Memorandum	S2016/01236/SF
29 July 2016

Ministry of Health and Social Affairs Stockholm, Sweden

I           GENERAL PROVISIONS

A.                  General information

Social Insurance Code (2010:110), entered into force 1 January 2011

Health and Medical Services act (1982:763)

Swedish Unemployment Insurance Act (1997:238)

B.                Benefits

PRICE BASE AMOUNT

During the period to which this report refers, the price base amount, by which several benefits under the Swedish social security system are calculated, was as follows.

Year   Price base amount Increased price base amount

2015     SEK 44,500                SEK 45,400

2016    SEK 44,300                SEK 45,200

The time base on which the benefits and the wage of the standard beneficiary are calculated in this report, is 2015.

II         MEDICAL CARE

Article 9

All persons registered as residents in Sweden are covered by the public medical insurance according to the provisions of the Health and Medical Service Act.

Article 10

PHARMACEUTICALS

The maximum amount that a person needs to pay within a 12-month period for prescribed pharmaceuticals is SEK 2 200,800 (2016).

From January 1 2016, pharmaceuticals included in the cost threshold are free for children under 18 years.

MEDICAL SERVICES

Prices in healthcare                                    primary care                         specialist care

Price per doctor's visit (outpatient)   SEK 100-300                SEK 200-350

Maximum price 12 months, 2016        SEK 1 100                     SEK 1 100

Maximum price 24 hours (inpatient) SEK 100                       SEK 100

It is the county councils in Sweden that decide the different fees for healthcare. How much the patient must pay for doctors' visits - the 'patient fee' - thus depends on where the patient seeks health care. A patient will therefore pay different fees in the different county councils.

The high-cost threshold that a person needs to pay within a 12-month period for outpatient medical services is laid down by the central government and amounts to SEK 1 100.

If a patient is admitted to hospital, the patient will pay a daily fee which may be a maximum of SEK 100.

Maternity care and preventive child health care is free of charge in all county councils in Sweden. Costs of drugs during pregnancy are subject to the general regulatory framework of pharmaceuticals. There are no special rules regarding these costs.

DENTAL CARE

A new dental insurance is in effect as of the 1 July 2008. The new insurance includes a high-cost protection scheme combined with a dental care voucher to encourage regular dental care check-ups. The compensation in the high-cost protection scheme is proposed to be, based on “reference prices”, 50 percent of the patients cost between SEK 3 000 and 15 000 and 85 percent of costs exceeding SEK 15 000.

Dental care for children and young people is free of cost up to the age of 20. Currently Sweden is in the process of progressively expanding this benefit. As of January 1 2017 dental care will be free up to the age of 21, on January 1 2018 it will be free up to the age of 22 and finally, as of January 1 2019 dental care will be free of cost up to the age of 23.

Part III SICKNESS BENEFIT

Article 15

All persons with incomes from gainful work are covered by this scheme (subject to certain minimum earnings requirements mentioned in the following).

Title II (Art.74)

A.  4,081,309[1]

B.  9 851 017[2]

C.  49 %

Article 16

Resource is had to the provisions in Article 65 for the calculation of the benefit.

Title I (Art. 65)

A. 

Sickness cash benefit (sjukpenning) in Sweden is not limited to a certain number of days. The benefit is paid in four different levels; ¼, ½, ¾ or a full benefit depending on the level of incapacity for work in the actual case.

The waiting period for an employed person is one day. Self-employed may choose from a waiting period of 7, 14, 30, 60 or 90 days. The employer pays sick pay (sjuklön) as from the 2^nd up to the 14^th day of illness at 80 % of the wages. The Swedish Social Insurance Agency (Försäkringskassan) pays sickness cash benefit as from the 15^th day in a period of illness.

In order to receive sickness cash benefit the person must be covered by the work-related insurance and have an income exceeding 24 % of the price base amount, approximately SEK 10, 600 per year, and be registered with the Swedish Social Insurance Agency.

Sickness cash benefit amounts to 80 % of the income qualifying for sickness cash benefit[3] (sjukpenninggrundande inkomst, SGI) multiplied by 0.97. The sickness cash benefit is paid up to a ceiling of 7.5 times the price base amount. Thus the maximum income qualifying for sickness cash benefit was SEK 333,750 in year 2015 (SEK 332,250 2016).

