TRADE UNIONS IN THE DIGITAL AGE:

COUNTRY FICHE ON SWEDISH

MANUFACTURING SECTOR
Agreement Ref. n. VS/2019/0280

Jan Johansson
LULEÅ UNIVERSITY OF TECHNOLOGY - SWEDEN

January 2021
This country fiche has been realised within the framework of the BargainUp (Bargaining
Upfront in the Digital Age) project (VS/2019/0280), co-financed by the European
Commission. The project is led by the Italian metalworkers’ organization FIM-CISL, in
partnership with the trade unions ACV-CSC Metea, IF Metall and UGT-FICA,
respectively from Belgium, Sweden and Spain, the Workers’ Education and Training
College (WETCO) of the Bulgarian trade union confederation CITUB, the Italian
research centre ADAPT, the Luleå University of Technology (Sweden), the Technic
University of Cartagena (Spain), the Catholic University of Leuven (Belgium) and the
Office of Cooperation between the Ruhr University of Bochum and IG Metall (Germany).
This country fiche has been developed thanks to a desk research, five interviews with IF
Metall national trade unionists and a focus group with 18 worker representatives,
organised between September and November 2020

PARTNERS:

FIM-CISL (Italy) - Coordinator

ACV-CSC Metea (Belgium) - Partner
ADAPT (Italy) - Partner
Catholic University of Leuven (Belgium) - Partner
IF Metall (Sweden) - Partner
Luleå University of Technology (Sweden) - Partner
Technic University of Cartagena (Spain) - Partner
Ruhr University of Bochum (Germany) - Partner
UGT-FICA (Spain) - Partner
Workers’ Education and Training College (WETCO) (Bulgaria) - Partner
INDEX

1. Governmental policies for the digitalisation of the economy ...............................4

Main achievements get by the plans and the gaps to be overcome ............................6

2. General indicators for the manufacturing sector ..................................................8

Main priorities and issues at stake ...........................................................................11

3. Fundamentals of industrial relations in Sweden .................................................13

4. Approaches and practices of national trade unions for digitalisation in the

manufacturing sector .............................................................................................20
General perception and attitudes of national trade unions......................................20
Practices of national trade unions ...........................................................................23

References.......................................................................................................................27
1.
GOVERNMENTAL POLICIES
FOR THE DIGITALISATION
OF THE ECONOMY

Swedish government policy is generally • Industry 4.0. The goal of Industry 4.0
very positive towards all forms of is that companies in the Swedish
digitalisation, but there is an awareness industrial sector are to be leaders of
that problems can arise, mainly in the the digital transformation and in
form of redundancy of manual workers exploiting the potential of
and at the same time a shortage of skilled digitalisation. According to the
labour. strategy, actions in the following
Notably, there is one national strategy areas are required:
for the digitalisation of Swedish o Stimulating the development,
economy. spread and use of digital
technologies that have the greatest
Smart Industry strategy. In January potential to lead the industrial
2016 the Swedish Government (Social sector’s transformation.
Democrats and the Green Party) formed o Exploiting the potential of
a strategy to strengthen the development digitalisation broadly, irrespective
of Swedish industry, called Smart of industry, company size and
industry, with the purpose to strengthen geographical location.
the industrial sector’s competitiveness o Encouraging new business models
and reinforce Sweden’s position as an and organisational models in order
attractive location for industrial to tap the potential of the new
production (Government Office of technology.
Sweden 2016a). The idea is that to o Meeting new knowledge
remain competitive in a changing global requirements that are brought
market, the Swedish industry must be at about by digital development.
the forefront of the digital transformation o Adapting framework conditions
and adopt sustainable production and infrastructure to the digital era.
methods. The strategy was formed in • Sustainable production. The
close dialogue with the social partners. objective of Sustainable production is
The smart industry strategy focuses on that increased resource efficiency,
enhancing companies’ ability to manage environmental considerations and
the rapid transformation of Sweden’s more sustainable production will
industrial sector. Four focus areas have contribute to the industrial sector’s
been chosen: value creation, job creation and
competitiveness throughout the entire
COUNTRY FICHE SWEDEN
5

country. According to the strategy, o Ensuring that the education system

implementation needs to be directed provides students with not only the
at the following: right knowledge, but also with the
o Developing new or improving right capabilities and skills
existing technologies, goods and required in the knowledge society
services with consideration given and for the transition to a
to sharp reductions in emissions, digitalised and circular economy.
the phasing out of particularly o Improving the conditions for
harmful substances, higher energy lifelong learning.
and resource efficiency, greater o Promoting career changes and
reusability and recyclability and mobility between the higher
higher environmental education sector and the business
performance. sector.
o Exploiting the potential of new • Testbed Sweden. The objective of
digital and other technologies for Testbed Sweden is to lead research in
the transition to a fossil free and areas that contribute to strengthening
circular economy. industrial production in Sweden.
o Encouraging circular economy According to the strategy,
business models. implementation needs to be directed
o Ensuring that regulations and other at the following:
governance mechanisms o Targeting research and innovation
incentivise and facilitate resource investments at areas that have a
efficient and environmentally particularly great potential to
friendly production and a contribute to new industrialisation
sustainable supply of raw and long-term competitiveness.
materials. o Opening up the public sector in
• Industrial skills boost. The objective order to provide the industrial
of Industrial skills boost is that the sector with a testbed for solving
system for supplying skills at the societal challenges in close
local, regional and national level is to collaboration with other actors at
meet the industrial sector’s needs and the local and regional level.
promote its long-term development. o Increasing the use of innovation
According to the strategy, friendly procurement practices.
implementation needs to be directed o Promoting research collaboration
at the following: between academia and the
o Increasing interest in science and industrial sector, as well as
engineering and increasing the developing the institute sector.
attractiveness of industrially o Making Sweden a more attractive
relevant study programmes. place for researchers to work.
o Improving the matching between o Making Sweden a more attractive
the industrial sector’s labour place for companies to invest in
requirements and the education and carry out R&D activities.
system at all educational levels.
COUNTRY FICHE SWEDEN
6

