The employment contract should include the terms and conditions that apply to your employment, for example
- type of employment
- job description and possible title
- benefits
It is important that the employment contract is signed before you start your new job. The contract proves that you have a job and the conditions agreed between you and your employer. It is important in case you end up in a dispute with your employer.
The employer is obliged to inform you in writing of the terms and conditions of your employment no later than one month after the employment has started, in accordance with the Employment Protection Act (LAS).
If there is a collective agreement
If your employer has a collective agreement, or a so-called "hanging agreement", you have good basic protection with several benefits. A collective agreement applies to all employees at a workplace, regardless of whether they are unionized or not.
The collective agreement regulates all important issues and your employment contract can be kept short. This is regulated in the collective agreement, among other things:
- When and how wages are reviewed.
- Insurance, pensions and security agreements.
- Working hours, holidays, sick pay, overtime compensation, travel time, leave, notice periods, parental pay, etc.
This is what the employment contract should contain:
- Parties: Who is the employer and who is the employee?
- Position: What is your job title? Does it involve staff responsibilities? What are your duties? What is your area of responsibility?
- Entry: When do you start your employment?
- Type of employment: Is your employment on a probationary, fixed-term or permanent basis? The employment contract is valid until further notice unless otherwise agreed between you.
- Salary: What is your fixed monthly salary?
- Location: Where are you located geographically?
- Collective agreement: If there is a collective agreement, it should be stated which one applies. If there is no collective agreement, read more below.
- Non-compete clause: In the private sector, there is a specific collective agreement regulating the use of non-compete clauses. Despite this, non-compete clauses can have major consequences if you choose to end your employment. If your employer wants a non-compete clause, you should contact the Members' Advisory Service.
- Other benefits: Have you and your employer agreed that you will receive any other benefits not covered by the collective agreement? If so, this should also be regulated.
If there is no collective agreement
If the workplace does not have a collective agreement, the employment contract must capture all the terms and conditions normally contained in the collective agreement.
This is what the employment contract should contain:
- Parties: Who is the employer and who is the employee?
- Position: What is your position? Does it involve staff responsibilities? What are your duties? What is your area of responsibility?
- Entry: When do you start your employment?
- Type of employment: Is your employment on probation, fixed-term or until further notice? The employment contract is until further notice unless otherwise agreed between you.
- Location: Where are you located geographically?
- Salary: What is your fixed monthly cash salary? Do you have a variable salary? When is your salary reviewed? What is the annual salary level? When is the salary paid?
- Overtime : You should agree on what will happen if you work overtime. Will you be compensated in terms of time or money?
- Vacation: By law, you are entitled to 25 days of vacation per vacation year. For those who are not entitled to overtime pay, 30 days of vacation per vacation year apply. Advance vacation may be required if you have not yet earned vacation pay.
- Occupational pension: The company must affiliate you to the agreements applicable to your employment sector.
- Other benefits: Do you have a company car? Do you have a subsidized lunch, newspaper, telephone, etc.? If so, what are the conditions for these benefits?
- Business travel: What travel expenses are reimbursed by the employer? What allowances and rates apply to your travel within and outside Sweden? What car allowances apply to your business trips within Sweden? Are you entitled to travel time allowance?
- Non-compete clause: Non-compete clauses can have major consequences if you decide to leave your job. If your employer wants a non-compete clause, you should contact the Members' Advisory Service.
- Other: You should ensure that other terms of employment such as sick pay, notice periods, travel time allowance, working hours, etc. comply with any collective agreement.
We have produced a template agreement for employment in companies without a collective agreement. Read more and download here.