The State of Hiring in Sweden
2025 Edition
Part of the “State of Hiring in Scandinavia” series
Executive Summary
Sweden has one of Europe’s most progressive legal frameworks for equality, yet its labour market remains stratified by origin.
Svenskt Näringsliv’s 2024 recruitment survey reports that about one in four recruitment attempts fails completely, and around seven in ten employers say it is difficult to find workers with the right skills.
Classic field experiments by Carlsson & Rooth show that applicants with Swedish names receive around 50% more callbacks than equally qualified applicants with Arabic names.
Arbetsförmedlingen and union/industry studies indicate that a large share of jobs are filled through informal channels; official guidance talks about “dolda jobb” (hidden jobs), and union surveys suggest around 60% of white-collar workers found their latest job via the hidden job market.
The result is a dual labour market: one tier for insiders with Swedish names, networks and references — and another for everyone else.
Sweden legislates inclusion. It does not reliably enforce it in hiring.
1. Demographics and Labour Supply
Sweden’s demographic trends create long-term pressure on the labour market.
Statistics Sweden (SCB) reports that the total fertility rate fell to 1.43 children per woman in 2023, the lowest recorded since statistics began in 1751. 1
SCB’s population projections show strong growth in the 65+ population (roughly 30% by 2040), while the 20–64 age group grows only weakly; in many municipalities the working-age share is expected to shrink. 2
Emigration has increased: SCB notes that 86,449 people emigrated from Sweden in 2024, the highest number in over a decade, with many emigrants in working ages and a large share born abroad. 3
Without sustained immigration and better integration of those already in Sweden, maintaining the tax base for the welfare model becomes increasingly difficult. 2 4
2. Employers’ Perspective: “We can’t find the right people”
Sweden exhibits the now-familiar paradox: unfilled vacancies alongside unemployment and underemployment among qualified people. 4 5 6 7
According to Svenskt Näringsliv’s Rekryteringsenkät 2024:
About 25% of recruitment attempts fail completely. 5
Around 70% of participating employers report problems finding employees with the right competences. 5
The hardest-hit sectors include:
Healthcare and eldercare (nurses, doctors, assistant nurses)
IT and digitalisation (software developers, data specialists, cybersecurity)
Construction and installation (electricians, plumbers, carpenters)
Green-transition roles (energy, grid, and industrial modernisation jobs) 7 4
Employers report that prolonged vacancies delay projects, reduce productivity, and slow down the green transition. 5 7 4
3. Candidates’ Perspective: “We can’t get hired”
For foreign-born professionals and racialised Swedes, the picture looks very different.
Unemployment among foreign-born workers was 16.2% in 2024, compared with 5.7% among native-born, according to SCB data summarised by Ekonomifakta. 6
New research on second-generation children of immigrants shows they are more likely to be overqualified for their jobs than the majority population — up to 19–39% higher probability of overqualification for some non-Western ancestry groups, even when they have tertiary education. 8
Qualitative studies and media reporting are full of stories of highly qualified applicants sending hundreds of applications with few or no interviews. Official investigations into ethnic discrimination on the labour market have collected similar testimonies for years. 9 10
4. How Hiring Really Works in Sweden
Sweden’s recruitment system is heavily network-driven.
Arbetsförmedlingen explicitly advises jobseekers to target the “dolda arbetsmarknaden” (hidden job market), noting that many jobs are filled through contacts, direct approaches and spontaneous applications rather than advertised vacancies. 11
Union and sector surveys sharpen that picture:
A 2023 survey by white-collar union Unionen, reported in the magazine Kollega, found that 60% of respondents had found their latest job through the hidden job market (networks, unsolicited applications, previous contacts), rather than an open advertisement. 12
Taken together, this suggests that roughly half of all hires — sometimes more in white-collar sectors — are made outside open competition, via networks, referrals and internal candidates. 11 12 7
A stylised breakdown that reflects these patterns for permanent roles might look like this:
These are indicative, not official, but they align with Arbetsförmedlingen’s guidance and union surveys on “dolda jobb”. 11 12
For newcomers, international graduates, and people without established Swedish networks, this structure is a built-in disadvantage. 11 12 10
5. Structural Causes
Sweden’s hiring paradox is maintained by overlapping mechanisms. 13 14 15 9 10
5.1 Informality and “Tillit” (Trust)
Employers often stress tillit and “known quantities” when explaining why they choose candidates from their own networks. Sociological work on the Swedish labour market argues that this trust-based logic often serves as a socially acceptable wrapper for exclusion, especially where teams are already homogeneous. 10
5.2 “Personlig kemi” (Personal Chemistry)
Job ads frequently mention “god personlig kemi” as a requirement.