The Smart Industry strategy is intended more than 30 Mbite/s. The goal with the
to lay the foundation for a concerted strategy from 2016 was that 95% of all
national effort. The Government will act households and companies should be
to facilitate structural transformation in connected to broadband in 2020 of at
the industrial sector. The tools will least 100 Mbitd/s and that 98% should
include laws and regulations, have access to broadband by 2025. In an
investments in enterprise, education and evaluation from 2019 by The Swedish
innovation, public procurement and Post and Telecom Authority (2019), the
opening up the public sector, providing forecast is made that 85-88% will be
testbeds and open data. connected in 2020 and 97-98% will have
access to broadband in 2025.
The Government’s strategy has been
concretised in two action plans Sweden comes in second place, after
(Government Office of Sweden, 2016b, Finland, in the Digital Economy and
2017) where 82 different activities are Society Index (DESI) which is a
presented. A description of the composite index that summarises
government’s overall efforts can be relevant indicators on Europe’s digital
found in En politik för tillväxt och performance and tracks the evolution of
utveckling i svensk industri (Government EU Member States in digital
Office of Sweden, 2018). competitiveness. For further
information, please check here.

Main achievements get by the An important part of the

plans and the gaps to be Government’s strategy was Digilift
that was formed together with the parties
overcome
in the labour market (including the
It is difficult to evaluate the effects of the Association of Swedish Engineering
Smart Industry strategy because it is a Industries, Teknikföretagen, and IF
strategy that includes both measures Metall). The assignment was completed
initiated by the strategy and measures between 2016 and 2020. The overall
that have been started earlier and have goals of the programme were to increase
been integrated with the strategy. In both the companies’ knowledge of the
cases, the strategy aims to give an extra potential of digitalisation to increase
boost to development. competitiveness, and to increase the
capacity of the participating companies
A key issue is the availability of to digitalise their operations. An
broadband in households and evaluation (Ramboll, 2020) shows that
companies. When a strategy for the Digilift has reached 929 companies,
broadband was introduced in 2016 which almost corresponds to the original
(Government Office of Sweden, 2016), goal of 1000 companies. The
77.8% of households and companies had participating companies are overall very
access to broadband of at least 10 satisfied with the support they have
Mbite/s, while only 6.1% had access to received through the program. The
COUNTRY FICHE SWEDEN
7

programme has contributed to increasing environments for digital technology and

the companies’ insights knowledge of new applications in business;
digitalisation in general and what it strengthened collaboration between
means for the business. The participation different strategic innovation areas as
is likely to have contributed to well as methods and concepts for how
companies implementing digitalisation this type of collaboration can best be
activities, that otherwise would not have promoted and further integrated into the
occurred or that activities have been agency’s work. The assignment was
moved forward, expanded or improved. carried out during the period March 2016
Nine out of ten companies state to have to March 2019. The project was
initiated work with a digitalisation evaluated (Vinnova 2019) and the
project as a result of their participation in clearest result consists of a project
Digilift. portfolio and the work done and the
results obtained so far in the projects. In
Another important part of the March 2019, Vinnova had financed 67
government’s strategy was to give the projects with the goal of developing
Sweden’s innovation agency, Vinnova, digital solutions applicable in Swedish
the task of implementing collaborative industry. The projects have worked with
projects to increase the conditions for various aspects of digitalisation such as
Swedish industry to strengthen its 5G technology, sensors, big data and
competitiveness with the help of digital additive manufacturing.
solutions; stronger research
2.
GENERAL INDICATORS
FOR THE MANUFACTURING SECTOR

Number and size of companies in number of companies, they account for

Sweden. According to the Swedish almost 40% of the turnover and value
Agency for Economic and Regional added in the business sector, as well as
Growth, there are today about 1,2 million just over a third of the number of
companies in Sweden. The majority of employees. The small companies (0–49
these, just over 96%, are small employees) account for about 40 percent
companies with fewer than 10 of sales and value added, and about 45%
employees. Small and medium-sized of employees in the business sector. The
companies (0–249 employees) together medium-sized companies (50–249
make up 99.9% of all companies. The employees) in turn account for about
large companies with 250 or more 20% of sales, value added and
employees thus constitute only a employees in the business sector.
thousandth of the total number of
companies. If we instead look at the Data on the manufacturing industry.
number of employees, turnover and If we narrow the perspective to the
value added, the picture changes. manufacturing industry, we get the
Although the large companies make up following picture (Figures from
only a very small proportion of the Teknikföretagen 2020):

Turnover 936.823 million SEK

Added value 280.129 million SEK

Export value 655.537 million SEK

As seen above, the Swedish To illustrate the development, we have

manufacturing industry is highly export- chosen to present a ten-year perspective.
dependent, with 70% of production Based on figures from Statistic Sweden,
being exported. The added value productivity development over the past
corresponds to approximately one 10 years has been relatively good, a trend
million SEK per employee. that is drastically broken by the Corona
pandemic in the spring of 2020.
COUNTRY FICHE SWEDEN
9

Figure 1. Productivity in the Swedish manufacturing industry. SEK per hour worked, in 2019 prices

Source: Ekonomifakta

During the same period, the table below can be understood as the fact that there is
shows that the total number of a positive climate to start new companies
companies has decreased while the while the established companies merge
smallest have increased in number. This into larger companies.

