfeldt.
10:10 August 18, 2010 by Great Scott
Has Reinfeldt fulfilled any of the promises that he made in 2006?
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