Facts and Questions

Here you will find answers to most questions regarding umbrella employment, umbrella companies and the trade association. If you have any further questions, you are most welcome to contact us.

About"egenanställning"

Umbrella employment is a form of employment that allows private individuals to control their own work without starting their own company. The umbrella employee is employed by an umbrella company and pays A-tax. The umbrella employee also have the right to claim statutory rights such as employment benefit according to LAS, sick pay according to the Sick Pay Act and holiday benefits.

An umbrella company is a company that ultimately has to manage an employment law responsibility and thus the risk that comes with it. You can compare an umbrella company to an insurance company.

An umbrella company is obliged by law to compensate its umbrella employees for various damages that occur.

In practice, this means that the umbrella company has to act in accordance with the Work Environment Act, the Sick Pay Act, the Contracts Act, the Holidays Act, the Employment Protection Act to name a few of the laws or about 22,000 pages of legal text that concern an umbrella company.

If your umbrella company goes bankrupt, there is no guarantee that you will get your money. The Association have found, that several new players who call themselves umbrella companies have financial difficulties, which increases the likelihood that they will go bankrupt.

We therefore recommend that before joining an umbrella company ensure that the company has good finances and stability so that your money is secure.

You can compare the finances of the various umbrella companies under key figures at www.allabolag.se

Being insured when you work is important for your security. We urge you to ensure that your umbrella company takes out insurance that covers you in the event of an accident. You should be covered by an accident and service group life insurance in case of personal injury, as well as liability insurance to protect against liability in case something goes wrong.

Yes, umbrella employees are entitled to A-kassa according to the Unemployment Insurance Act, provided that the requirements for this are met.

Yes, umbrella employees are entitled to sick pay according to the Act on Sick Pay provided that the requirements for this have been met.

It is the umbrella company’s responsibility as an employer to comply with the Act on Sickness Pay and to pay compensation in the event of illness as prescribed by law.

The umbrella company, you and the client have joint responsibility for your work environment. The umbrella company is your employer and i.e. not an administratively involved party. The umbrella company must conduct systematic  environment work and work preventively and remedially to create a good and safe organizational, physical and social work environment for you.

Your umbrella company needs to be available and able to provide you with expertise and advice regarding questions about your work, from handling expenses to employment law. It is especially important that the umbrella company is available to you in the event that you have an accident.

In addition to feeling good here and now, you need to feel good after active working life and having a good economy is a pre-requisite for that.

Today, around 90% employees in the Swedish labor market have an occupational pension, and for many 25–50% of their total pension consists of the occupational pension.

Not all umbrella companies set aside or offer the possibility of setting aside for an occupational pension today. We recommend you to plan ahead and think about your time after active working life.

About the Association

The members are a collection of small and large umbrella companies from all over Sweden that want to increase knowledge about umbrella employment and to strengthen legitimacy vis-à-vis decision-makers.

Overall, the Associations versatility creates a good insight into different conditions and needs.

The associations purpose is to:

  • Increase knowledge about umbrella employment
  • Work for good conditions for umbrella companies as well as for the umbrella employees
  • Monitor the members’ interests vis-à-vis authorities and the outside world, for example being obvious referral body and industry representative in government commissions
  • Be a forum for industry representatives to meet and exchange experiences
  • Work for that umbrella employment is considered a form of employment and thus
    covered by accompanying benefits
  • Work towards  authorization of umbrella companies

Read more

The Association has brought together small and large umbrella companies from all over Sweden.

As an umbrella employee, you automatically become a member of the Association if the umbrella company you signed up to is a member.

Our members

Umbrella companies apply for membership by submitting an application to the Association.

Becoming a member