Response to interpellation 2023/24:574 on the labor market for young people
Translated from Swedish by AI; the translation may contain errors. The Swedish text is the original.
Summary AI, written in advance
L argues that fighting inflation is necessary to strengthen the economy and re-establish the work principle 1 2 3. L emphasizes that education is the most important measure for the establishment of young people and prioritizes funds for the university college and adult education 1. L underlines that Arbetsförmedlingen receives increased appropriations to meet increased unemployment and strengthen control work 1. L believes that the government is on the right track by reforming the economy and strengthening the education line with a focus on basic skills 2. L advocates for a labor market policy with both opportunities and requirements 3. L argues that the conditions for work are good for those with a high school diploma 4. S believes that the government lacks a plan, cuts back on Arbetsförmedlingen and leaves the education sector in crisis 5 6 7. S argues that the cuts hit young people with disabilities hard 5. S criticizes the government for cutting education places to lower taxes for high-income earners 8.
Written by AI in advance and may contain errors. The numbers lead to the speech a statement builds on; check against the text below.
Arbetsmarknads- och integrationsministern Johan Pehrson (L)
Mr. Speaker! Jonathan Svensson has asked me how I intend to act to strengthen the labor market, especially in Western Sweden.
The most important thing for Sweden's economy right now is that inflation is being fought. Inflation is largely the root of the economic situation that Sweden finds itself in, and effective inflation fighting is a necessary step to strengthen Sweden's economy. It is a prerequisite for a favorable economic development for both households and for companies.
At the same time, the government continues the work to re-establish the work line. The labor market policy aims for more people, both young and old, to enter employment. The distribution of responsibility for the implementation of the labor market policy is based on the fact that Arbetsförmedlingen has the flexibility to adapt its interventions and distribute resources based on regional and local needs.
In accordance with the budget bill for 2024, Arbetsförmedlingen's administrative grant is increased by 200 million kronor for 2024 to meet increased unemployment and strengthen the control work. A part of this is Arbetsförmedlingen's work with supporting, controlling, and following up job-seeking activity, including the geographical and professional mobility among the unemployed.
Young people aged 16-24 who have been unemployed and registered with Arbetsförmedlingen for at least three months during a four-month period can be offered a place in Jobbgarantin för unga. Within the program, different types of measures and support are offered, for example work placements, study motivation courses, labor market training, and subsidized employment.
The single most important contribution for young people to be able to establish themselves on the labor market in the long term is, however, education. High-quality education also strengthens individuals' opportunities to establish themselves on the labor market and makes it possible to take advantage of everyone's competence.
Extensive new and transition initiatives are underway in several places in the country. For example, a large-scale transition of the automotive industry is underway with extensive investments and large establishments, primarily in Västra Götaland and Södertälje. At the same time, an extensive re-industrialization linked to fossil-free production and electrification is underway in Norrbotten and Västerbotten counties.
Many industries have difficulty finding labor with the right education and competence. The lack of matching in the labor market is partly due to the fact that job seekers do not have the professional competence that is in demand. The opportunity for retraining and education therefore needs to be strengthened.
For that reason, the government prioritizes funds for more locations both within the university colleges and within the vocational adult education so that access to such education is improved and more people can quickly enter employment. The investments are crucial both for Sweden's competitiveness and for individuals who get a better opportunity to enter employment.
To meet the demand for skills, it is important that the labor market's needs to a greater extent guide how education within upper secondary school and municipal adult education is dimensioned. During 2023, the Government has implemented necessary legislative changes to support that the planning and dimensioning of upper secondary education within upper secondary school and komvux should to a greater extent be based on the labor market's needs.
We thus have a good basis for meeting increased youth unemployment. I will closely follow the developments ahead.
Jonathan Svensson (S)
Mr. Speaker! I thank the Minister for his answer and for taking the time to come to the chamber this Friday to discuss a very important issue.
We can see that Sweden is in a recession with the consequences that it entails: a poorer employment development, higher unemployment, and an increased number of layoffs. This development naturally brings other consequences, such as the tax base in the municipalities developing negatively and a human suffering for all those who lose or risk losing their jobs.