Figure 2. Number of companies in the Swedish manufacturing industry

Number of companies 2008 2018

1-9 employees 7.649 7.997

10-499 employees 3.658 3.126

More than 500 employees 73 55

In total 11.380 11.178

Source: Teknikföretagen, 2020

COUNTRY FICHE SWEDEN
10

If we instead look at the number of

employees, we get the following picture:

Figure 3. Number of employees in the Swedish manufacturing industry

Number of employees 2008 % 2018 %

Male 266.015 80 224.796 79

Female 68.310 20 58.175 21

In total 334.325 282.971

Source: Teknikföretagen, 2020

We can see that the number of unequal in terms of gender, despite

employees has decreased by more than trying to recruit more women. If we link
50,000 persons over the past 10 years. the change to the educational level, we
More women have been hired, but the can see an interesting pattern.
change is marginal. The industry is still

Figure 4: Level of education in the Swedish manufacturing industry

2008 2018

Level of education Male Female In total Male Female In total

Primary education 15 16 15 11 9 10

Secondary education 2 years 31 27 31 27 19 25

Secondary education 3 years 26 25 26 30 30 30

Post-secondary education 2 years 13 11 12 13 14 14

Post-secondary education 3 years or more 15 20 16 18 27 20

Information is missing 0 0 0 1 1 1

Source: Teknikföretagen 2020

COUNTRY FICHE SWEDEN
11

The table shows that the level of The distribution between white-collar
education has increased for both women and blue-collar employees has been
and men over the past 10 years, but it has relatively stable in recent years. A rough
increased significantly more for women assessment based on figures from
than for men. Whether this means that Statistics Sweden gives the following
women get more qualified jobs or if they picture.
are just over-qualified remains to be
shown.

Figure 5. Distribution between white-collar and blue-collar in the Swedish manufacturing industry

2014 2018

White-collar 44,6 % 44,2 %

Blue-collar 55,4 % 55,8 %

Source: calculations made by combining the Swedish Standard Industrial Classification (SNI), 2007, with
the Swedish Standard Classification of Occupations (SSYK), 2012

Main priorities and issues at expertise and investments in cyber

stake security. To achieve this,
Teknikföretagen works, among other
The Association of Swedish Engineering things, for:
Industries (Teknikföretagen) has • Increased public funding that ensures
outlined eight focus areas where they a rapid and market-based expansion
have concrete proposals for sustainable of broadband throughout Sweden.
growth and investments in Sweden. • Increased funding for research,
Three of these are interesting from a testing and applications in
digitalisation point of view: digitalization.
• A national cyber security centre.
Digitalisation. Teknikföretagen sees
digitalisation as an opportunity for Sustainability. Teknikföretagen means
increased productivity, new business that the Swedish manufacturing industry
opportunities and as an enabler for is knowledge-intensive and is
increased environmental and characterised by advanced and
sustainability work. For an optimal customized production. Production in
exchange of the possibilities of Sweden is also more environmentally
digitalisation, Sweden needs a sustainable and more digitalised than in
functioning digital infrastructure, many other countries. Many
increased access to cutting-edge
COUNTRY FICHE SWEDEN
12

manufacturing companies are also development of flexible courses

pioneering in meeting the UN’s climate aimed at professionals in industry.
goals, which promote change and
knowledge development throughout the If you look at Teknikföretagen’s
innovation chain, from universities and priorities that are related to digitalisation
colleges, to research institutes and and skills development, they do not
companies. Teknikföretagen works for: differ significantly from the
• Government funding for strategic government’s strategy Smart Industry. It
innovation programs that support may not be so surprising since the
companies’ ability to conduct government’s strategy has been
advanced manufacturing in Sweden. formulated in dialogue with both
• Investments in smaller companies in Teknikföretagen and IF Metall.
the industry to increase their ability to
develop competitive production. For further information, please check
• Strengthened competence and here.
innovation capacity within Industry
4.0, so that digitalisation and
sustainability are fully developed.

Skills development. According to

Teknikföretagen, Sweden’s competitive
advantage is its high-tech know-how.
Access to the right technical competence
is absolutely crucial for companies’
ability to grow and invest in Sweden.
Many of Teknikföretagen’s members
have difficulty in finding the skills they
need for their operations and for Sweden
to be able to be a world leader in new
technology areas. The rapid changes in
technology mean that more and more
people will need to further develop their
knowledge during their working lives.
The technology companies work, among
other things, for:
• Stimulates colleges and universities
to develop and implement educations
in collaboration with the labour
market.
• Colleges and universities receive an
assignment for lifelong learning and
further education of professionals.
Increased investments in the
3.
FUNDAMENTALS
OF INDUSTRIAL RELATIONS
IN SWEDEN

Industrial relations in the Swedish Associations (Saco) focusing on

manufacturing industry have their university graduates.
foundation in both national legislation
and collective agreements between trade The LO only organises blue-collar
unions and employers, where the laws workers; it is a Scandinavian peculiarity
and collective agreements are strongly to have separate, nationwide trade union
linked to each other. Swedish labour confederations for blue- and white-collar
market policy is based on the industrial workers. The central confederation for
relations being set by the social partners salaried employees in Sweden is the
in collective agreements. When this does TCO. A difference between the three
not work, the partners seek political trade union confederations is that while
support for a change in legislation. almost all the LO affiliates are industry
Traditionally, there is a very strong link unions, the Saco affiliates are based on
between trade unions and the Social occupations and the TCO unions cover
Democratic Party, which has resulted in about 50% based on industry and 50%
relatively labour-friendly legislation based on occupations. Both the TCO and
such as the right to holidays (5 weeks), the Saco organises employees in the
parental leave (480 days), shorter private as well as in the public sector.
working hours, labour representation in
company boards, a better working One complicating factor in the
environment, participation in decision- bargaining rounds is that even though the
making at the workplace, and increased three trade union confederations
employment security. organise workers in the private as well as
in the public sector, this is not the case
Social partners. Industrial relations with the employers’ associations. In the
system in Sweden consists of three major private sector, the same association
social partners (besides the state) namely normally negotiates with affiliates of all
the Swedish Trade Union Confederation three union confederations LO, TCO and
(LO), the Swedish Confederation of Saco. Governmental bodies are
Professional Employees (TCO) and the represented by the National Agency for
Confederation of Swedish Enterprise Government Employers
(Svenskt Näringsliv, SN). A third and (Arbetsgivarverket). The counties and
smaller trade union partner is the municipalities are represented by
Swedish Confederation of Professional Swedish Association of Local
COUNTRY FICHE SWEDEN
14

Authorities and Regions (Sveriges environment, and there are no works

Kommuner och regioner). councils in Sweden (Fulton 2013).

