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Overall Developments<br />

between 60 and 64 were off work on long-term sick leave, as against<br />

33% in 1990.<br />

<strong>The</strong> emerging demographic trend points towards a rise in the<br />

proportion of younger (16- to 19-year-olds and 20- to 24-year-olds)<br />

and older (60 to 64-year-olds) people who are fit to work. Since the<br />

number of people in work and the level of employment in these<br />

groups are considerably lower than the average, this will have a<br />

negative impact on the supply of labour and the employment<br />

figures.<br />

A precondition for a positive employment trend is that more young<br />

people undergo satisfactory basic training. <strong>The</strong> trend towards a<br />

higher degree of inactivity among young people, meaning more<br />

youngsters neither in work, nor undergoing organised training,<br />

needs to be given greater attention. It is above all amongst young<br />

people, older people and immigrants that the level of employment<br />

has to be improved if Sweden is to maintain its overall present level<br />

of hours worked.<br />

<strong>The</strong> report also highlights the fact that today there is a potential<br />

supply of labour amongst those who are both in and out of work.<br />

Today’s jobless constitute an important future resource, but it ought<br />

to be possible to get more people who are underemployed or out of<br />

work altogether and are not undergoing any training actively to go<br />

back to work. One central conclusion in the Government report is<br />

that Sweden needs to increase its labour supply in future if it is to<br />

boost growth and safeguard the country’s future welfare. Issues to<br />

do with the labour supply are under discussion not only in Sweden,<br />

but also in an international context. <strong>The</strong> aim of increasing the<br />

labour supply has also left its mark on a fair number of political<br />

decisions. Interest in aspects of the labour supply used to be<br />

conditioned entirely by the state of the economy, with interest<br />

primarily aroused in times of growing manpower shortages. But, in<br />

the meantime there is plenty of evidence to suggest that supplyrelated<br />

issues will come to be remembered in quite a different<br />

manner than before. <strong>The</strong> great need for new jobs that is anticipated<br />

will follow in the wake of the higher number of pensioners after<br />

2010, not least within the public sector, will demand ever greater<br />

political attention.<br />

Irrespective of the economic situation and future growth in<br />

productivity, Sweden will find itself grappling with a structural<br />

problem that has to do with a demographically-conditioned trend<br />

towards a greater number of people requiring support once there<br />

are more people of care-dependent age compared with the number<br />

of individuals who are fit to work. Sweden needs to increase its<br />

knowledge about the various prerequisites associated with the<br />

labour supply for different groups of the population and people of<br />

different ages. It is clear that today far too little is known about<br />

about the processes that induce so many youngsters to drop out of<br />

school or education and working life. It is also important to point<br />

out that demographic imbalances and a growing shortage of labour<br />

will probably not automatically solve our problems associated with<br />

the low numbers of immigrants. On the contrary, greater efforts will<br />

be required to foster the integration process.<br />

Higher productivity opens up the way for growth and rising<br />

consumption, but does not automatically facilitate the financing of<br />

public welfare. If such welfare is to be funded, people need to work<br />

more taxable hours, especially bearing in mind that Sweden is a<br />

country with one of the oldest populations. <strong>The</strong> report stresses the<br />

importance of making use of the unexploited manpower potential<br />

already in Sweden, meaning amongst youngsters, older people and<br />

immigrants. <strong>The</strong>re is also a potential labour supply among the<br />

disabled and women, groups whose level of employment is below<br />

the average, despite the fact that Sweden has a high proportion of<br />

women in work. Another challenge will consist in achieving an<br />

extensive supply of labour whilst ensuring that those in work<br />

continually upgrade their skills.<br />

<strong>The</strong> report suggests that the future policy in Sweden should focus<br />

more on measures and changes that can help to improve the labour<br />

supply.<br />

A project for developing targeting and<br />

results-oriented management<br />

Sweden’s network of employment offices is making great efforts to<br />

develop and improve its working methods and services. One of the<br />

aims is to achieve a closer correspondence between the planning of<br />

activities and their successful outcome.<br />

Targeting and results-oriented management entails setting up a chain<br />

whereby the Government and Parliament (Riksdag) set targets for the<br />

employment offices via the central AMS (Employment Service),<br />

which breaks down the objectives and distributes the respective<br />

resources to regional county labour boards. <strong>The</strong>se labour boards then<br />

break down the objectives and dispense the resources to local<br />

employment offices. <strong>The</strong> chain then goes all the way back again<br />

through the county labour boards, AMS, and then the Government<br />

and Parliament.<br />

Within this chain, it is the actual job mediation work done by local<br />

employment offices that is decisive in determining outcomes and<br />

whether the assignment handed down by the Government and<br />

Parliament can be fulfilled. Consequently, the development work is<br />

geared towards improving the everyday work done by local<br />

employment offices and the operational planning of activities<br />

(including follow-up). At the same time, the focus is on the mediation<br />

organisation’s three core tasks: matching, training and activating.<br />

In a major trial, a model for operational planning is now being<br />

tested in which the manager and staff at the local employment office<br />

engage in dialogue to decide on the operational goals and the levels<br />

at which the targets are to be set. <strong>The</strong> operational targets<br />

(“objectives to meet”) must describe specific activities which have to<br />

be implemented by the individual employment offices if the<br />

objectives are to be reached.<br />

<strong>The</strong> follow-up must take the form of a dialogue between the<br />

manager and the team, to take place every fortnight. <strong>The</strong> follow-up<br />

should emphasise any positive results, but also examine anything<br />

that did not go as well and ascertain where improvements need to<br />

be made. <strong>The</strong> issues tackled may include skills development or<br />

methods.<br />

<strong>The</strong> county labour boards will also be obliged to enter into a<br />

dialogue at least once a month with the heads of the employment<br />

offices in their respective county to discuss specific efforts and the<br />

direction in which the plans for continuing efforts should point.<br />

Furthermore, every quarter the director-general must have a<br />

follow-up meeting with each county labour board manager.<br />

In the long run, job mediation is developed further through<br />

dialogue between management and staff regarding operational<br />

activities. That dialogue becomes a focus of the ensuing activities<br />

and a natural forum for discussing priorities, skills development,<br />

organisational issues and so on. <strong>The</strong> staff gain greater influence<br />

over the centre’s activities and greater demands are made on<br />

management to steer the dialogue in a direction that will focus it on<br />

specific topical issues.<br />

24 Spring 2003 | European Employment Observatory Review

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