The government should work to cut wages in low paid jobs so that more new Swedes can get into the labour market, according to Swedish free market think tank Timbro.
Swedes born overseas are often in work, but not as often as Sweden-born citizens and Timbro has argued in a new report that high wages for jobs requiring little or no formal qualifications are a problem.
"More would have found work if there were jobs with lower wages than there are today," said Jenny von Bahr at WSP Analys & Strategi, the firm commissioned to compile the report.
According to von Bahr the reasoning has its basis in elementary economic theory - cut the price of something then you increase demand.
"The government has ignored this. They have had a one-sided focus on various reception measures," she said, referring to assistance offered to the jobless in the form of training and education in order to break into the labour market.
When asked if a person should be able to survive on their salary, she replied:
"You have to have your first job at some point. Integration increases if you get a job, even if your first is not really well paid," von Bahr said.
Lasse Thörn at the Swedish Trade Union Confederation (Landsorganisationen – LO) did not agree with Timbro's analysis.
"Lower incomes cut purchasing power. If employers have goods to produce they can manage it with the base level salaries that are in place today."
The migration minister Tobias Billström, integration minister Erik Ullenhag and labour market minister Hillevi Engström are on Monday engaged in a full-day seminar to discuss employment among overseas-born Swedes.
"More would have found work if there were jobs with lower wages than there are today," said Jenny von Bahr at WSP Analys & Strategi, the firm commissioned to compile the report.
According to von Bahr the reasoning has its basis in elementary economic theory - cut the price of something then you increase demand.
"The government has ignored this. They have had a one-sided focus on various reception measures," she said, referring to assistance offered to the jobless in the form of training and education in order to break into the labour market.
When asked if a person should be able to survive on their salary, she replied:
"You have to have your first job at some point. Integration increases if you get a job, even if your first is not really well paid," von Bahr said.
Lasse Thörn at the Swedish Trade Union Confederation (Landsorganisationen – LO) did not agree with Timbro's analysis.
"Lower incomes cut purchasing power. If employers have goods to produce they can manage it with the base level salaries that are in place today."
The migration minister Tobias Billström, integration minister Erik Ullenhag and labour market minister Hillevi Engström are on Monday engaged in a full-day seminar to discuss employment among overseas-born Swedes.
thelokal
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