Sickness cash benefit at the equivalent of 80 % x 0,97 x the income qualifying for sickness cash benefit can be paid for at most 364 days during a 450 day period. This period is called the frame period.

If the illness continues after 364 days, the insured person is entitled extended sickness cash benefit (sjukpenning på fortsättningsnivå). Extended sickness cash benefit is about 75 % of a person’s earnings (income qualifying for sickness cash benefit x 0.75 x 0.97).

If the insured person has a serious illness, he or she is entitled continued sickness cash benefit (fler dagar med sjukpenning på normalnivå). There is no time limit for how long continued sickness cash benefit can be paid. The compensation is the same as during the first 364 days (about 80%).

C.   

Income and family allowance

C.  Income for standard beneficiary[4]                                            SEK   337,200

Total income:                                                                           SEK   364,200                  

Title II (Art. 65)

D. SEK 333,750 x 0,8 x 0.97 (for the first 364 days)               SEK   258,990

E. Child allowance for two children                                        SEK     27,000

F. Child allowance for two children                                        SEK     27,000

G. D+F as a percentage of C+E                                                                    78      

Title V (Art. 65)

The same provisions apply for both men and women. Please see calculations above.

IV        UNEMPLOYMENT BENEFIT

Article 20

A job seeker is entitled to benefits in case of unemployment when he or she is fit for work and unimpeded from undertaking work on behalf of an employer for at least 3 hours each working-day and for at least 17 hours each week on average,  is prepared to accept an offer of suitable work during periods for which no notice of an impediment accepted by the Unemployment Insurance Fund is given by the claimant, is registered as a job seeker at the Public Employment Service in accordance with the procedure prescribed by the Government or by the public authority appointed by the Government, participates in the forming of an individual scheme of action in consultation with the Public Employment Service and actively seeks suitable work without obtaining such work.

Article 21

1. Sub-paragraph (a) of Article 21 offers recourse.
2. All persons employed or self-employed are covered by the Unemployment Insurance Scheme. In order to be covered by the income-related part of the Unemployment Insurance Scheme, the employed or self-employed person additionally needs to have been a member of an Unemployment Insurance Fund for a minimum period of 12 months. Membership is voluntary.
3. In December 31^st 2015 the labor force, reduced by those employed less than 19 h/week (not the target group for benefit), totaled 4,850,100[5]. The unemployment insurance funds had 3,533,009 [6] members in December 31^st 2015. The share of the labor force covered by the income-related Unemployment Insurance Scheme was 72.8 per cent.

Article 22

The provisions of Article 65 offer recourse for the calculation of unemployment benefits.

Title I under Article 65

The unemployment benefit equals 80 per cent of the claimant’s earnings during the first 200 days of benefits, thereafter 70 per cent for the rest of the period. The benefit is subject to a maximum limit set by the Government; at present, the maximum daily rate amounts to SEK 910 for the first 100 days and thereafter to SEK 760.

C.   Income for standard beneficiary                                     SEK 337,200                                     

E.   Child allowance for two children:                                  SEK   27,000

Total income:                                                                         SEK 364,200

Title II under Article 65

D    Unemployment benefit beneficiary                               SEK 212,600[7]

E.    Child allowance for two children                                   SEK   27,000

F.    Child allowance for two children                                   SEK   27,000

G    D+F as a percentage of C+E                                                          66             

Article 23

An unemployed person is entitled to benefits according to the income-related scheme if, following that person’s last entry into the Unemployment Insurance Fund, the person has been a member of such a fund for at least 12 months and during that time has also worked to the extent necessary to fulfill a work-condition. The work-condition is attained if the unemployed person, within a frame-period of 12 months prior to unemployment, has performed gainful work for a minimum of 80 hours per calendar month for at least 6 months, alternatively has performed gainful work for at least 480 hours during a consecutive period of 6 calendar months and worked a minimum of 50 hours each of those 6 months.

Gainful work also refers to periods when the claimant has had annual leave with holiday pay, or has been on leave with fully or partially retained pay for reasons other than illness, such as service in accordance with the National Total Defense Service Act or the birth of a child, or has received other benefits than pension owing to the termination of the employment (severance payment). Time which the claimant has completed service in accordance with the National Total Defense Service Act or has received parental benefits in accordance with the Social Insurance Code shall be equated with gainful work, although for no more than two calendar months in total concerning all the situations above.