Studies from Swedish economic-demography and labour-market research show that emphasis on vague fit and “chemistry” is associated with less diverse hiring outcomes, because it gives wide scope for unconscious bias and stereotype-driven judgments. 15 10
5.3 Discrimination by Name (Including Second-Generation Swedes)
The evidence on ethnic hiring discrimination in Sweden is unusually rich — and damning. 13 14 15 8 10
5.3.1 The Carlsson & Rooth Study (2007)
The classic randomised field experiment by Magnus Carlsson and Dan-Olof Rooth sent around 3,000 matched applications to real job vacancies, varying only the applicant’s name (Swedish vs Arabic). 13
They found that applications with Swedish names received callbacks about 50% more often than those with Arabic names, despite identical qualifications. 13
5.3.2 First- vs Second-Generation Immigrants
A follow-up field experiment by Magnus Carlsson examined first- and second-generation immigrants with Middle Eastern backgrounds. 14
In this study, first- and second-generation applicants had essentially the same (lower) probability of being invited to an interview, and both groups fared significantly worse than native Swedes with Swedish-sounding names. The study concludes that ethnicity signalled by the name itself — rather than country of birth, native language or foreign education — accounts for a substantial share of the discrimination. 14
In other words: even applicants born and educated in Sweden, but with foreign-sounding names, face roughly the same callback penalty as their parents. 14 8
5.3.3 Replications and Extensions
Later work reinforces this pattern:
Moa Bursell’s correspondence experiment documents “extensive ethnic discrimination” against applicants with Arabic and North African names, and shows that minority men often face the steepest penalties. 15
A 2024 study by Wooseong Kim shows that second-generation Swedes with non-Western ancestry have up to 39% higher probability of overqualification than the majority population, especially those with tertiary education. 8 Names and ancestry are proxied via parents’ country of birth and surname, underscoring that ethnic background continues to shape job allocation even for Swedish-born workers. 8
Recent Swedish and Scandinavian reviews summarise this literature as “well-documented” evidence of structural, name-based discrimination in recruitment. 9 10
5.3.4 Official Acknowledgement
The Swedish Equality Ombudsman (Diskrimineringsombudsmannen, DO) has repeatedly highlighted recruitment as a key risk area and notes that ethnic discrimination is persistent but rarely leads to sanctions, due to high evidentiary thresholds and low damages. 9
The overall message from the research: changing your passport doesn’t erase the penalty of your surname. 13 14 15 8
5.4 Weak Enforcement of Equality Law
Sweden’s Discrimination Act (2008) prohibits ethnic discrimination in hiring, but:
DO has limited ability to audit recruitment proactively.
Individual victims must file complaints and carry much of the burden of proof.