Trade union density. Trade unions in Three unions are outstanding when it
Sweden have traditionally been strong comes to the number of members. The
and the trade union density is among the largest one is Unionen (part of TCO)
highest in the world. This is often with 600,000 members. The second
explained by the insurance system with largest union is the Municipal Workers’
union-led unemployment schemes Union (Kommunal), affiliated to LO and
funded partly by (payroll) taxes and organising more than 514,000
partly by fees paid by the members of employees, of whom about 80% are
unemployment funds. Another related women. The occupational groups
variable of importance is the belonging to the union range over a great
combination of strong encompassing variety of jobs, such as health care and
central and local organisations. The nursing, cleaners, garbage collectors,
centralisation prevents fragmentary school janitors, real estate caretakers,
union coverage, promotes bargaining meter maids, kindergarten teachers,
power and facilitates solidarity wage firefighters and many other services. In
policies, while an extensive network of total, they make up one eighth of the
local union branches well integrated into Swedish labour force. The third largest
national unions brings the unions closer union, IF Metall, has about 317,000
to their members. The unions formally members, of whom 23% are women.
negotiate over remuneration and other They are active in sectors such as
issues with their employer counterparts mechanical engineering and plastics
also at firm level, in order to adapt the industries, building materials industry,
central agreements to the local mining, ironworks, textile and garment
industries, and automobile repair-shops.
COUNTRY FICHE SWEDEN
15

Figure 6. Rate if trade union organisation by class and gender, in 2016

Source: LO Fakta

Collective bargaining in Sweden. The increase for individuals. This

overall level of coverage of collective decentralisation and flexibility are more
agreements is high – estimated at 88%, common in the public than in the private
with 83% coverage in the private sector sector. This means that the pay for more
and 100% in the public sector (Kjellberg, than three-quarters of employees is set
2013). by a combination of industry and local
negotiations (Fulton, 2013).
The key level for collective bargaining in
Sweden is the industry level, but with As well as pay and working time, most
considerable room for local elements of life at work can be covered
complements. This is often done through by collective bargaining. Some, such as
a nationally agreed increase on the total topping up sick pay, compensation for
pay bill, with local negotiations on its accidents or pension levels that exceed
distribution. Agreements also often state provision, both for disability and in
include fall-back arrangements, which old age, are dealt with through industry
set the increases to be paid if no local level bargaining. But local level
agreement is reached, and frequently negotiations can cover a range of issues
there is also a guaranteed minimum like training or the introduction of new
COUNTRY FICHE SWEDEN
16

technology (Fulton 2013). Local development at work. A very important

negotiations are results of bargaining in element of this union-based approach is
the workplace. If the workplace has a that it leaves many of the practical details
local union club, the negotiations take to be worked out locally through
place between elected union negotiations between employers and
representatives and employer unions or union clubs. Unlike in some
representatives. If there is no local club, other European states, the legislation
representatives of the local branch does not contain a series of detailed
negotiate with the employer. provisions which must be complied with
The manufacturing industry in Sweden is (Fulton 2013).
dominated by two unions, IF Metall for
blue-collar workers and Unionen for The workplace representation is
white-collar, which negotiate collective provided through the trade unions,
agreements. operating under their own rules, and
there are no statutory regulations which
Employee representation at work. In lay down how trade union
Sweden it is trade unions who provide representatives should be chosen; it is for
employee representation at work. There the unions to decide. The 1974 Act on
is no separately elected structure along Trade Union Representatives does not
the lines of the works councils which set down a fixed period of time off for
exist in many other European states. A trade union activity at work. It simply
key reason why unions have this role is states that paid time off should be
the very high proportion of the working provided “as required” but should “not,
population in Sweden that are union however, be longer than what is
members (74% for white-collar and 64% reasonable considering the conditions at
for Blue-collar). The Swedish model is the workplace”. Local collective
built on trust between the parties and agreements often define what is regarded
union strength in the negotiations is not as “reasonable” and the position varies
a result of legal requirements. The widely, but an indicator may be one full-
legislation which gives unions these time union representative for every 500
wide-ranging powers at the workplace is members in the local union (Fulton
the Co-determination at Work Act 2013).
(1975) and the Development agreement
(1982). The Development agreement, The Board Representation (Private
signed by social partners only, provides Sector Employees) Act. The Board
instructions on how the Co- Representation Act empowers
determination Act (MBL) is to be employees to appoint board members in
applied in the workplace. The agreement companies bound by collective
expresses the direction that the parties bargaining agreements. The main
agree on when it comes to developing purpose is to give employees, through
companies’ efficiency, profitability and the employees’ organisation, a better
competitiveness and creating conditions view of and influence over the
for employment, security and management of the company. Employee
COUNTRY FICHE SWEDEN
17

