Swedish authorities are increasing the minimum salary level to SEK 27,360 per month, which affects foreign nationals coming to Sweden for work purposes.1  The median salary applicable at the time the work permit application is submitted will form the basis for the Migration Agency's (Migrationsverket) assessment.

The income requirement will enter into force on 1 November without any provisional regulations.  

Since the wage requirement is based on the current year's median wage, the amount will change annually.

WHY THIS MATTERS

This means that those who applied for a work permit before 1 November but receive their decision after this date must have a monthly salary of at least SEK 27,360 to be granted the work permit.  The increase may affect the costs of bringing foreign national workers into Sweden for some employers.

According to the Swedish Migration Agency's assessment, about 10-20 percent of those who apply for a work permit will be directly affected by the new regulations, as their salary does not reach the new requirement.2  The occupational groups that the requirement will have the greatest impact on, according to the Migration Agency, are service, health-care, sales, and forestry.

Background

Previously, a proposal for a new minimum salary requirement for work permit applications had been put forward.3

The proposal intended that the current minimum salary requirement of SEK 13,000 per month would be increased to SEK 26,560 per month.  The minimum salary level is supposed to correspond to 80 percent of the median wage in Sweden, which the National Central Bureau of Statistics (SCB) publishes annually.

The salary requirement is the same regardless of whether the labourer-migrant has a full-time or part-time job.

More Details

The Migration Agency will assess whether the salary requirement is met in both first-time and extension applications.  In applications for extensions, the Migration Agency will also assess whether the salary requirement has been met during the preceding period with a work permit.  It is the salary level that applies at the time of the decision that must be met during the subsequent work permit period.4


KPMG INSIGHTS

The introduction of the increased income requirement is expected, and it is in line with the proposals presented in the Tidö Agreement (Tidöavtalet).5  

Going forward, it is important to review who may be affected for future extension applications, as a salary below the required level may lead to the employee not being granted an extended work permit and thus having to leave the country.  

The current regulation that the employee's salary must correspond to the level in the applicable collective agreement, or to what is customary in the occupation or industry, will continue to apply in applications for work permits.

For more information or assistance, you are advised to consult with your qualified immigration counsel/adviser or a member of the Immigration services team with KPMG in Sweden (see the Contacts).


FOOTNOTES

1  See Migrationsverket (in Swedish) "Migrationsverket förbereder för höjt försörjningskrav för arbetstagare" (2023-09-18).   

2  Ibid.

3  See the article (in Swedish) "Ett höjt försörjningskrav för arbetskraftsinvandrare," a publication of the KPMG International member firm in Sweden.

4  See Migrationsverket (in English), ”How the increased maintenance requirement affects work permit applicants” (2023-10-06).

5  For more on the Tidö Agreement (Tidöavtalet), in English, see the Prime Minister's Office, "The Government’s political priorities" (3 November 2022) at: https://www.government.se/articles/2022/11/the-governments-political-priorities/ .

 

[SEK 1 = EUR 0.086 | SEK 1 = USD 0.092 | SEK 1 = GBP 0.075 | SEK 1 = NOK 0.99 (Source: www.xe.com)] 

RELATED RESOURCE

This article is excerpted, with permission, from “Increased income requirement for work permit applications,” a publication of the KPMG International member firm in Sweden.  For the Swedish-language version, click here.

* Please note the KPMG International member firm in the United States does not provide immigration or labour law services. However, KPMG Law LLP in Canada can assist clients with U.S. immigration matters.

 

The information contained in this newsletter was submitted by the KPMG International member firm in Sweden.

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GMS Flash Alert is a Global Mobility Services publication of the KPMG LLP Washington National Tax practice. The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

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