In a previous TaxNews (Sw) KPMG reported on a proposal for a new minimum salary requirement for work permit applications. The proposal means that the current minimum salary requirement of SEK 13,000 per month would be increased to SEK 26,560 per month. Minimum salary level will correspond to 80% of the median wage in Sweden, which the National Central Bureau of Statistics (SCB) publishes annually.

Since our previous TaxNews was published on this topic the minimum salary level has been increased to SEK 27 360 per month. Since the wage requirement is based on the current year's median wage, the amount will change annually. The median salary applicable at the time the application is submitted will form the basis for the Migration Agency's assessment.

The income requirement will enter into force on 1st of November without any provisional regulations. This means that those who applied for a work permit before the 1st of November but receive their decision after this date must have a monthly salary of at least SEK 27,360 to be granted a work permit.

According to the Swedish Migration Agency's assessment, about 10-20 percent of those who apply for a work permit will be directly affected by the new regulations, as their salary does not reach the new requirement. The occupational groups that the requirement will have the greatest impact on, according to the Migration Agency, are for example service, health care, sales and forestry.

The salary requirement is the same regardless of whether the labor migrant has a full-time or part-time job.

The Migration Agency will assess whether the salary requirement is met in both first-time and extension applications. In applications for extension, the Migration Agency will also assess whether the salary requirement has been met during the preceding period with a work permit. 

KPMG comment

The introduction of the increased income requirement is expected, and it is in line with the proposals presented in the Tidö Agreement. Going forward, it is important to review who may be affected for future extension applications, as a salary below the required level may lead to the employee not being granted an extended work permit and thus having to leave the country.  

The current regulation that the employee's salary must correspond to the level in the applicable collective agreement, or to what is customary in the occupation or industry, will continue to apply in applications for work permits.

Please feel free to contact us if you have any questions or would like to discuss..

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