representatives have the same standing a safety committee consisting of

and responsibilities as other board representatives of the employer and of
members, except when there may be a the employees. Safety committees
conflict of interest, such as issues shall also be appointed at worksites
regarding collective bargaining with smaller numbers of employees if
agreements and industrial action. the employees so require. Employees’
Employees of companies with at least 25 representatives shall be appointed
employees are entitled to appoint two from among the employees by the
members and two deputy members to the local trade union organisation having
board and in companies which more than a collective agreement with the
1.000 employees, three members and employer. The safety committee shall
three deputy members. If there is an participate in the planning of work
executive committee, employee environment measures at the worksite
representatives are entitled to participate and observe their implementation. It
in its work. This also applies to other shall maintain close observations of
planning bodies within the company, the development of questions relating
where such bodies deal with issues that to protection against ill-health and
are to be decided on later by the board of accidents and is to promote
directors. The Board Representation Act satisfactory work environment
plays an important role in the conditions.
relationship between club and company. • Workers safety representatives.
Many members hold these assignments The main task of the worker safety
for a long time and are not seldom also representative is to make sure that the
important people in the board’s internal employer operates a well-functioning
work. Many CEOs choose to anchor management system regarding work
initiatives early with union members. environment issues, especially issues
such as planning for major changes.
The Work Environment Act. The Safety representatives are typically
Swedish Work Environment Act 1977 appointed for three years by the local
(Arbetsmiljölagen) points out the labour union. If there is no union, then
responsibility for the employer and the employees can appoint
stipulates the basic demands on a good representatives directly. The
work environment. The act emphasises employer cannot appoint workers
preventive actions as well as cooperation safety representatives.
between employers and employees.
However, the cooperation does not The Co-Determination Act. The Co-
diminish or abolish the employer’s Determination Act concerns the
responsibility to carry out any measures relationship between the employer and
necessary for the safety and health of the the employees through their local
employees. employees’ organisation. The most
• Safety committees. At every significant areas of the Co-
worksite where fifty or more persons Determination Act are the collective
are regularly employed, there shall be bargaining agreement and the peace
COUNTRY FICHE SWEDEN
18

obligation, the right to negotiate, the with the relevant employees’

right to information, the right of organisation must be initiate before a
interpretation and right to veto. The right decision is made. The obligation to
of co-determination does not in principle negotiate does not cover the day-to-
go further than a right to information and day management and direction of how
consultation before the employer decides the work should be carried out. Issues
regarding significant changes. Some of that must be negotiated are, for
the provisions of the Co-Determination example, the introduction of a new
Act are semi-discretionary and may be organisation, downsizing, hiring of a
derogated from or supplemented by new manager, changing an
collective bargaining agreements, so individual’s area of work and similar
called co-determination agreements. In significant changes. If the employer
summary, the law contains the decides without negotiating, they may
following: be liable to pay punitive damages.
• Right of Association. Both the Such damages are decided by the
employee and the employer have the Labour Court.
right to join associations and to • Right to Information. The employer
engage in their activities. It is a right is obliged to regularly inform his local
that has been regulated by statute for negotiation partners about the
many years and forms the major legal development of their business in
basis for joint action by the financial and operational terms as
employees’ and employers’ well as about personnel policy
organisations. There is no need for a guidelines. In principle, the Co-
certain proportion of the employees to Determination Act states that there
be associated in order to create a local should be an open attitude at the
branch of an employees’ organisation, company giving the employees access
in Sweden the threshold to create an to information about the general
employees’ organisation is low. progress of the company.
• Right and Obligation to Negotiate. • Collective Bargaining Agreements.
Employees’ organisations have a Collective bargaining agreements
right to negotiate with the employer in must be in writing and are concluded
areas regarding the relationship by an employer or an employers’
between the employer and members organisation and an employees’
of the organisation. Employers have a organisation. ln general, industrial
corresponding right to negotiate with action is not permitted when there is a
employee organisations. An valid collective bargaining
individual employee does not have a agreement. According to the Co-
legal right to negotiate according to Determination Act, a party planning
the Act. Before an employer takes any to take industrial action must first
decision regarding significant give notice to the opposing party and
changes in their activities or in the to the National Mediation Office. A
working or employment conditions of special mediator may then be
individual employees, negotiations appointed to settle the dispute. This
COUNTRY FICHE SWEDEN
19

can be done even without the consent employment conditions. Employees’

of the disputing parties. Industrial organisations have a right of veto if
action can be postponed by the the employees’ organisation declares
National Mediation Office for a that the action that the employer
period of up to two weeks. Any intends to take may be deemed to
dispute over a collective bargaining violate legislative provisions or the
agreement that is already in effect collective bargaining agreement or
must be solved through negotiation otherwise be in conflict with the
and can, as a last resort, be tried by the established practices in the industry.
Labour Court. • Right for the union to use
• Right of Veto Over Engagement of consultants. There is a right to
Subcontractors. An employer employ employee consultants at the
planning to engage a subcontractor company’s expense when closures or
must first initiate negotiations with major changes occur. The clubs bring
the relevant employees’ organisation. in their own consultant who goes
The reason for negotiations in such through the company’s decision-
cases is to give the employees’ making basis. Almost always, it
organisation an opportunity to works very well and the company
examine, for example, whether the takes on ideas from this second
subcontractor applies illegal opinion.
4.
APPROACHES AND PRACTICES
OF NATIONAL TRADE UNIONS
FOR DIGITALISATION
IN THE MANUFACTURING SECTOR

This section is based on two types of new technology, the industry loses its
sources, one focus group interview with competitiveness and employees lose
18 officials from IF Metall and five their jobs. Of course, there are concerns
individual interviews. The focus group about individual cases, but the general
consisted of 15 men and three women perception is still to affirm the new
and the individual interviews of three technology. The overall positive attitude
men and two women. All interviewees may be due to the fact that the Swedish
have top positions within the union such industry has no history where companies
as chairmen of clubs or regions, lay off employees due to the new
ombudsmen, negotiator, study organiser technology. Major redundancies have
and board member. They are found in instead been due to not being
various companies spread all over competitive and thereby forced to close
Sweden. down production or move it to low-wage
countries.
Below we start with an overall
description of how new technology is At the same time, there is a great
perceived by the interviewees and then awareness that technological
discuss how their practice has been development and digitalisation will have
affected. an effect on almost everything in
working life and affect all members. This
creates opportunities as well as
General perception and problems. The opportunities are mainly
attitudes of national trade in three areas:
unions • An improved work environment.
Workers still suffer from manual
Perception of the impact of work in poor working conditions.
digitalisation on Swedish companies. Automation can help remove bad
The basic conception is that IF Metall is jobs.
positive to new technology and the • The content of the work is improved.
technological development. There is a Monotonous jobs can be replaced
deep-seated notion that “we are not with more challenging and interesting
afraid of the new technology, we are tasks.
afraid of the old”, implying that without
COUNTRY FICHE SWEDEN
21

