Figure 1a shows how labour force participation has increased steadily from around 71 per cent just after the financial crisis to more than 73 per cent today. This positive development can probably be explained in several ways. The high population growth, which is to some extent due to a high level of migration, could be one factor. A large proportion of the immigrants who have come to Sweden in recent years have been in the age range 25 to 54 years of age, which is a group with a high labour force participation rate. Another factor could be various economic policy reforms that have increased incentives to participate in the labour force. 4 [24]  Another less positive development is the deterioration in matching efficiency. This could be a sign that companies’ requirements and the job seekers’ abilities do not match – for instance because of structural change or deficiencies in the educational system – or because the search and recruitment processes have declined in quality. It therefore becomes more time-consuming and costly for companies to recruit staff. Matching efficiency fell heavily in connection with the financial crisis, see Figure 1b. 8 This need not necessarily be a problem. During economic downturns, some types of competence become outdated at the same time as other and new competences are in demand. For the individual, this can mean that some form of further education becomes necessary. The problem is that matching efficiency appears to have become entrenched at around the same levels as in 2010.
The period following the financial crisis 2008-2009 has to a large extent been concerned with how the labour market might be affected by the rapid development in information and communication technology, especially the so-called digitalisation, which makes it possible to automate an increasing number of work tasks – both routine tasks and some more advanced ones. The increasingly rapid globalisation process, which will probably involve greater labour mobility between countries and regions, has also attracted attention. At the same time, we are moving towards a population structure with an ageing population and we have large migration flows around the world. It is difficult to know exactly how this will affect the labour market and the way it functions. I do not intend to speculate on this, but instead discuss some changes that appear to be a trend that has taken place over the past ten years. Trends on the labour market following the financial crisis Over the past ten years there has been an almost trend rise in both labour force participation – the proportion of the population of working age in the labour force – and the employment rate – the number of employed as a percentage of the working age population. This is an essentially positive development, as it reflects the fact that an increasing number of people have the opportunity to get a job and that more people have got a job.