All people need to be given the opportunity to access a job. The opportunity for livelihood is a completely central issue for all people in this country. It is about the opportunity to put food on the table and to ensure that the rent is paid at the end of the month.
It is therefore regrettable to see how unemployment is on the rise, especially youth unemployment. Young people are a particularly vulnerable group and are in practice always those who are hit first when the economy swings and the labor market becomes weaker. This is confirmed in Arbetsförmedlingen's latest report on the labor market outlook from last autumn, where it is written, among other things: "What characterizes young people in general is that many have not had time to establish themselves in the labor market in the same way as older people, and that many of those who have jobs have temporary employment."
According to Arbetsförmedlingen's latest figures regarding youth unemployment for February 2024, there were 42,718 people between 18 and 24 years of age registered at Arbetsförmedlingen. This is an increase of 10 percent compared to the same month last year. For the rest of the population, the increase is approximately 5 percent. We can therefore see that youth unemployment is increasing much faster than unemployment within the rest of the population.
If one compares the increase in the number of those enrolled in the same age category, 18-24 years, with the increase in the same group within only Västra Götaland county, one can see that the increase there is approximately 2 percentage points higher than in the rest of the country.
We understand that this is not a sustainable situation and development. It concerns a large group of people who may have recently received their first job and are now losing that job. In this way, it becomes difficult to pay the rent when one has not qualified for unemployment insurance.
Mr. Speaker! In the answer that the Minister has accounted for here today, he highlights, among other things, the importance of young people having access to an education of good quality. There, I believe we are in complete agreement. Can we ensure that all children and young people manage their education and that more choose to educate themselves for the industries that are now crying out for competence; we have come far in the fight against youth unemployment but also, in the long run, unemployment in general, while we can also reduce the skills shortage that exists within many industries.
There is, however, a problem, and that is that the government's policy has started to have consequences out in the municipalities. It is possible to read about cuts in the majority of the country's schools, where they are getting rid of student assistants, childcare workers, and social pedagogues. In many places, they have now even started to get rid of temporary staff. If the Minister is to be able to point out access to a good education for all children and young people as the most important measure for young people's establishment in the labor market with credibility, it also means that the government and the Minister can present a policy that can actually deliver a good education to everyone in the whole country.
Mr. Speaker! It is not possible to discuss youth unemployment without discussing the completely central toolbox that Arbetsförmedlingen needs in order to best be able to help the target group we are discussing today. At the same time, I see how my speaking time for this speech is starting to run out, so I intend to return to it in my next speech. Arbetsförmedlingen is, in fact, a completely central authority in the work we are discussing today.
For the time being, I nevertheless want to ask the Minister, based on this speech linked to the education sector, how he views the fact that the government contributes to increased unemployment in the long run and a worsened skills shortage through its inability to support the education sector in the burning crisis in which it finds itself.
Aida Birinxhiku (S)
Mr. Speaker! My colleague has asked an important question about the labor market for young people in Western Sweden. It is a question that we, as young Western Swedish members, have motioned for and asked written questions about, and which we now also want to debate.
Youth unemployment in Sweden has long been at relatively high levels. Against the background of the recession we are currently in, it should also be emphasized that youth unemployment is particularly sensitive to economic cycles. We saw this, not least during the pandemic, which hit the labor market for young people particularly hard.
It should also be emphasized that there are large regional differences, which my colleague has also noted. Western Sweden is a growth engine for the entire country. But the Western Swedish economy is heading towards tougher times, and it is noticeable on the labor market. Unemployment in Western Sweden is alarmingly high, considering that companies are practically screaming for labor.
In my home county of Halland, youth unemployment has remained at historically low levels compared to the national average. Now, however, young people are a group where unemployment is steadily increasing. Something that also stands out is the sharp increase that has occurred in Varberg Municipality, where youth unemployment has increased by 2.5 percentage points.