• Safe and well-paid jobs. Competitive There are plenty of examples of

industry that saves jobs in the long successful skills development when new
run. technology is introduced. In general,
The risks of digitalisation are also new technology means that members
emphasised. also receive the skills development
• Automation will lead to loss of some needed to cope with the technology shift.
jobs, it is inevitable. An operator who When it comes to more general skills
previously operated a single machine development, the interest is not as great,
can now operate several. according to the interviews. “Employers
• More members will work remotely. often talk about the major skills
• More members may have to work shortages that exist in companies, but
alone. when it comes to investing in
• Digitalisation and AI can be pushed competence and skills development, it is
too far. There is a risk that work will often seen only as a cost. But if there is
become too simple and de-qualified. no internal supply of skills and skills
• The boundary between work and development, it will be difficult for
leisure becomes less clear if you are companies to survive”, the unions argue.
to be constantly connected. You are Companies have to create a structure
constantly at work. where it is a natural part to develop skills
with a certain regularity, for example to
• Risk of privacy problems.
take a course every six months.
Surveillance must not come too close.
We do not want a “Big brother sees
There is a big difference between large
you” workplace. At the same time,
and small companies. In large
when used correctly, technology can
companies, there are often established
contribute to increased safety. You
competence development programmes
know that you will be found if
where you can develop in your work and
something were to happen.
change tasks during your time at the
company. There may be programmes to
The pressing concern of skills
obtain a license for certain work tasks,
development. No one should be left
but there may also be more general
behind and everyone should have access
training. One successful example is
to skills development so that they can
when a company validates its entire staff
meet the requirements of the new
and then adapts training initiatives to
technology. There is also a concern
complement the employees’ skills. There
among the older workforce who are not
are good opportunities to finance this
interested in new technology, while the
type of more general training effort
younger ones want the new technology.
through the European Social Fund
A common comment is that we are at a
(ESF), especially in connection with
turning point where professional pride in
structural changes.
the future will be based on something
else than manual work skills.
The issue of representation of blue-
and white-collar workers. In Sweden,
COUNTRY FICHE SWEDEN
22

there is also a discussion about the takes place when new technology is
demarcation between white- and blue- introduced on the shop floor and
collar workers, as they are organised in primarily involves the safety
different unions, IF Metall and Unionen. representatives in the discussion. Those
There has been a gradual shift in the involved in the development feel proud
demarcation between white- and blue- of the new tasks they have to learn, but
collar work where IF Metall absorbs not everyone gets the opportunity to
more of what was previously white- participate. Awareness of digitalisation
collar tasks. This is a dilemma where a and its consequences differs depending
thinkable development is that IF Metall on which company our members are
approaches the German model, which working in. According to the
would mean that metal members and interviewees, some companies are at the
production-related officials will be part forefront of technological development,
of the same union. testing different ways to change and
adapt the work according to the wishes
IF Metall digitalisation agenda and its of the union members, but unfortunately
promotion. Digitalisation has been on there are still many who do not care. IF
the agenda for a long time. It is difficult Metall’s members are not worried about
to define when technology will switch to new technology, on the contrary, they
digitalisation, one sign may be when see opportunities for development of the
tasks have been moved from the shop work. The younger ones take more
floor into control rooms. It is seldom a advantage of the new technology, but the
question of a distinct technological leap, older ones also want to be involved. This
but rather a matter of a continuous requires that you have the competence
development of the production. It is the development that is needed.
company that takes the initiative in
technology issues, and the union The approach at the local level. The
participates on their given terms. On IF issue of new technology is widely
Metall’s agenda, the issues mainly discussed at the central level. At IF
appear in connection with the discussion Metall’s congress 2017 an extensive
about the sustainable work. material on New Industry was presented
Digitalisation is discussed primarily at (IF Metall, 2017a), which contained a lot
regional level, and they try to get it out to about the need for continuous
the local clubs, but it is difficult to create competence development. However,
an interest in the issues. At club level, it there are no central guidelines for how
is said that IF Metall does not pursue the the issue should be dealt with at the local
issue as much as it should. level. Here you have to adapt to the new
technology from case to case. There is a
IF Metall members’ perception of document from 2017 titled “Action plan
digitalisation. The interviewees for the future industrial work” (IF
explained that it is difficult for them to Metall, 2017b) which was intended to
get a discussion about the technology on guide the local work, but it did not have
a general level. The discussion instead
COUNTRY FICHE SWEDEN
23

the expected impact. The material will be Metall collaborates with Luleå
updated and released in a new version. University of Technology. The project
aims to formulate recommendations for
both attractive workplaces and skills
Practices of national trade development. Further information
available here.
unions

