Image
Breadcrumb

Corporate Democracy in Sweden: The Development from 1960 to Today

An overview of how corporate democracy in Sweden has evolved from the 1960s to the present, focusing on key reforms and their impact on working life.

The recently published article by Stefan Tengblad and Thomas Andersson (University of Skövde), found in the journal Economic and Industrial Democracy, examines the development of corporate democracy in Sweden from 1960 to 2020. By analyzing various reforms and work-life initiatives, such as the Co-determination Act, employee funds, and developing work organizations, the article highlights how Swedish workplaces have changed and how the power dynamics between employers and unions have evolved.

During the 1970s, a period marked by social and political changes, the Co-determination Act was introduced, giving trade unions increased insight and some influence in corporate decisions. This law, along with other reforms, has contributed to a cooperative climate that works well in many workplaces. The article emphasizes how this system can be likened to a valve in a pressure cooker, where union influence acts as a mechanism to release dissatisfaction, thereby preventing larger conflicts. This has resulted in Sweden having one of the lowest strike rates in the world, despite often demanding working conditions, particularly in the welfare sector and the private service sector.

The article also raises important questions about the long-term development of Swedish working life. During the 1980s, extensive programs for learning, new work organization, and the introduction of new technology were common. These programs aimed to develop both individual and organizational capacity and to promote a more engaging and productive work environment. Today, however, the focus seems to have shifted towards cost efficiency and performance measurement, often at the expense of learning and long-term development.

Tengblad and Andersson express concern that this change may lead to Swedish workplaces becoming less innovative and adaptable in the future. If working life does not offer sufficient opportunities for learning and development, it can negatively affect both the work environment and economic competitiveness. The question posed in the article is whether today's working life truly promotes the type of development needed to meet future challenges, or if the focus on short-term efficiency risks undermining the workplace's long-term sustainability and productivity.

The article provides valuable insight into how historical reforms have shaped Swedish working life and the challenges that lie ahead, and it challenges the reader to reflect on what is needed to create a working life that is not only efficient but also developing and sustainable for the future.

You can read the full article here.

Kommande Cranet-rapport om den svenska arbetslivsmodellen

Den 2 oktober kommer en ny Cranet-rapport att publiceras på vår OktobeHR-fest, som handlar om den svenska arbetslivsmodellen. Cranetundersökningen kommer att belysa fackliga relationer, belöningssystem och informationsflöden, med särskilt fokus på frågan om hur väl den svenska modellen står sig idag.