Mr. Speaker! The development that we describe here in the chamber causes concern, and it should also cause concern for the Minister for Employment. That young people cannot get a foot in the door of the labor market and cannot manage their own livelihood constitutes a breeding ground for segregation and exclusion and leads to large costs for both society and the individual.
It is obvious that young people today are not being equipped for the future, even though they constitute the key to meeting the skills supply, not least when it comes to the green transition that Swedish industry has a unique opportunity to lead. This has serious consequences now and in the future.
Mr. Speaker! Now is not the time for cuts in labor market policy and education policy. I have listened to several debates where my colleagues in the Committee on Employment have pointed out the absurdity of the government and the Sverigedemokraterna choosing to move forward with substantial cuts in this situation. Despite this, the Minister continues to claim that the measures, in some magical way, will become just as good or even even better despite the cuts.
It is almost as if I want to ask the Minister for Employment if he has some magical magic wand that makes there be more and better measures despite cut after cut. But I doubt that is the case, Mr. Speaker.
Therefore, I want to instead repeat the question that was previously asked to Minister for Employment Johan Pehrson: Does the minister have a plan to strengthen the labor market for young people, especially in Western Sweden? And does the minister truly think that the initiatives mentioned in this debate are sufficient in light of the problems we see?
Ida Ekeroth Clausson (S)
Mr. Speaker! Unemployment is increasing sharply in Sweden, and the increase is also seen in Western Sweden. A sign that the labor market is becoming increasingly weaker is the increase in the number of bankruptcies that we see today. In times of high prices for food, electricity, and fuel, unemployment hits harder than before. We are reached by reports of people who are forced to move from their homes and even cannot afford food. It is not worthy of Sweden and something that the government should take very seriously.
For the Social Democrats, it is important that young people have a job. We fight unemployment by creating new jobs and by investing in people's skills, not by lowering their wages. We know that it is much easier for young people to get jobs if they have a solid education. Therefore, we want to enable education so that more people get the chance for a job. That is something the State Council also seems to think, as he says in his answer that the single most important measure for youth to establish themselves on the labor market in the long term is education.
Then it becomes extra strange that the government is not investing in education. The government and the Sweden Democrats began by cutting back on labor market policy measures and on places of study within adult education, and that has continued. Despite claims of increased appropriations to Arbetsförmedlingen and labor market and education policy, it can be stated that the appropriations to active labor market policy and adult education have decreased.
The previous Social Democratic government enabled a green industrial revolution. We can now see that Sweden is on its way to becoming a superpower in battery manufacturing. This is noticeable, not least in my hometown Mariestad, where Volvo will establish a battery factory that will become a boost for all of Western Sweden and, above all, Skaraborg.
In this context, it can be mentioned that the site manager at Volvo Powertrain in Skövde says that the upcoming battery factory in Mariestad would not have been discussed if Assar had not existed as part of the science park that is in Skövde, where the industry together with Högskolan i Skövde has researched new technology.
It is therefore important that there are long-term funds for lifelong learning at the local universities. State support and state coordination are also needed for the companies and the municipalities that are driving the green transition through industrial renewal, and new educational places are needed to meet the skill supply.
Mr. Speaker! The question is when the support that is needed will arrive.
Arbetsmarknads- och integrationsministern Johan Pehrson (L)
Mr. Speaker! It is anything but Sunday weather, to quote Ibsen, over the Swedish labor market. We are, however, firmly determined and aware that we need to do new things to change a difficult situation.
There were those who previously promised Europe's lowest unemployment. The unemployment in our country became one of the highest in Europe.
Unemployment is a wrong. It affects people. It diminishes freedom. It means that people do not reach their full potential and, as the interveners mentioned here, do not have the possibility to pay their rent or buy new spring shoes for the children.
It is a long and arduous path to get out of a recession. It is an even more arduous path to get out of a recession when one has high inflation. There is no shortcut. If we are to get out of this difficult situation and ensure that the economy in Sweden grows with its full potential – which I have no reason to believe the interpellants do not also want – we must first ensure that we hammer out the inflation.