Research activities. There are a number Training activities. When it comes to

of projects at the central level in which development issues, it is important that
IF Metall, employers and researchers the union has competent representatives
participate. One such project is The who can work with the clubs in the area,
Production Boost local change leaders who can start up the
(https://www.produktionslyftet.se), change processes. At the central level,
where IF Metall’s former union there are a number of trainings activities
chairman Göran Johansson is the leader. that IF Metall’s representatives and
The project aims to prepare and facilitate functionaries can follow. There is, for
the introduction of new technology and example, a recurring training course on
work organisation on human terms. Payroll systems and work organisation,
Another project is The Robot Lift that covers five days and the participants
(https://tillvaxtverket.se/amnesomraden/ come from five to ten workplaces at a
digitalisering/robotlyftet.html), which time. There is also a central digital
deals with robotisation and visualisation, membership training for old and new
where opportunities for working members where union representatives
remotely were discussed. One example participate as supervisors. A positive
of this is a robot that refills powder in the effect of the Covid-19 pandemic is that
3D printers and another clean the spaces digitalisation has jumped several years
that are hazardous to health. It is very forward. Now there are online
common for IF Metall’s members to conferences, such as the latest central
participate in local research projects study conference. There are no training
initiated by employers, but as specialists activities at the local level that deal with
rather than a union official. A direct new technology, apart from what is
collaboration with researchers, given through the previously mentioned
independent of the company, is the project ARB 4.0.
international projects SUNI and
BargainUp. IF Metall has also published Collective bargaining. The Co-
a debate book Industrial visions – Eight determination act and the Development
voices about the Swedish industry of the agreement covers all types of issues. The
future with a number of researchers (IF structural problems that arise during
Metall 2020). Collaboration with digitalisation can be solved within the
researchers at the local level is unusual. framework of the Co-determination Act.
One example of a local collaboration is The development agreement, which has
the project Attractive Workplaces existed since the 1980s, describes how to
through Industry 4.0 (ARB4.0), where IF work with development issues and
COUNTRY FICHE SWEDEN
24

regulates how the influence is to be Production Engineering, HR, Finance,

organised. IF Metall is involved in the etc. A working group would comprise
dialogue on technological development, 20-30 people and the three pilot
but it does not normally lead to direct departments were given relatively free
negotiations. They are involved in hands to experiment. The projects are
setting the rules of the game, for run in collaboration with the employer
example, what the company may control and can include both new technology and
and who should have access to private a changed work organisation. Then there
information. At the local level, safety is the dissemination of experiences to the
representatives must be involved in all entire company.
development projects. Sometimes there
are discussions about the demarcation IF Metall believes that in order to get real
between what belongs to IF Metall and momentum in the collaboration, it must
what are white-collar tasks. The be written into the collective agreement
companies are often positive that IF linked to salary claims. Having the right
Metall takes on new tasks. IF Metall is to participate in strategic meetings may
open to setting salaries for certain tasks not be a competence measure directly,
outside the collective agreement, but the but still important in the long run.
company is more restrictive about it. Participating in a large development
At the local level, new technology is not project is a real skills development,
on the negotiating table, here the unfortunately only for a few, but perhaps
companies decide. According to IF for more members in the future. At
Metall, the companies would save time SSAB in Luleå, the union has demanded
and money if they had greater faith in the that their members should be involved in
knowledge that exist among blue-collar the process of developing the test facility
workers. However, there are examples of for Hybrit, a method of making steel
when local agreements have been signed. without coal.
One example of local activity is the local
agreement reached in 2013 between IF Furthermore, in 2004, collective
Metall and AB Volvo on a joint bargaining set up a fund for the
development programme for the management of occupational transitions,
workplaces of the future at Volvo’s that could be particularly useful today in
Swedish factories. The purpose of the the light of possible reorganisations and
project was to shape the workplaces and restructurings led by digitalisation. More
working conditions of the future. In specifically, in 2004, as a complement to
2018, a pilot project was started at the the Employment Protection Act, the
factories in Skövde, Umeå and Swedish Trade Union Confederation for
Gothenburg. The task was to create a blue-collars (Landsorganisationen i
new way of working that is based on Sverige – LO) and the Confederation of
relatively autonomous working groups Swedish Enterprise (Svenskt Näringsliv)
that can handle an entire production concluded an agreement to establish
chain with as little help as possible from support measures in case of
production support, e.g. Maintenance, redundancies for shortage of work. In
COUNTRY FICHE SWEDEN
25

that occasion, the Employment regional growth, the public employment

Transition Fund (Trygghetsfonden – service, tests and development centres,
TSL) was constituted as a joint body in technical colleges, universities and the
charge of executing the agreement. TSL principals of the local schools.
is one of the 10 Job Security Councils in
Sweden, established by social partners Multi-stakeholder programmes. There
and financed by employers with the aim is a large amount of successful
of anticipating and managing structural cooperation between the Association of
changes. TSL’s solutions encompass Swedish Engineering Industries’
guidance to workers in the search for a (Teknikföretagen) and IF Metall in the
new job, the start-up of a new business previously mentioned projects The
and the enrolment in educational paths. Digilift, The Production Boost and The
When needed, TSL can also provide for Robot Lift. In these projects, both
short vocational training courses and the employers and researchers are
validation of professional knowledge represented. A local example is the
and skills to sustain people’s previously mentioned ARB4.0. In
employability. TSL’s solutions apply to connection with major changes in
all workplaces facing restructuring and production that can lead to redundancies,
covered by a collective agreement with a trade unions can hire an external
trade union federation affiliated to LO. consultant who can verify the credibility
Today, TSL’s chairman comes from the of the companies’ calculations. It is an
Swedish Metalworkers’ Organisation (IF opportunity that is not used so often.
Metall). Further information is available
here. Impact of digitalisation on trade union
membership and activities. According
IF Metall involvement in public policy to IF Metall, trade union density cannot
making. IF Metall has great be improved that much, as in principle
opportunities to influence the everyone is already a member. In the
government and its policies. IF Metall’s mining industry, trade union density is
chairman is a member of the Social almost 100%. Centrally, the goal is 85%
Democratic Party’s executive committee and today IF Metall is at 77%. It is easier
and the union board meets with to become a member of the union, now it
government representatives regularly. can be done with a digital signature. The
Collaboration is facilitated by the fact fear that digitalisation will result in a
that the Prime Minister has a background reduced number of jobs may contribute
as chairman of IF Metall. One example to an increased number of members, but
is the government’s strategy Smart so far, no such effect can be seen. One
Industry, which IF Metall has common opinion is that, what really
participated a great deal in shaping. At affects is the fear of Covid-19, as more
the local level, there is extensive people have joined the union to get
collaboration with authorities such as the access to unemployment benefits. For
Industrial development centres, the many members, it is more about what
Swedish agency for economic and
COUNTRY FICHE SWEDEN
26