The frame-period shall not include periods when the applicant has been prevented from working for specific reasons: documented illness, parental leave regarding care of an own child who has not yet reached the age of two or care of an adopted child for two years after the child’s arrival to the family, care of own child who has not yet reached the age of three or care of an adopted child for three years after the child’s arrival to the family under the condition that the claimant immediately before the leave had gainful work to the extent necessary to fulfill a work-condition, care of persons closely akin in case the claimant receives benefits according of the Social Security Code, assignment by the social services to care for a child according to the Social Services Act or Support and Service for the Disabled Act if the assignment is requested by the social services, and the applicant due to the extent of the assignment has been forced to refrain from work and the care has not been of a professional nature.

The frame-period shall neither include periods when the applicant has been prevented from working due to decisions according to the Infection Prevention Act or the Provisions Act, due to decisions of coercive care according to the Addiction Treatment Act or due to imprisonment within the criminal system, due to a completed full-time education which the applicant has completed after the age of 25 or which has been preceded by consecutive full-time work for a period of at least 5 months, or due to military training within the Swedish Defense Service.

When the frame-period is established, the time during which the applicant has accompanied his or her spouse in connection with his or her work abroad is disregarded, subject to the precondition that the spouse’s employer has its registered office in Sweden and that the pay is disbursed from Sweden, he or she has performed work which the employer has financed via employment-support, has been entitled to benefits for newly arrived immigrants, has received parental-benefits according to the Social Security Act, or has done service according to the National Total Defense Act.

Periods that shall not be included in the frame-period may comprise no more than five years, except in the case where one spouse accompanies the other for work abroad in which case there is no time-limit. In case of long-term illness, the five year period can be extended to ten years.

Article 24

1. Unemployment benefits are paid for a maximum of 300 days, five days a week. For a claimant who on the last day of that period is parenting a child under the age of 18, benefits are paid for a total of 450 days.
2. The duration of the benefit does not vary with the length of the contribution-period. The provisions stated above are valid and equal for all unemployed persons.
3. Unemployment benefits may not be paid before the applicant has completed a waiting-period of seven days. During the waiting-period, days will only be counted if those days would have generated benefits had the waiting-period been terminated.
4. The Unemployment Insurance Board may issue regulations to limit the entitlement of seasonal workers, but has not yet done so.
5. In accordance with Article 68, sub-paragraphs (h) and (i): in order to be entitled to unemployment benefits, the unemployed person must be registered with, and comply with the regulations of the Public Employment Service. The unemployed person must, for example, participate in the forming of an individual plan of action, submit an activity report each month and actively seek suitable work. If the unemployed person does not comply with the regulations, the Public Employment Service will notify the Insurance Fund. The Insurance Fund will after an investigation into the matter reduce or suspend the unemployment benefits accordingly.

An unemployed person shall receive a warning if he or she

-       without acceptable reason fails to help prepare an individual action plan,

-       without acceptable reason fails to submit an activity report to the public employment service at the specified time,

-       without acceptable reason fails to visit or make contact with the public employment service or an ancillary agent at the agreed or otherwise decided time,

-       without acceptable reason fails to seek referred suitable work, or

-       fails to actively seek suitable work.

If any of these circumstances are repeated during the same benefit period, the unemployed person shall be suspended from the entitlement to benefits for one benefit day on the second occasion, for five benefit days on the third occasion and for ten benefit days on the fourth occasion. If such a circumstance occurs for a fifth time during the benefit period, the unemployed person is not entitled to unemployment benefits until he or she fulfils a new work condition.

An unemployed person may be suspended from the entitlement to benefits if he or she prolongs his or her time of unemployment. An unemployed person shall be suspended from the entitlement to benefits for five benefit days, if he or she without an acceptable reason

-       rejects suitable work offered,

-       through his or her conduct clearly prevents an employment position from coming to fruition, or

-       rejects a referral to a labour market policy programme for which activity support is provided.