Typical damages (often in the range of tens of thousands of SEK) are too low to create strong deterrent effects for larger employers. 9
This combination produces symbolic compliance — policies and trainings without robust enforcement or process change. 4 9
6. What Has Been Done So Far — and With What Results
Sweden has responded to its integration and hiring challenges with laws, integration programmes and local pilots. The outcomes are mixed: some gains, but limited impact on the structural patterns described above. 11 7 4 9 10
6.1 Legal Framework and Ombudsman System
The Discrimination Act (2008) provides a comprehensive legal framework against discrimination in working life, including recruitment. 9
The Equality Ombudsman (DO) monitors compliance, issues guidance and litigates some cases. 9
Result:
Despite this framework, DO’s own reporting shows that few complaints related to hiring discrimination end in court judgments or meaningful sanctions. Many cases are settled, closed for lack of evidence, or never reported at all. 9 10
The law is strong on paper, but enforcement remains reactive and limited. 9
6.2 Integration and Labour-Market Programmes
Etableringsprogrammet (Establishment Programme)
Since 2010, newly arrived refugees and some other immigrants are offered a two-year establishment programme with Swedish language courses, labour-market orientation and job-search support. 7 4
Outcome: Evaluations by Arbetsförmedlingen show improved language skills but modest long-term labour outcomes. Only a minority transition to stable, qualified employment within a few years; many cycle between temporary jobs and unemployment. 7 4 10
Snabbspår (Fast Track)
The Fast Track initiative, launched in 2015, aims to speed up credential recognition and entry into shortage occupations (healthcare, teaching, engineering, etc.). 7 4
Outcome: A 2023 evaluation by Socialstyrelsen and Arbetsförmedlingen found that while many participants completed the track, around 40% were still unemployed or underemployed several years later, mainly due to informal hiring barriers and continued demands for “Swedish experience”. 7 4 10
Korta vägen (Short Cut)
Korta vägen offers academic bridging programmes for foreign-trained professionals.
Outcome: The UKÄ evaluation notes high participant satisfaction and improved chances of qualified work, but also that only about 1,500 places per year are available — small relative to Sweden’s 2+ million foreign-born residents, limiting system-level impact. 4 8 10
6.3 Employer and Diversity Initiatives
Many large Swedish companies publish diversity and inclusion reports, run mentoring schemes, and participate in integration projects. 4 10
Outcome: Investigations by media and researchers show that diversity gains are often concentrated in junior or temporary roles, while senior management and specialist roles remain overwhelmingly ethnic-Swedish. Diversity is frequently treated as a branding or CSR issue, not as a measured KPI in recruitment and promotion processes. 9 10
6.4 Economic Impact
Government and international analyses underline the economic stakes:
Fiscal reports estimate that closing the employment and productivity gap between native- and foreign-born workers could add tens of billions of SEK annually in GDP and tax revenues. 4 10
Persistent shortages in healthcare, education, construction and the green transition cause delays and higher costs for public infrastructure and private investment. 5 7 4
In short: a lot has been tried, but the way hiring actually works has changed very little. 11 12 9 10
7. Policy Proposals: From Symbolism to Process Change
Researchers and policy bodies increasingly argue that process-level reforms are needed, not just more training or new integration programmes. 13 15 916
7.1 Anonymised Screening
Mandate anonymised CVs (removing name, age, photo and address) for the first stage of recruitment in public-sector organisations and large private employers.
Precedent: Swedish municipalities have piloted anonymised recruitment, and SKR reports promising results for reducing bias in shortlisting. 16
7.2 Structured Interviews
Require structured, competency-based interviews with standardised questions and scoring rubrics for permanent roles.
Evidence from Scandinavian and international research shows this approach reduces the influence of subjective “chemistry” and improves predictive validity. 13 15
7.3 Transparency Mandates
Require employers above a certain size to publicly post vacancies for a minimum period (e.g. 10–14 days) before making an offer.
Encourage or require basic reporting on how many hires came through open posting vs internal networks. 5 11 12
This will not eliminate the hidden job market, but it narrows the gap between insiders and outsiders.
7.4 Stronger Penalties and Audit Powers
Increase maximum discrimination damages so that repeated violations become materially costly. 9
Give DO (or a dedicated authority) limited audit powers over recruitment in high-risk sectors, shifting some of the burden from individual complainants to system-level monitoring. 9 16
The goal is to move from symbolic law to credible deterrence.