Hopefully we are on the right track. During this time, the government is working to reform what is crucial for good economic development. It is about making Sweden attractive for investments – human investments that mean people choose to live their professional lives in Sweden. It is about ensuring that small, medium-sized, and large investments occur in small, medium-sized, and large companies.
We have heard a bit here in the interpellation debate about that this is now happening. It has increased since this government took office. Why? Well, because we are fundamentally in agreement on important matters such as that we need to have a strong energy policy.
We need to focus on competence. But when one says focus on competence, one must be clear that there are at least two parts to that work. It is a person who is given opportunities, but that person must very actively participate in the teaching or competence transfer that takes place.
That is why the government is working with an underlying educational line. The fact is that the Pisa results have shown that the knowledge level for Swedish students in ninth grade is powerfully heading in the wrong direction because certain things were missed in the previous education policy: the importance of reading and basic knowledge, for example mathematics. Therefore, the government is now strengthening this. Bring in the books! I have not heard that anyone is particularly much against it.
On the other hand, I see many municipalities that do not use the government's resources to get more books into Swedish schools. This is very serious, because we must together ensure that Sweden's youth manage school better. But in school, there must be a focus on reading, writing, and arithmetic. There must be a focus on using books in the right way, and one must ensure that there are resources for order and tidiness in the classroom with special teachers and social teams who ensure that the students take the knowledge with them.
That is the way – it is the education line, and it is the work line. There is no other way in Halland, in Varberg, in all of Western Sweden, yes, in all of Sweden.
Jonathan Svensson (S)
Mr. Speaker! Yes, where should one begin?
The Minister just answered that we need to do new things. But when one listens to the Minister, both in his response to the interpellation and in the debate, one does not yet hear very many new things. Inflation control we have heard about from the rostrum many times before. Arbetsförmedlingen has existed for relatively many years. Programs at Arbetsförmedlingen are also not a new invention, and the education sector is definitely nothing new in this country. But, but.
The Minister also said that the Social Democratic government promised Europe's lowest unemployment. That is true. We did not make it all the way, but our government at least had an ambition. This government does not. That is the big difference.
But back to Arbetsförmedlingen. As we briefly touched upon earlier, Arbetsförmedlingen and the toolbox that the agency has is completely central for young people to receive the support they need when they are seeking a job and in order to be able to take a job.
We Social Democrats believe that a strong and active labor market policy is needed across the entire country to tackle youth unemployment. For this to work, it is important that cooperation between the municipality, Arbetsförmedlingen, and the employer functions, and that Arbetsförmedlingen's toolbox is actually used for what the agency is best at – placing jobs.
We also believe that young people with mental illness or disabilities or other challenges should receive the support and the special guidance that we believe they have a right to. But, Mr. Speaker, that is not how reality looks today. It is evident that Arbetsförmedlingen is not succeeding in delivering fully, largely due to the government's large cuts to the aforementioned agency. Just this year, the agency has reduced staff, and in previous years, other cuts have occurred. The agency gets poorer local presence and poorer opportunities to support the people who are in need of support, especially many young people.
Another group that is hit hard by unemployment and the situation we find ourselves in today is the group of young people with disabilities. Approximately half of all people with disabilities have no work to go to in the morning. It is definitely a failing grade. When Arbetsförmedlingen makes cuts, this is a group that may take an extra hard hit, given that the measures they receive today are those at risk of being cut when Arbetsförmedlingen needs to make major prioritizations in its operations.
The problem with young people with disabilities and the significantly higher level of unemployment there should not be underestimated. In Västra Götalands län and Hallands län alone, there are approximately 1,500 young people registered with Arbetsförmedlingen who have received their code. It is a large group of people in just a smaller part of the country. In addition to these approximately 1,500 young people, there are likely more who are not registered and in that way fall between the cracks.
It is clear that the government lacks a plan for how to solve these problems, and it is obviously regrettable. All people are needed in the labor market, regardless of who you are. We can clearly see this when there is such a large skills shortage in so many parts of this country in both the private and public sectors, a skills shortage that risks worsening our common welfare when there is a lack of nursing assistants and teachers, but also risks investments in our country when Arbetsförmedlingen fails to match the needs that exist in the labor market.
