Your guide to support for Skellefteå’s laid-off Northvolt workers

The recent announcement that 1,000 Northvolt employees in Skellefteå are losing their jobs has sent shockwaves through the local community. While the news is undeniably challenging, Sweden’s well-established social safety nets and support systems offer a range of services designed to help those affected.

Northvolt employees in Skellefteå complete their shifts on the day following the announcement that 1,000 positions would be eliminated at the Skellefteå facility.

Northvolt employees in Skellefteå complete their shifts on the day following the announcement that 1,000 positions would be eliminated at the Skellefteå facility.

Foto: Pontus Lundahl/TT

Engelska2024-09-26 12:53

From unemployment benefits to job placement services, the Swedish system provides comprehensive support to assist workers in finding new opportunities and securing their livelihoods. (See fact box at bottom of article for advice for non-EU staff on work visas. We will update this advice.)

1. Unemployment benefits (A-kassa)

One of the first lines of financial support for employees who lose their jobs in Sweden is the unemployment insurance system, known as A-kassa. This benefit is available to individuals who meet certain conditions, such as having been employed for at least 12 months and being a member of an unemployment insurance fund.

  • Eligibility: To qualify for the maximum benefit, individuals must have been a member of an unemployment fund for at least 12 months. It’s important to note that most employees at Northvolt, as members of unions like IF Metall or Sveriges Ingenjörer are likely already part of an A-kassa, although it is possible to only be a union member and not the A-kassa. Refer to the relevant A-kassa to verify your membership there.
  • Payment: Unemployed individuals can receive up to 80% of their previous salary for the first 200 days, followed by a reduced percentage for the remaining time on unemployment benefits.
  • How to apply: Once officially laid off, workers should immediately apply for A-kassa through their unemployment fund. While the application process may take a few weeks, retroactive payments will cover the entire period of unemployment.
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SKELLEFTEÅ 20240924 Anställda går av sitt skift vid Northvolts fabrik i Skellefteå dagen efter beskedet att 1000 personer kommer få lämna Northvolts anläggning i Skellefteå. Foto: Pontus Lundahl / TT / Kod 10050

2. Income insurance

In addition to A-kassa, many employees, especially those belonging to professional unions such as Sveriges Ingenjörer or IF Metall, may also have access to income insurance. This additional insurance helps bridge the gap for higher earners who may otherwise be capped by a-kassa’s maximum limit. Most unions provide this. The conditions however may be different. For example, with IF Metall you need to have been a member for 12 months to benefit from the insurance. You can also be credited with time from another trade union if you change union during those 12 months.

  • Coverage: Income insurance ensures that laid-off workers can maintain a higher proportion of their previous income, sometimes up to 90%, depending on their union agreement.
  • How to access: To benefit from income insurance, workers need to file a claim through their union. This is typically a straightforward process for union members, and guidance is usually provided.
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Sweden’s Arbetsförmedlingen, the Swedish public employment service, plays a central role in helping laid-off workers transition into new employment.

3. Support from the Swedish Public Employment Service (Arbetsförmedlingen)

Sweden’s Arbetsförmedlingen, or the Swedish Public Employment Service, plays a central role in helping laid-off workers transition into new employment.

  • Registration: Workers should register with Arbetsförmedlingen as soon as possible. This enables them to access a range of services, including job placement assistance, retraining programs, and individual counseling.
  • Job matching: The agency helps match workers with new job opportunities across Sweden. Given the demand for skilled labor in sectors like green technology, engineering, and renewable energy, displaced Northvolt workers may find promising prospects in related fields.
  • Career coaching: Arbetsförmedlingen also offers career coaching, which includes help with CV writing, interview preparation, and job search strategies.

4. Training and retraining programs

Sweden’s strong emphasis on lifelong learning means there are numerous opportunities for workers to retrain or upskill after losing their jobs. With the country’s focus on innovation and green energy, Northvolt workers may consider leveraging their experience and skills to transition into new industries.

  • KOMVUX: The Komvux system, or adult education programs, provides free or subsidized courses for individuals looking to gain new qualifications. This can be an ideal option for workers who want to diversify their skills or transition into a different sector.
  • Yrkeshögskolan (Vocational Higher Education): Yrkeshögskolan offers specialized programs that are tailored to meet the needs of specific industries. Given Northvolt's focus on battery production, workers may be able to enroll in courses related to renewable energy, engineering, or manufacturing to enhance their job prospects.
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Sweden’s well-established social safety nets and support systems offer a range of services designed to help those affected.

5. Support from Trygghetsrådet (The Job Security Council)

Some Northvolt employees are covered by collective agreements that include the services of Trygghetsrådet, or the Job Security Council. This organization plays a crucial role in supporting laid-off workers by offering a variety of services designed to ease the transition into new employment. To receive the support, you must have been employed during 12 of the last 24 months, and have worked at least 16 hours a week on average per calendar month.

  • Career transition support: Trygghetsrådet provides personal career counseling, job placement services, and access to training programs. This helps workers identify their strengths, explore new career paths, and find suitable employment opportunities.
  • Financial support: In some cases, Trygghetsrådet can offer financial assistance to those pursuing further education or retraining to help them adapt to the changing labor market.

6. Relocation assistance

For some of the laid-off Northvolt employees, although Skellefteå municipality is very keen to keep people in the region, relocating to another region or even another country may present new job opportunities. Sweden offers a variety of relocation assistance programs, including subsidies for moving costs and housing.

7. Arbetsförmedlingen support: Through Arbetsförmedlingen, individuals may receive financial support to cover the costs of relocation if they find work in a different area. This can include assistance with moving expenses, temporary housing, and even support for family relocation.

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Losing your job is a worrying time, but try not to panic. You can seek mental health support to see you through the upheaval.

8. Mental health support

Losing a job can be emotionally challenging, and Sweden has a strong network of mental health services available to provide support. From counseling through primary healthcare to occupational health services provided by employers, workers can access mental health care to help them navigate this difficult time.

9. Företagsakuten – Business crisis support

In addition to direct support for laid-off employees, Sweden has introduced Företagsakuten, a national business crisis program. This initiative, primarily aimed at small businesses, could indirectly benefit some affected workers. For instance, employees who wish to start their own businesses or explore entrepreneurial options may receive funding, advice, and mentorship through this program.

10. The European Globalisation Adjustment Fund (EGF)

Another source of support could come from the European Globalisation Adjustment Fund (EGF), which helps workers who lose their jobs due to significant changes in global trade patterns or economic crises. Sweden has previously applied for EGF funding to support displaced workers. If Sweden applies for this support again, Northvolt employees may benefit from additional retraining, job placement services, and financial aid provided by the EGF.

11. Welcome House Skellefteå

This Skellefteå municipality advice service, both in real life and online, has just expanded its services to help those affected by the current situation. It's located in the Stadshus in the center of town.

Work visa support

If you’re on a work visa, consult with a labor or immigration lawyer. Losing your job can affect your right to stay in Sweden. Typically, you have three months to find new employment and submit a work permit application with your new employer. 

Consulting a lawyer ensures you understand your rights and can navigate the process properly. Legal advice may be costly, but it’s far more affordable now than if you're facing deportation later. Take action as soon as you know what's going on.