If any of these circumstances are repeated either in connection to or during the same benefit period, the unemployed person shall be suspended from the entitlement to benefits for ten benefit days on the second occasion and for 45 benefit days on the third occasion. If such a circumstance occurs for a fourth time during the same benefit period, the unemployed person is not entitled to unemployment benefits until he or she fulfils a new work condition.

An unemployed person shall be suspended from entitlement to benefits for 45 benefit days if he or she has left his or her work without valid cause or if he or she has been suspended from work owing to improper conduct. The unemployed person shall also be suspended for 45 benefit days if he or she has left a labour market policy programme for which activity support is provided without valid cause or has acted in such a manner the public employment service has withdrawn a referral to such a programme.

If the work or the labour market policy programme would not have lasted for more than ten days, the unemployed person shall only be suspended from the entitlement to benefits for 20 benefit days. If this circumstance occurs for a second time, the unemployed person shall anew be suspended from entitlement to benefits for 45 or 20 benefit days. If the circumstance is repeated for a third time during the same benefit period, the unemployed person shall not be entitled to unemployment benefit until he or she fulfils a new work condition.

6.  Arbetsförmedlingen (The Public Employment Service) in Sweden has several different measures that can be used to assist unemployed persons to obtain a suitable new work. Those who participate in a labour market programme are generally entitled to activity support or development benefits from the Swedish Social Insurance Agency. This is some examples of the measures that are available for unemployed persons:

Travel grant

If you are applying for work, Arbetsförmedlingen can, in certain cases, pay for journeys to interviews and possible hotel costs. An unemployed person can receive compensation if he or she needs to travel to attend an interview in Sweden or in another part of the EU/EEA region. The travel shall be done in the most environmentally way and preferably by public transportation. The unemployed person has to be able to show a written invitation to the interview and a certificate after the interview from the employer.

Vocational introduction employment

An unemployed person that is under the age of 25 has a possibility to get vocational training. The conditions that have to be fulfilled are that the unemployed person doesn’t have vocational training and has been unemployed for at least three months. The unemployed person will receive a wage during the vocational training. The employer provides supervision or training, and receives financial compensation for this.

The Job and Development Programme

A person that have been unemployed for a long period of time and need help to get back into working life can participate in the Job and Development Programme. The unemployed person will then be able to partake of personalized measures to help him or her to gain an employment.

The Job and Development Programme initially entails the unemployed person and the Employment Officer going through what measures need to be taken in order to gain employment. This could be jobseeker activities with coaching or preparatory measures. Thereafter, the measures can be combined with for example work experience, occupational rehabilitation, employment training or assistance when starting an own business.

The Youth Job Programme

Young people can partake of special measures to find a job or begin with studies as quickly as possible. The Youth Job Programme is for those who are 16-24 years old. The programme initially entails the unemployed person and the Employment Officer going through what measures that is needed, and what activities the person can partake of to gain employment or begin studies. Some examples of activities are in-depth assessment, study guidance, vocational guidance, job seeking activities with coaching, assistance with starting a business and up to six months of education.

V         OLD AGE BENEFIT

Article 26

There is no fixed retirement age in the old-age pension system. It is possible to draw the income-related pension from the age of 61 and the guarantee pension from age 65.

Article 27

All persons with income from gainful employment are covered (including people drawing social security benefits) for the income-related pension. Persons considered to be resident might be entitled to guarantee pension if they do not receive a sufficient pension from the income-related pension system.

Article 28

Recourse is had to the provisions in Article 65 for the calculation of the benefit.

Title I

C.

The total yearly earnings of the employee concerned (standard beneficiary) for 2015 is estimated at SEK 337,200.

Income and family allowances

C. Annual income (2015 )	SEK	337,200
E. Basic child allowance for two children	SEK	27,000
Total income	SEK	364,200

Title III

D. Income related old-age pension for the husband	SEK	153,381
Guarantee pension for the wife	SEK	84,170
Total pension benefits	SEK	237,551
G. D as a percentage of C		65
E. Basic child allowance for two children	SEK	27,000
G. D+E as a percentage of C+E		73

                       

Title V

The same rules apply for men and women. See calculations above.

PART VII FAMILY BENEFIT

Article 40-42

The child allowance (allmänt barnbidrag) is a tax financed universal scheme covering all children resident in Sweden providing a flat-rate benefit and a supplement for large families. Thus, none of the points (a) or (b) under Article 41 are directly applicable. The benefit consists of periodically payments.

