Sweden: Update: New Policy on Minimum Salary Requirements for Foreign Workers
Swedish authorities now allow taxable allowances and benefits received by foreign workers to be included in addition to their base pay as part of their salary for purposes of complying with minimum salary requirements in Sweden. Authorities have since clarified that daily living allowances may also be included, but only for intracompany transferees, and not for foreign workers hired directly in Sweden.
Daily living allowances paid to intracompany transferees may be included in their salary amount to meet minimum salary requirements, Swedish authorities have clarified. However, these allowances are not included in the salary amount of foreign workers hired directly in Sweden to meet the minimum salary requirements.
The Swedish immigration authorities recently changed their policy on salary requirements for foreign nationals working in Sweden. When calculating salaries for purposes of complying with minimum salary requirements, taxable allowances and benefits can be considered along with base pay. The cumulative salary amount must meet or exceed the minimum required salary for the occupation as determined by the Swedish Migration Board and the applicable employee trade union.
In preparing this alert, Fragomen worked closely with Bird & Bird Advokat KB (Sweden). The content herein is provided for informational purposes only.
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