Have low-paid jobs increased in the Swedish labor market? Defining low pay in the context of the Nordic model

Johan Alfonsson, Tomas Berglund and Patrik Vulkan
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Johan Alfonsson: School of Education, Humanities and Social Sciences, Halmstad University, Sweden; Department of Sociology and Work Science, University of Gothenburg, Sweden
Patrik Vulkan: Department of Sociology and Work Science, University of Gothenburg, Sweden

Economic and Industrial Democracy, 2024, vol. 45, issue 4, 1090-1111

Abstract: Can the Nordic wage-setting model, where social partners decide wages through collective agreements, counteract a growing low-paid sector? This article tests four definitions of low-paid jobs to analyze whether this sector has grown for the period 2005–2020 in Sweden. Despite policy changes pointing towards growth, all definitions show a slight decrease in low-paid jobs over time. The authors argue that the industrial relations system, with the aim of keeping the industry wage increases in check to aid export competitiveness, also sets a uniform level wage that limits low-paid jobs. It is also found that low pay in the Swedish setting is partly a result of working less than full-time or having unstable employment, and service workers and those with low education are becoming increasingly common in this position.

Keywords: Low-paid jobs; Nordic model; wage bargaining; wage polarization (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:sae:ecoind:v:45:y:2024:i:4:p:1090-1111

DOI: 10.1177/0143831X231215597

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