Mr. Speaker! It is probably quite obvious that we Social Democrats are not entirely satisfied with the work that the government is carrying out. I am also not entirely satisfied with the answers that the Minister for Employment delivers here today. Therefore, I want to ask him how he will ensure that more young people get jobs while at the same time the government cuts back on active labor market policies, makes it harder for young people with disabilities to get the support they need, and is completely passive when the education sector is on its knees.
Aida Birinxhiku (S)
Mr. Speaker! I thank the Minister for Employment for the debate.
I can only state that Arbetsförmedlingen is struggling to deliver on its mandate, the education sector is on its knees, and youth unemployment is on the rise.
It is quite obvious that the government is not doing enough, and it will have serious consequences, not least for the social contract that I have noted the Minister for Employment enjoys speaking about. The development risks jeopardizing our entire common social construction and the social contract on which it is based.
Mr. Speaker! Cuts after cuts do not lead to more and better measures in any magical way. As I stated in my previous speech, Minister for Employment Johan Pehrson does not have a magic wand, but I hope that he has a plan for the situation of young people in the labor market before it is too late.
Ida Ekeroth Clausson (S)
Mr. Speaker! During the Social Democrats' eight years in power, all sectors of the education system were expanded with a total of 160,000 educational places. It was a fantastic investment. What did the Minister's government do in its first budget item? Well, they cut almost 30,000 educational places across all sectors for 2023 because they preferred to lower taxes for high-income earners. It is important to remember this. Then they have put back a little bit for this year. But so far, it is no investment. So far, they are only taking back what they have already cut.
Arbetsförmedlingen is now implementing savings of 250 million kronor. The budget has decreased since 2019. The workforce has been significantly reduced, which is a consequence of the budgets that the right-wing parties have had approved in the Swedish Riksdag.
In the SD-government's Sweden, people stand in food lines, schools are striking, healthcare is in crisis, and bankruptcies are increasing. Much is going in the wrong direction. What is required now is a policy that puts ordinary wage earners before tax cuts for high-income earners.
Sweden needs a different economic policy, where despite an inflation economy we must see the opportunities we have. Inflation fighting should not primarily be borne by those with slightly lower or normal incomes. This is something we must do together.
Arbetsmarknads- och integrationsministern Johan Pehrson (L)
Mr. Speaker! I like the concept of a social contract. The Riksdag should discuss this more often. What is included in the contract of being a Swedish citizen? What are we expected to do on our own initiative, and what are we expected to have the state, regions, and municipalities provide?
There are plenty of things here that have not worked, and that is why the government has a new energy policy so that the green transition becomes a reality for electrification. That is why the government has a new school policy that shall ensure that not 15 percent of students leave primary school as practically functional illiterates.
That is why we are reorienting the labor market policy towards more efficiency. Everything shall be focused on leading towards real jobs and self-sufficiency in the more regular labor market. The latter contains both opportunities and requirements. We provide opportunities, but we also set requirements.
Look at the unemployment insurance! People should have the right to a strong a-kassa when there are no jobs. But one must also be prepared to seek other jobs, if there are other jobs. One must also be prepared to seek jobs in a larger geographical area, if there are plenty of jobs in Sweden.
Otherwise, the Social Democrats are welcome to explain what their social contract looks like. Is it a human right to always live in Örebro? It should be, but there may be other jobs outside of Örebro.
I am from Örebro, so there is an explanation. It is not just me and Lars Wivallius who come from there. He is usually quoted by another Speaker, Madam Speaker!
There is talk of a new labor market policy with opportunities and requirements. There is talk of a new integration policy, so that people learn Swedish in Sweden and understand our fundamental values. Those values that apply are found in the constitution. There is talk of a new security policy, so that people feel increased safety and freedom from crime.
We have talked about the green transition, which the new industries are about. It requires a new mineral policy.