you get if you join the union instead of districts as it is easier to get to the
wanting to be involved and change. meetings when you avoid long drives on
Centrally, IF Metall has an advanced bad roads.
website where you can find information IF Metall’s clubs have a good attendance
about almost everything. They also use on member meetings. There have been
Facebook, Twitter, Instagram and considerations about the opportunity of
YouTube to spread information to union allowing for online participating at these
representatives, members or prospective meeting. But the wish for eye contact
members. Many clubs have their own with its members as well as the risk of
websites, and some are active on lower attendance has kept the meetings
Facebook. The websites present news from being carried out online. By using
on, for example, what the safety the internet, the clubs could widen the
representatives have to report. Some dialogue in local matters and possibly
clubs provide opportunities to ask increase the democratic influence. It can
questions and get answers via the also be used for quick surveys among its
website. Internally, digital meetings are members. New ways of communication
becoming more common, especially in and decision making could amount to a
times of the Covid-19 pandemic. This boost for the trade union democracy.
has been a great advantage for the large
REFERENCES

Ekonomifakta. Produktivitet i näringslivet,

https://www.ekonomifakta.se/Fakta/Ekonomi/Produktion-och-
Investeringar/Produktivitetsutvecklingen-i-naringslivet/
Fulton L., Worker representation in Europe, Labour Research Department and ETUI.
Produced with the assistance of the SEEurope Network, 2013, online publication
available at http://www.worker-participation.eu/National-Industrial-Relations
Government Office of Sweden, A Completely Connected Sweden by 2025 - a Broadband
Strategy, 2016(a),
https://www.government.se/496173/contentassets/afe9f1cfeaac4e39abcdd3b82d9be
e5d/sweden-completely-connected-by-2025-eng.pdf
Government Office of Sweden, Handlingsplan Smart industri – en
nyindustrialiseringsstrategi för Sverige, 2016(b),
https://www.regeringen.se/49dad1/contentassets/85b4aaebe8004e1b9e72b63b8215
b399/20160617_handlingsplan-smart-industri.pdf
Government Office of Sweden, Handlingsplan 2 för Smart industri – en
nyindustrialiseringsstrategi för Sverige, 2017,
https://www.regeringen.se/4ad776/contentassets/c95f0d78085c4e84b7829bc53164
b3dd/20171201_handlingsplan2_smart.pdf
Government Office of Sweden, En politik för tillväxt och utveckling i svensk industri.
Skrivelse, 2018, skrivelse 2017/18:202,
https://www.regeringen.se/495f60/contentassets/4fbfd70a0c2e4703990a77051ff60c
de/171820200webb.pdf
IF Metall, Protokoll från kongressen 2017 (.Minutes from the 2017 congress “future
industrial work”, 2017(a),
https://www.ifmetall.se/globalassets/avdelningar/forbundskontoret/resurser/dokum
ent/kongress-2020/tidigare-kongresser/protokoll-kongress-2017.pdf
IF Metall, Handlingslinjer 2017-2020 (Action plan for the future industrial work),
2017(b),
https://www.ifmetall.se/globalassets/avdelningar/forbundskontoret/resurser/dokum
ent/stadgar/handlingslinjer-2017.pdf
IF Metall, Industrivisioner – åtta svenska röster om framtidens industri (Industrial visions
– Eight voices about the Swedish industry of the future), Falun: Premiss förlag, 2020.
ILO, Sweden: Industrial relations profile, https://www.ilo.org/dyn/travail/docs/2596/,
https://www.ilo.org/dyn/travail/docs/2596/
Kjellberg A., Kollektivavtalens täckningsgrad samt organisationsgraden hos
arbetsgivarförbund och fackförbund, Sociologiska institutionen Lunds universitet;
updated 2011–2013, 2010
COUNTRY FICHE SWEDEN
28

Larsson M., Working hours in 2015 - Full-time and part-time employees, normal hours
worked and scheduling of working hours by class and gender 1990- 2015,
Stockholm: LO Wages and Working Life Department, 2015
LO Fakta, https://www.lo.se/start/lo_fakta
LO, This is LO (in English), The Swedish Trade Union Confederation,
https://www.lo.se/english/this_is_lo
PTS, Uppföljning av regeringens bredbandsstrategi 2019. Rapport PTS-ER-2019:11,
2019, https://pts.se/globalassets/startpage/dokument/icke-legala-
dokument/rapporter/2019/internet/uppfoljning-av-bredbandsstrategi-
2019/uppfoljning-av-regeringens-bredbandsstrategi-2019.pdf
Ramboll, Utvärdering av digitaliseringslyftet (Evaluation of the Digilift), 2020,
https://tillvaxtverket.se/download/18.fc0f35c170f41ceaa5ec20f/1585578694764/Bil
aga%203_Ramboll%20_Utvärdering%20Digitaliseringslyftet_200330_B0.pdf
Teknikföretagen, En konkurrenskraftig industripolitik för Sverige, The Association of
Swedish Engineering Industries, 2018
Teknikföretagen, Today’s societal challenges are tomorrow’s opportunities for Swedish
engineering industries - The Association of Swedish Engineering Industries’ input to
the EU industrial strategy. The Association of Swedish Engineering Industries, 2020
Vinnova, Uppdrag att genomföra samverkansprojekt för att utnyttja digitaliseringens
potential för ökad konkurrenskraft hos svensk Industri, 2019,
https://www.vinnova.se/contentassets/27b0bf142e704714beb336ff09571eff/2016-
02271-sr-uppdrag-att-genomfora-samverkansprojekt-for-att-utnyttja-
digitaliseringens-potential.pdf