June 9, 2009

Swedish unemployment could top 11 percent

The National Public Employment Agency in Sweden predicted Tuesday that unemployment would rise to 11.3 percent in 2010.

The number of Swedes working is expected to drop by 260,000 while the number of unemployed rises to 539,000, the NPEA said.

Despite the dramatic figures, the forecast is based on a stabilization of the labor market during the second half of 2010, NPEA said.

The predictions are made after 13,000 interviews with employers, the Swedish news agency Tidningarnas Telegrambyra reported.

In contrast, staffing company Manpower Tuesday predicted the employment situation in Sweden would improve in the third quarter of 2009. The prediction was based on 751 employer-interviews, the news agency said.