That is how one builds strength in Sweden, step by step, in the long term. That is how we can finance what we consider to be so important. But I almost have to plead with the interpellants to go home and read some books about the historical fight against inflation, how important it is to ensure that we get an economy that more easily stimulates investments—primarily from the private sector—and an economy that slowly but surely builds strong real wage increases for ordinary people who go to work and build the country every day. That path works by getting out the inflation. It seems that there are other resources.
Madam Speaker! Then there was the question of the investments that took place during the pandemic because people were vulnerable. People died in our country. At that time, the previous government presented proposals, urged by the Riksdag, I want to emphasize, that people should undergo training. They received no extension from the previous Social Democratic government. Now, post-pandemic, large investments are being made in vocational training within municipal adult education and within the university colleges. It is the path to jobs as electricians, battery builders, and for that matter, assistant nurses.
Jonathan Svensson (S)
Madam Speaker! I thank the Minister for the answer.
At the end of his speech, the Minister said that the Social Democratic interpellator mentioned that there were other resources. It is still worth pointing out that there actually were other resources and that there were other priorities. We chose to put money into welfare instead of removing the plastic bag tax. There are other priorities to make in Swedish politics.
But that was not what I intended to say. I intended to round off by saying that today we have discussed a central issue for many people in this country. In many ways, this is a question of the future for people in our country. This is about a relatively large group of young people who are unemployed or risk becoming unemployed. It is a group that for many years has had a significantly higher level of unemployment than the rest of the population, and it is a group that is extra vulnerable now when unemployment is on the way up.
We have also noted that this is a group that is growing in size, purely in percentage, at a significantly higher rate than in the rest of the population. If we do not do anything from a political standpoint to curb the development on the labor market, this will bring about great consequences for the individuals, for their relatives, and for society as a whole.
Based on the answers the Minister provides today, I once again make the assessment that the government lacks a plan to handle our societal problems - those we are discussing today and others. The Minister has mentioned a few measures, but they are obviously not sufficient. He has spoken about how education is the key to young people's establishment in the labor market. Yet, the government sits completely passive while the Swedish education sector is in crisis. He has spoken about how Arbetsförmedlingen should have the flexibility to adapt its interventions based on needs, and that is something that becomes even more difficult when the government makes cuts to the agencies.
Madam Speaker! It is obvious that Sweden has a government that is unable to deliver solutions to the problems that exist in society. Sweden's young people are in need of more active labor market policy that exists across the entire country so that more can get themselves out of unemployment and exclusion. Sweden can do so much better than this.
Arbetsmarknads- och integrationsministern Johan Pehrson (L)
Madam Speaker! I want to thank you for this debate. The young people who sat in the gallery have left, but some young people remain here in the chamber. The future is bright.
It must hang together. You cannot just come and say that it is too little and too poor when I have just told you that we are restructuring energy policy, school policy, labor market policy, integration policy, security policy, mineral policy, and putting quite a lot into it. We do that to ensure that Sweden will get a brighter future. If we stand still and continue with the policy that, despite other promises, led to continued high unemployment, the whole summer will look like the April weather does right now. So we cannot have that. We must restructure the policy.
Someone said earlier in the debate: We are creating jobs. I liked this part about the social contract. But what we are doing is perhaps rather that we are creating the conditions for jobs, Madam Speaker.
We have cold facts about the young people who have a student cap tucked away somewhere in a wardrobe, after what I hope was a happy student celebration - the student celebration is approaching in two months for many pupils who are currently in the third year. Whether one graduates with a passed high school diploma from a vocational, practical, or theoretical program, the conditions are still enormously good to get a job.
We know that the shortcomings are about the school system not having delivered. There has been a substandard policy that has focused on the wrong things. That is why we focus more on order and discipline, on reading and on arithmetic early on. We ensure that young people learn Swedish and that we have a more rule-governed school.
All that benefits the labor market, and it benefits the young. They get more freedom, more future and greater opportunities to realize their small and large dreams without either I or the Social Democrats interfering particularly much in what these are, as long as they behave.
Source: The Swedish Parliament. The speeches come from the open data of the Riksdag, translated into English by AI, which may contain errors.