There is also a system of parental cash benefit (föräldrapenning) with earnings-related and flat-rate benefits.

Temporary parental cash benefit (tillfällig föräldrapenning) is paid, inter alia, if the child is ill and a parent has to refrain from work to take care of the child.

Single parents with custody of the child are guaranteed maintenance support (underhållsstöd) with a maximum of SEK 1,573 monthly from the state if the liable parent does not pay maintenance allowance according to civil law.

Child allowance is paid until the quarter the child is 16 years old. A similar allowance is given for children in upper secondary schools.

The child allowance is SEK 12,600 per child and year (SEK 1,050 per month).

In case of two or more children an additional benefit is paid amounting to SEK 1,800 per year (SEK 150 per month) for the second child, SEK 5,448 per year (SEK 454 per month) for the third child, SEK 12,120 per year (1,010 per month) for the fourth child and SEK 15,000 per year (SEK 1,250 per month) for the fifth and every following child.

Parental cash benefit is payable for a total of 480 days per child. 390 days are paid according to the sickness cash benefit rate, the minimum being SEK 250 per day, so called minimum guaranteed benefit. The remaining 90 days are paid according to the minimum amount, SEK 180 per day. The benefit may be granted at the earliest 60 days before expected confinement by the woman, and by either of the parents until the child is four years old. 96 days can be saved until the child turns twelve years old. Parents sharing custody are entitled to half of the total number of benefit days each. This right can be transferred to the other parent with the exceptions of 90 benefit days each, that are reserved for the mother respectively the father. The reserved days are paid according to sickness benefit rate. To receive parental cash benefit above SEK 250 per day, the parent must have been insured for sickness cash benefit above SEK 250 for at least 240 consecutive days before confinement. This requirement applies for the first 180 days of receiving the benefit but not for the remaining days.

The compensation level is the same as for sickness cash benefit. The factor 0.97 is multiplied by 80 % of the income qualifying for sickness cash benefit. Parental cash benefit is paid up to a ceiling of 10 times the price base amount.

Temporary parental cash benefit may be taken out for a maximum of 120 days per year until the child is 12 years old (the benefit can be extended in certain cases). This benefit can in some cases be paid for a child up to the age of 23. Temporary parental cash benefit can also be paid out to a father who abstains from work to help the mother after giving birth. Ten days are paid out and the benefit must be used within 60 days of the mother and child returning home from hospital after the birth. For adoptive parents, five days each are paid out.

The compensation level is the same as for sickness cash benefit. The factor 0.97 multiplied by 80 % of the income qualifying for sickness cash benefit. Temporary parental cash benefit is paid up to a ceiling of 7.5 times the price base amount.

The amount of parental cash benefit or temporary parental cash benefit the parent can benefit per day varies depending on which level of benefit the parent uses. Parental cash benefit can be paid in five different levels; 1/8, ¼, ½, ¾ or a full benefit.

Article 44

A.

The total yearly earnings of the employee concerned (standard beneficiary) for 2016 is estimated to SEK 337,200 (see footnote 4).

B.

SEK 25 775 000 000[8]/SEK 28 070 000 000[9]/ SEK 5 452 000 000[10]/       SEK 3 715 000 000[11]

C.

(i) 2 129 992[12]

(ii) 11,4[13]

PART VIII MATERNITY BENEFIT

Article 47-48

Female employees and self-employed are covered by the pregnancy benefit scheme and can be entitled to pregnancy benefit (graviditetspenning).

A woman is entitled to pregnancy benefit if she has a physically strenuous job and her work capacity has been reduced by at least a quarter due to pregnancy. She is also entitled to pregnancy benefit if she has a work which she may not perform due to risks in the working environment.

She can only receive pregnancy benefit if her employer cannot transfer her to lighter or less risky work.

Article 50-51

Title I (Article 65)

A woman receiving pregnancy benefit due to physically strenuous work can receive the benefit for at most 50 days, at the earliest from the 60^th day before the expected delivery date. If she has been prohibited from continuing her work due to risks in her working environment, she receives pregnancy benefit for every day the prohibition applies. However, pregnancy benefit is paid at the longest until and including the eleventh day before the expected delivery date.

