Unemployment in Sweden persists in its upward trend
Sweden is currently grappling with a rise in unemployment, with the construction and private service industries bearing the brunt of the impact. According to the latest data from Sweden's Public Employment Service (Arbetsförmedlingen), the unemployment rate increased from 6.6% in June 2024 to 6.9% in June 2025 [1].
The economic downturn has taken a significant toll on both sectors, leading to job losses. The total number of unemployed people registered with the service was 336,000, an increase of 10,000 compared to the previous month, with 177,000 of those being women [1].
Lars Lindvall, head of the Public Employment Agency's department for analysis, attributes the current state of the labor market to both economic factors and structural issues. He also highlighted trade policy and the security situation as key factors affecting the Swedish labor market [2].
The employment agency's newest forecast predicts that unemployment will stop rising this year and start to fall in 2026. However, the forecast remains uncertain due to the ongoing influence of factors like trade policies and security situations [1].
Despite the uncertain outlook, there is a relative stability in youth unemployment rates. The unemployment rate among young people aged 18-24 has remained steady, with 7.8% registered as unemployed in June 2025, compared to 7.7% in June 2024 [1].
Lindvall finds it challenging to explain the stability in unemployment among young people, emphasising the complexity of the situation [2]. He did not provide any new information about the number of unemployed people overall or the change in unemployment between June 2024 and June 2025.
The number of unemployed men was 189,000 at the end of June 2025, an increase of 9,000 compared to the previous month, but no specific data about the number of unemployed women was provided for June 2025 [1].
Lindvall's statement did not mention any other factors affecting the Swedish labor market beyond trade policy and the security situation [2]. He also did not provide any forecast for a change in unemployment in 2025 or 2026.
As Sweden navigates through this period of economic uncertainty, the government and the employment service continue to monitor the situation closely, working towards measures to support those affected by unemployment and to stimulate economic growth.
The current economic downturn in Sweden has led to a rise in both politics and general-news discussions, as the labor market battles structural issues and economic factors like trade policy and security situations. The ongoing instability is particularly noticeable in the construction and private service industries, where job losses have increased.
The uncertain outlook for the Swedish labor market and unemployment rates continues to dominate political and general-news conversations, with policymakers and officials actively seeking measures to support those affected and stimulate economic growth.
