In response to high and enduring youth unemployment, large payroll tax cuts for young workers were implemented in two Swedish reforms in 2007 and 2009. This paper analyses the effects of the reforms on worker outcomes and firm performance in the retail industry, an important employer of young...

This paper examines the effects of collectively agreed increases in real minimum wages on employment transitions and hours among manual workers in the Swedish retail sector over the period 2001-05. The findings indicate that increases in real minimum wages are associated with more separations,...

Swedish minimum wages are not regulated by law, but subject to bargaining between employers and trade unions and form part of collective agreements. This paper provides an overview of the Swedish minimum wage system, its characteristics and effects on employment and wages, and also discusses the...