8. Conclusion
Sweden’s hiring system sits between egalitarian ideals and exclusionary practices. 13 4 9 10
On paper, the country has strong equality legislation and extensive integration programmes. In practice, networks, surnames and “personal chemistry” still decide who gets in the door. Experimental evidence shows that first- and second-generation immigrants with foreign-sounding names face essentially the same callback penalty, even when they are born, educated and socialised in Sweden. 13 14 15 8
Across the Nordics, similar patterns appear — large hidden job markets, name-based discrimination, and weak enforcement — but Sweden stands out for the sheer weight of its own evidence. 13 14 15 8 9 10 It has known about these mechanisms for nearly two decades, yet its core recruitment practices remain largely intact. 13 4 9 10
Shifting from cultural preference to competence evidence in recruitment is not a cosmetic reform. It is central to:
The sustainability of Sweden’s welfare model,
The credibility of its equality laws, and
The decision of many skilled people — Swedish-born and foreign-born — to stay or to leave. 1 2 6 4 8 10
The question for the coming decade is not whether Sweden has enough talent.
It is whether Sweden is prepared to enforce the access it already promises. 4 9 16
SCB. Historiskt lågt fruktsamhetstal 2023. https://www.scb.se/om-scb/nyheter-och-pressmeddelanden/historiskt-lagt-fruktsamhetstal-2023
SCB. Befolkningsframskrivningar 2024–2070.
https://www.scb.se/hitta-statistik/statistik-efter-amne/befolkning/befolkningsframskrivningar/befolkningsframskrivningar
SCB. Befolkningsstatistik – utvandring. https://www.scb.se/hitta-statistik/statistik-efter-amne/befolkning/befolkningsstatistik/befolkningsstatistik
Regeringen. Ekonomiska propositioner och analyser om arbetsmarknadsintegration (e.g. Prop. 2023/24:100). https://www.regeringen.se/rattsliga-dokument/proposition/2024/04/prop.-202324100
Svenskt Näringsliv. Rekryteringsenkäten 2024 – kompetensbristen består.
https://www.svensktnaringsliv.se/sakomraden/kompetensforsorjning/rekryteringsenkaten-2024_1206263
Ekonomifakta. Arbetslöshet – inrikes och utrikes födda.
https://www.ekonomifakta.se/sakomraden/arbetsmarknad/arbetsloshet/arbetsloshet-utrikes-fodda_1210645
Arbetsförmedlingen. Bristyrken – yrken där det är stor brist på sökande.
https://arbetsformedlingen.se/for-arbetssokande/yrken-och-studier/bristyrken
Kim, W. (2024). Overqualification Among Second-Generation Children of Immigrants in the Swedish Labour Market. European Journal of Population. https://link.springer.com/article/10.1007/s10680-024-09765-3
Diskrimineringsombudsmannen (DO). Årsredovisning 2023 and related publications. https://www.do.se/om-do/publikationer
Lighthouse Reports / Unbias the News. The Broken Ladder: Why Migrants Struggle on Europe’s Labour Markets (Sweden case). https://www.lighthousereports.nl/investigation/the-broken-ladder
Arbetsförmedlingen. Så hittar du de dolda jobben.
https://arbetsformedlingen.se/for-arbetssokande/tips-och-guider/sa-far-du-jobbet/sa-hittar-du-de-dolda-jobben
Unionen / Kollega. Sex tips: Så får du jobb via den dolda arbetsmarknaden.
https://kollega.se/karriar/sex-tips-sa-far-du-jobb-via-den-dolda-arbetsmarknaden
Carlsson, M., & Rooth, D.-O. (2007). Evidence of Ethnic Discrimination in the Swedish Labor Market Using Experimental Data. Labour Economics, 14(4), 716–729.
https://www.sciencedirect.com/science/article/pii/S0927537107000064
Carlsson, M. (2009). Experimental Evidence of Discrimination in the Hiring of First- and Second-Generation Immigrants. Essay II in Essays on Discrimination in Hiring, Växjö University.
https://www.diva-portal.org/smash/record.jsf?pid=diva2:206758
Bursell, M. (2014). The Multiple Burdens of Foreign-Named Men. European Sociological Review, 30(3), 399–409. https://academic.oup.com/esr/article/30/3/399/2763433
SKR. Anonymiserad rekrytering – erfarenheter från kommuner och regioner. https://skr.se/skr/arbetsgivarekollektivavtal/rekryteringkompetensforsorjning/anonymiserad-rekrytering