The new Act on Whistle-blower Protection entered into force on 1 July 2017. The new Act gives increased protection to employees and contractors in certain private enterprises that are to some extent publicly funded.
The Swedish Labour Court found that a salesperson in breach of a non-competition clause should be subject to interim security measures in order to uphold his contractual obligation. The Court ruled that the salesperson would be liable to pay a penalty of SEK 500,000 for any further breaches of the non-competition clause.
The new Act on posting of Workers entered into force 1 June 2017. The new Act gives trade unions increased rights for industrial actions.
The proposed changes to the Swedish legislation are necessary to implement an EU directive on the protection of trade secrets. The Proposal further suggests, independently of the EU directive, a provision on criminal liability for individuals who attack a trade secret to which they have lawful access due to employment or other similar grounds.
The Swedish Labour Court found that an accountant had to pay compensation to a former employer due to a breach of a non-competition clause in his contract of employment. The clause was not deemed unreasonable considering the accountant’s transfer of his business to the employer at the time of employment as well as the limited interruption the clause had on the accountant’s future ability to earn income.
The Swedish Labour Court found that an employer was not obligated to adjust the work duties of a firefighter with health issues nor give him a transfer within the workplace. The employer’s requirement for all firefighters to perform certain work duties was not unreasonable, thus giving the employer the right to terminate the employment contract.
A CEO of a company received an annual bonus based on the company’s financial result on top of his monthly salary. Even though the vacation pay was not specified when the bonuses were paid out, it was deemed to be included and the CEO had therefore received the vacation pay he was entitled to.
L&E Global’s 2017 Global Handbook | Employees vs Independent Contractors
An exit agreement with an employee had previously been declared invalid. The Swedish Labour Court found that the employee was entitled to salary during the period between when she had left the employment, until the time when the exit agreement was declared invalid.
The Swedish Labour Court found that two employees and their new employer had intentionally violated the Copyright Act and the Act on the Protection of Trade Secrets. They were jointly liable to pay damages amounting to SEK 4,000,000 to the former employer for transferring databases that constituted trade secrets and copyrighted material to the new employer.