One of the most competitive economies in Europe
Sweden is high on the list of the most favourable places to do business. With a very respectable ranking on the ease of doing business list, and a reputation for an innovative and competitive economy, it’s no wonder many choose to do business in the country.
IKEA, Volvo and Spotify are just a few global businesses who originated from the country. Its open economy fosters innovation and competition, and the country offers a favourable business infrastructure that helps make the formation and operation of businesses easier.
Sweden is a prime market for testing new products and services. Its smaller size in comparison to others in Europe make it ideal for testing demand before deciding to spend the time and money taking these to larger markets.
A Sweden PEO enables businesses wanting to enter the Swedish market, to do so quickly & compliantly.
Working in Sweden
Swedish work culture is based on freedom under responsibility and honest communication.
Working hours
Normal working hours in Sweden are 40 hours a week Monday to Friday with an upper limit of 48 hours. Only around 1% of employees work more than 50 hours a week, one of the lowest rates in the OECD.
Minimum wage
As is the case with other Nordic countries, Sweden does not have a minimum wage. Instead, minimum wage rates are determined under collective agreements and vary depending on the sector.
Holiday and Sickness Leave
Employees in Sweden are entitled to 25 days of paid holiday per year, providing ample time for rest and relaxation. In addition to these paid holidays, Swedish law mandates that employees are allowed six half-days of leave for personal needs, ensuring a healthy work-life balance.
One unique aspect of vacation pay in Sweden is that it is calculated as an additional supplement of 0.43% of an employee's monthly pay per day when they take vacation. This means that employees are compensated for their time off based on their regular salary, allowing them to fully enjoy their well-deserved break without worrying about lost income.
If an employee is ill, the employer pays 80% of their salary during the first fourteen days. If you are sick for longer, you can obtain sickness cash benefit from Försäkringskassan (the Swedish Social Insurance Agency).
Parental Leave
Both parents together receive 480 days' parental benefit per child. In the case of multiple births, an additional 180 days are granted for each additional child. When it comes to sick leave in Sweden, the compensation is structured in two different ways. For the first 390 days, commonly known as "sickness benefit level days", the compensation is based on your income. However, for the remaining 90 days, known as "minimum level days", the compensation is set at a fixed rate of SEK 180 per day (2023).
Public Holidays
- New Year’s Day (Nyårsdagen) 1 January
- Epiphany (Trettondag jul)
- Good Friday (Långfredagen)
- Easter Sunday (Påskdagen)
- Easter Monday (Annandag påsk)
- Ascension Day (Kristi himmelfärdsdag)
- International Labour Day (Första Maj)
- Pentecost Sunday (pingstdagen)
- National Day (Sveriges nationaldag)
- Midsummer Eve (Midsommarafton)
- Midsummer Day (Midsommardagen)
- All Saints' Day (Alla helgons dag)
- Christmas Eve (Julafton)
- Christmas Day (Juldagen)
- Second Day of Christmas (Annandag jul)
- New Year's Eve (nyårsafton)
Cultural Information
Some of the key characteristics of Swedish culture are social equality, inclusiveness, and a strong work ethic. The Scandinavian country is also known for its high levels of trust and respect for individual privacy.
Sweden has only one official language: Swedish (Svenska). There are also five minority languages including Finnish, Meänkieli, Romani, Yiddish, and Saami. Sweden also consistently ranks as one of the best countries in the world for English proficiency as they learn English at a very young age and use it extensively in their daily lives.
Christianity has a longstanding presence in Sweden, but in recent years, the religious landscape has become increasingly diverse. Over 80% of Swedes belong to the Lutheran Church of Sweden, although many don't practice their religion. The remaining 20% is shared by Catholics, Orthodox Christian, Jews, Muslims, and Buddhists.
The Swedish Market - Did you know?
- Sweden is so good at recycling, that the country imports rubbish from other countries to keep its recycling plants running
- ABBA was the first act from Sweden to win the Eurovision Song Contest and became one of the best-selling music acts of all time
- The country ranks 10th out of 190 for ease of doing business
- In the the IMD World Competitiveness Ranking 2022 – which ranks 63 economies – Sweden came fourth, after Denmark, Switzerland and Singapore
- The country is second only to Silicon Valley for having more billion-dollar firms headquartered in the region per capita
Sweden PEO services
One of the most competitive economies in Europe
Sweden is high on the list of the most favourable places to do business. With a very respectable ranking on the ease of doing business list, and a reputation for an innovative and competitive economy, it’s no wonder many choose to do business in the country. IKEA, Volvo and Spotify are just a few global businesses who originated from the country.
Its open economy fosters innovation and competition, and the country offers a favourable business infrastructure that helps make the formation and operation of businesses easier. Alongside, this the country financially nurtures its start-ups.
Sweden is a prime market for testing new products and services. Its smaller size in comparison to others in Europe make it ideal for testing demand before deciding to spend the time and money taking these to larger markets.
Procorre Global’s PEO and Employer of Record (EOR) service enables businesses wanting to enter the Swedish market, to do so quickly and compliantly. When working with PEO or EOR, setting up in country can be done in a matter of days, hassle free and transparently.
Alongside global expansion services, businesses working with Procorre Global gain access to Procorre Group’s wider services which include expert recruitment and consultancy.
The Swedish Market - Did you know?
- The population has the greatest percentage, after the US and Canada, to have continued to higher studies after secondary school
- The country ranks 10th out of 190 for ease of doing business
- Sweden is the sixth most competitive economy in Europe
- It ranks as one of the highest-performing economies worldwide
- Sweden has a high quality of livings
- The country is second only to Silicon Valley for having more billion-dollar firms headquartered in the region per capita
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