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There are various reasons for terminating employment in Sweden. Valid reasons for dismissal are:
Unfair reasons for terminating employment in Sweden are classed as anything that lacks an ‘objective reason’. For example, termination due to sickness, old age, race, gender, and so on would be classed as unfair dismissal.
Resignation does not require a reason, but employees must provide the appropriate notice according to the law:
Your business can easily hire employees in Sweden without opening a local entity.
We handle local employment law, complex tax regulations, and international payroll in 185 countries worldwide. All you need to do is focus on your business.
Terminating employment in Sweden is considered difficult. To mitigate the risk of a mis-hiring, it is advised that employers offer employment through a fixed-term contract; fixed-term contracts usually end after 2 years, and give the employer (and employee) an opportunity to choose whether to extend for another 2 years.
Note that while there is no state-madated severance pay in Sweden, there may be severance pay required by the employment contract or collective bargaining agreement. In cases of termination, it may be in the company’s best interest to pay severance regardless of what the laws and practices are in the hiring location.