The compensation level is the same as for sickness cash benefit. The factor 0.97 multiplied by 80 % of the income qualifying for sickness cash benefit. Pregnancy benefit is paid up to a ceiling of 7.5 times the price base amount.

The amount of pregnancy benefit depends on how much the work capacity of the woman has been reduced. The benefit is paid in four different levels; ¼, ½, ¾ or a full benefit.

IX INVALIDITY BENEFIT

Article 54

For entitlement to benefits at the minimum the level of incapacity for work is 25 %. The benefit is paid in four different levels; ¼, ½, ¾ or a full benefit. These provisions can be found in Chapter 33 of the Social Insurance Code.

Article 55

All residents are covered by the scheme for sickness compensation and activity compensation in the form of guaranteed compensation (sjukersättning och aktivitetsersättning i form av garantiersättning). All employees and self-employed with pensionable incomes are covered by the scheme for income-related sickness compensation and activity compensation (sjukersättning och aktivitetsersättning i form av inkomstrelaterad ersättning).

Article 56

Title I (Art. 65)

Resource is had to the provisions of Article 65 for calculation of the benefit. The total yearly earnings of the employee concerned (standard beneficiary) for 2016 is estimated to SEK 337,200 (see footnote 4).

Income-related sickness compensation and activity compensation are, as mentioned above, paid according to the degree of incapacity in four different levels. If the person has full incapacity for work the benefit is paid at about 64 % of the persons assumed future annual income up to the ceiling SEK 333,750 2015 (SEK 332,250 2016). This income is calculated as an average of the three highest gross annual incomes earned during a framework period (see under Article 57), which immediately preceded the year when the disability occurred. Maximum income-related sickness or activity compensation amounts to SEK 17,800 monthly 2015 (SEK 17,720 monthly 2016).

The benefit is based on pensionable incomes, i.e. incomes from gainful work and incomes from certain other social security schemes, such as compensation for the loss of income due to sickness, unemployment and parental leave.

Full sickness compensation in the form of guaranteed compensation is paid after 40 years of residence and amounts to SEK 8,900 per month (2016; SEK 8 860). For each year of residence less than 40, the amount is reduced by 1/40. The benefit is paid according to the degree of incapacity in four different levels (see above).

C.

The total yearly earnings of the employee concerned (standard beneficiary) is estimated to SEK 337,200 (see footnote 4).

Title II (Art. 65)

D.  Maximum yearly income-related sickness compensation

for a full benefit (SEK 333,750 x 0,64)                                     SEK 213,600

E.   Child allowance for two children                                              SEK   27,000

F.   Child allowance for two children                                              SEK   27,000

G. D+F as percentage of C+E                                                                          66

Title V

The same provisions apply for both men and women. Please see calculations above.

Article 57

At least one year with pensionable income within a frame period, immediately preceding the year when the disability occurred, need to be completed before entitlement to income-related sickness and activity compensation. This framework period depends on the age of the insured at the time the disability occurred.

5 years for a person 53 years of age or older,

6 years for a person from 50 to 52 years of age,

7 years for a person from 47 to 49 years of age,

8 years for a person 46 years of age or younger.

In order to qualify for sickness compensation in the form of guaranteed compensation (not income-related) a minimum of three years of residence in Sweden needs to be completed.

Article 58

Activity compensation is paid during the period of incapacity from 19 to 29 years of age. The benefit is always paid for a limited period not exceeding three years.

Sickness compensation is paid during the period of incapacity from 30 to 64 years of age. From the 1^st of July 2008 the benefit can only be granted for an indefinite period. At the age of 65, the benefit is replaced by old-age pension. Insured who the 1^st of July 2008 did receive time-limited sickness compensation are covered by transitional arrangements, according to which time-limited sickness compensation can be granted for additional periods of maximum of 18 months, but no longer than December 2012.

Diminution/withdrawal of benefit

The right to benefit is to be reassessed if, in the case of activity compensation, the work capacity has improved considerably. If the work capacity of the insured who receives sickness compensation has improved the right to benefit is reassessed. Depending of the degree of improvement of the work capacity of the insured determined at the reassessment, it is for instance possible to receive half benefit immediately after the period of ¾ of the benefit.

