A minimum-wage directive could undermine the Nordic model

German Bender, Anders Kjellberg

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Abstract

The proposed European Union directive on minimum wages has met strong criticism in Scandinavia. But up to now the debate has lacked specific instances of what statutory minimum wages would mean for the Swedish labour market. A key feature of the Swedish industrial-relations system is that unions and employers regulate most aspects of the labour market through collective agreements. The Swedish-or rather Nordic-model has repeatedly shown its vitality, solving difficult problems and contributing to high employment and wage growth, while largely avoiding government intervention. This model is threatened by the envisaged EU minimum-wage legislation.
Original languageEnglish
Number of pages5
Specialist publicationSocial Europe
PublisherSocial Europe Publishing & Consulting GmbH
Publication statusPublished - 2021 Jul 13

Subject classification (UKÄ)

  • Sociology (excluding Social Work, Social Psychology and Social Anthropology)

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