Reorganization – what counts as a reorganization in the workplace?

A reorganization means that the business changes its structure, division of labor, departments, or management model, for example, by merging units, creating new roles, or phasing out parts of the business. Reorganization can lead to changed work tasks, new workplaces, or that some employees risk being made redundant, which affects both labor law and the work environment.

When is the Co-determination Act (MBL) applicable and when are negotiations required?

If a reorganization could affect employees' conditions, the employer must inform and negotiate with union parties according to the Co-determination in the Workplace Act (MBL). This applies, for example, to reorganizations that could lead to dismissals, reassignments, changes in job duties, or reorganizations of large parts of the operations. Negotiations must begin before a decision is made.

Work environment and impact assessment in reorganization

According to the Work Environment Act, the employer must carry out an impact or risk assessment before a reorganization. The assessment should show how the change may affect the work environment, workload, stress, and ill-health, and if measures are needed. All identified risks must be documented in writing and addressed or followed up in an action plan.

Staff shortages, dismissals, and redeployments

If the reorganization leads to a shortage of work, the employer must investigate possibilities for reassignment before termination. Reassignments shall be made within the company's operations where possible. If five or more employees risk termination, the employer must also report this to the Swedish Public Employment Service.

Frequently Asked Questions about Reorganization

What does a reorganization entail?

A reorganization means that the company's structure or way of working changes. This can involve roles, responsibilities, or departments.

Yes – if the reorganization can affect employees' terms and conditions, the employer must fulfill their obligation under the Co-determination in the Workplace Act (MBL) and negotiate with trade unions.

Yes – a risk or consequence assessment of the working environment must be carried out, documented, and lead to measures if necessary.

Primarily through reassignments. If necessary, dismissals will be made in accordance with current regulations.