An insured who has been granted sickness compensation until further notice according to the rules applicable from the 1^st of July 2008 can continue to receive sickness compensation if a decision of diminution or withdrawal have been taken on the basis of an improved work capacity of the insured, without the insured has carried out any work. The benefit can be paid until the insured has bound a work corresponding to the improvement of the work capacity, but not for longer than six months. The purpose of this provision is to give the insured the possibility, during a certain period of time, to look for a work without immediately his or her income.

X         SURVIVOR'S BENEFIT

Article 60

Survivor’s pension based on death may be paid as children’s pension, adjustment pension/extended adjustment pension (and widow’s pension according to transitional rules, if the man and the woman were married December 31, 1989). The basis for calculating children’s pension and adjustment pension/extended adjustment pension is the pension capital of the deceased (for survivor’s pension). If the deceased was younger than 65, an assumed pension capital will also be calculated up to and including the year in which she or he would have reached the age of 64.

Article 62

Recourse is had to the provisions in Article 65 for the calculation of the benefit.

Title I

C.

The total yearly earnings of the employee concerned (standard beneficiary) for 2015 is estimated at SEK 337,200.

Income and family allowances

C. Annual income	SEK	337,200
E. Basic child allowance for two children	SEK	27,000
Total income	SEK	364,200

Title IV

D.

The following table refers to annual pension benefits for 2015 for a surviving woman or man and her or his two children, 13 and 15 years old.

Adjustment pension	SEK	76,793
Child pension	SEK	69,812
Total pension benefits	SEK	146,605
E. Basic child allowance for two children	SEK	27,000
F. D+E as a percentage of C and E (Total income)		48

XI        FINANCING

Contributions 2015

The general pension contribution amounts is 7 per cent of the income up to 7.5 times the income base amount (7.5 x SEK 58,100).

The following rates for the statutory employers' contributions apply for 2015. The contributions are calculated by the gross wage cost.

Old age pension	10.21 %
Survivor’s pension	1.17 %
Sickness insurance	4.35 %
Parental insurance	2.60 %
Work injury	0.30 %
Labour market	2.64 %
General salary contribution	10.15%
Total	31.42 %

The following rates for the statutory contributions for self-employed persons apply for 2015. The contributions are calculated by the gross income.

Old age pension	10.21 %
Survivor’s pension	1.17 %
Sickness insurance	4.44 %
Parental insurance	2.60 %
Work injury	0.30 %
Labour market	0.10 %
General salary contribution	10.15 %
Total	28.97 %

The basic security (residence-based benefits) is tax-financed.

A self-employed may choose from a 1, 14, 30, 60 or 90-day waiting period in the sickness insurance. The Swedish Social Insurance Agency has determined the contribution in the sickness insurance for 2016:

5,32 % at 1 day waiting

4,85 % at 14 day waiting

4,53 % at 30 day waiting

4,19 % at 60 day waiting

3,93 % at 90 day waiting

Comments to questions posed to Sweden in the conclusions of the committee of experts (Application of the European Code of Social Security and its protocol)

In the report and conclusions of the Committee of Experts on the Application of Conventions and Recommendations of the ILO on the annual reports concerning the application of the European Code of Social Security and its Protocol from 2016, in appendix XVIII, the Swedish Government is requested to provide additional information concerning the application of the European Code of Social Security and its Protocol.

I. Part III (Sickness benefit) and Part IX (Invalidity benefit)

“Recalling that sickness, invalidity and unemployment benefit schemes are subjected to the common labour market activation rules with a view to increase the employment rate, the Committee asks the Government to explain the present state of interaction between these insurance branches and the regime of sanctions applied in this respect.”

The Swedish Government would like to stress the importance of separating the sickness, invalidity and unemployment insurance. These insurance branches serve different types of functions and aims at providing social protection in different situations of reduced income from work. For detailed information, reference is made to part III (Sickness benefit), IV (Unemployment benefit) and IX (Invalidity benefit) of the report.

Furthermore, the government would like to point out that invalidity benefit is granted to all insured people that have a reduced working ability that can’t be expected to be increased in the foreseeable future. The invalidity benefit does not demand any income in order to be granted. Regarding the sickness cash benefit, the insured individual must have an income above 24 percent of the price base amount. In 2016, the price base amount was calculated to 44 300. Thus, in order to be granted sickness cash benefit, the insured individual most have a yearly income above 10 632 SEK (24 percent of 44 300).

