Every fourth Swedish company has listed staff cutbacks as a top priority as they struggle to remain profitable in 2013, according to report released on Friday.
Published: 18 Jan 2013 10:25 CET
A gloomy outlook for Europe and Sweden was the main reason behind almost 25 percent of companies stating that job cuts were high on the list of cost saving measures this year.
This is an increase of more than 30 percentage points compared to a similar survey from last year.
The report was produced by The Royal Swedish Academy of Engineering Sciences, (Kungliga Ingenjörsvetenskapsakademien - IVA) and the Axholmen consultancy and published in the Dagens Nyheter newspaper (DN).
According to the report, 60 percent of companies believe the economy will be worse in 2013 than last year.
The findings were based on a series of interviews with 131 CEOs from as many Swedish companies, the majority being in the energy, manufacturing and raw material industries, as well as within the trade and transport sectors.
Seventy percent of the companies plan to "streamline" remaining staff, by giving remaining employeesmore responsibility in order to tackle the excess work left over in the case of redundancies.
"This means that the companies have to start making priorities in their business," explained Jakob Holm, the CEO of Axholmen, to DN.
"A risk that could follow is that the employees will be hit by fatigue. This is something the companies have to take into consideration."
As part of our ongoing series of Swedish career profiles, The Local catches up with American Billy McCormac to find out how he went from refurbishing antique furniture to heading one of Sweden's most influential real estate lobbying organizations.
Foreigners who arrive in Sweden with a university degree can find it tough to find a job that matches their education from back home. The Local talks with Josefin Edström, an expert in employment issues for foreign degree holders, to learn the top tips for a smooth transition.
After a bumpy ride on Sweden's unemployment roller coaster that ended with a position at Swedish telecom giant Ericsson, Jessica Nkusi, an HR consultant from Rwanda, has learned a thing or two about finding a job in Sweden.
Unable to find good Mexican food after moving to Stockholm to study in 2008, Monterrey native David Licona now finds himself running La Neta, one of the most popular Mexican eateries in the Swedish capital. The Local finds out more.
Since 2008, migrants to Sweden can swap course from seeking asylum to seeking a work visa with the help of an employer. The Local speaks to one migrant who praises the system, while saying it could be improved.
Swedish companies need to keep the power to hire foreign workers, argues Karin Ekenger of the Confederation of Swedish Enterprise, who fears letting government agencies and unions determine who can work in Sweden will hurt firms' ability to compete globally.
As white-collar union Saco slammed Sweden for not helping well-educated foreigners into the labour market, The Local spoke to researcher Josefin Edström about the disconnect between foreign professionals and Swedish employers.
The white-collar union Saco has lambasted Sweden's Employment Agency for its failure to help well-educated, foreign-born job seekers, whose unemployment rate is more than three times the average for people born in Sweden.