Employing people

As soon as you employ one or more people in your company, that makes you an employer. This involves both responsibilities and obligations.

Taking people on may be your biggest investment. Start off by thinking about what you need help with. Do you need someone to help you out temporarily, or permanently? Do the tasks you require need qualified knowledge, or are they simpler than that? Once you're fully aware of what work you need done and what demands will be made of you, you can start recruiting.

Forms of employment

There are two forms of employment:

• permanent employment

• temporary employment.

Permanent employment is the same as "having a steady job".

 The main principle, according to the Swedish Employment Protection Act, is that employment contracts are valid until further notice. In practice, this means that employment is always permanent unless you agree something else. 

If the employment is to be temporary, a written contract stating this must exist.

Employment by the hour is not a form of employment

Employment by the hour isn't a form of employment. Employing staff by the hour simply means that you pay your staff by the hour. The employment itself must be permanent or temporary.

Taxes and charges

You have to register with the Swedish Tax Agency the first time you become an employer. 

When you've registered as an employer, you'll receive confirmation from the Swedish Tax Agency in the form of a registration certificate. The Swedish Tax Agency will then automatically send out the documents that you'll need in order to report and pay payroll tax and tax for your employees.

As an employer, you have to report and pay income tax and payroll tax for your employees. This money is paid to the Swedish Tax Agency once a month. You also have to submit statements to the Swedish Tax Agency every year. When you pay out salaries, you also have to give your employees written salary statements.

Diversity enriches companies

Employing staff with different backgrounds, experience of other parts of the world and a knowledge of several languages can help you when you want your company to grow beyond its local market. Here in Värmland, we have a number of strong industries which means that international companies operating on a global scale have chosen to establish a presence here. This means that if you have a small company in the same industry, you may experience competitive advantages when you personally or your staff are used to business cultures other than the traditional Swedish one and when they can write and speak several languages.

Diversity can also become part of your business concept and give you a unique position on the market.