Unemployed persons can receive activity grant when they take part in an individual introduction programme to return to the labour market. The Swedish Public Employment Service is the agency that is responsible for paying out the activity grant. During this period, the Sickness Benefit Qualifying Income (Sjukpenninggrundande inkomst, SGI) is protected which means that calculation for sickness cash benefit remains on the same level as it was before the person suffered from unemployment. When the activity grant is withdrawn, that is when individual introduction programme has ended, the insured individual still has a protected SGI. The SGI is thus not dependent on the reception of activity grant, nor is it lowered when the person first is granted activity grant. The calculation of the sickness cash benefit is made according to the SGI that was established when the person had an income from work. The same regulation applies for Development Allowances, which is a benefit similar to the Activity Grant and is given to persons that participate in a labour market introduction programme and are under the age of 25 and/or has not qualified for the unemployment insurance.  

II. Part IV (Unemployment benefit)

”Taking due note of this statement, the Committee nevertheless asks the Government to specify when it intends to prioritize the fulfilment of its international obligations under Part IV of the Code and what financial and other conditions, besides the 2015 Resolution to that end adopted by the Committee of Ministers on the application of the Code by Sweden, should come together for this to happen.”

The Swedish government has regarded the conclusions made by the committee and finds it to be of importance to follow our commitments.

As stated in last year’s annual report the Swedish government intend to strengthen the economic security and ability to adapt during unemployment.  Our first step was to raise the amount of daily cash benefits in both the basic and the income-related insurance. We are also investigating how we can further improve the unemployment insurance.

However, any additional changes in the unemployment benefits will result in additional expenditures on the state budget which has to be prioritized with regard to the current budgetary situation concerning, for instance, the migration crisis.

III. Part IX (Standards to be complied with by periodical payments)

”The Committee asks the Government to explain its policy of maintaining the purchasing power of the long-term benefits in payment and giving the pensioners a fair share of the growth of the national economy. Please include in the next detailed report full information and statistics on the adjustment of benefits under Parts V, IX and X for the period 2011–16 requested in the Report Form on the Code under Title VI of Article 65. ”

Since September 2015 the Swedish government has implemented two legislations that aimed at strengthening the economic conditions for pensioners. Firstly, the housing supplement for pensioners was increased from 93 percent to 95 percent of the housing costs. The housing supplement is paid out to pensioners with low pension income. The allowance is paid out to pensioners that are older than 65, that live by themselves with a monthly income from their pension that is lower than 13 000 SEK. If the pensioner live with a partner or is married, the income ceiling for the right to housing supplement is 9 000 SEK per month. The increase in housing supplement came into force 1 September 2015.

Secondly, the tax for the pensioners with low incomes was cut and harmonized to the same level as for income from gainful employment. The legislation entered into force 1 January 2016. The tax reduction intended to increase the purchasing power and the economic standard for pensioners with pension income. Many of those only have income from the guaranteed pension which is a part of the national retirement pension and is paid to those who have little or no pension-qualifying income during their lives.

Reference is made to part V of the report.

 

IV. Adequacy of social security benefits

“Consequently, the Government should be once again asked to explain the design and assess the effectiveness of the national system of the lowest or minimum benefits and allowances provided in compliance with the Code.”

First of all, the Swedish government would like to clarify that most of the benefits provided by the Swedish social security scheme are income related. For these insurances, e.g. sickness cash benefit, the insured person needs to have an income in order to be granted benefits. There are however some benefits that has minimum levels and does not require any income. Invalidity benefit, old age guaranteed pension, activity grant child allowances are examples of such benefits. As already mentioned the pensioners with the lowest incomes have gained from increased housing supplement and lowered taxation of pension income no matter their previous income from work. The benefit levels within the Activity Grant were also increased during 2015. The Swedish government would also like to point to the fact that Sweden does not have any state regulated minimum wages. The wages are instead determined by agreements between employers and trade unions. For more detailed discussion regarding minimum levels and social security for those with the lowest income, reference is made to the 48^th annual report on the Code of social security.