Swedish Agency for Government Employers

SAGE was established on July 1, 1994. It has 250 member agencies in the central Government sector. Other members include closely associated organisations, mostly foundations.

Governing bodies

The supreme governing body of SAGE is the Employers' Council, which convenes once a year. The Council is made up of the heads (i.g. Directors General, Rectors and County Governors) of the member agencies.

The Employers' Council determines employer policy and sets membership fees. It also appoints 15 members to the Board. The SAGE Board, which plays a central part in pay negotiations with the trade unions, is the supreme sovereign body between Council meetings. Unlike the other directors general who are appointed by the government, the Board appoints the executive head of SAGE.

Member Organisation

SAGE is structured into five sectors, and two member councils. The member councils act as advisory bodies to the Board and to the Director General.

Funding

SAGE is funded by its membership fees, set in proportion to the payroll expenditures of its member agencies. SAGE receives no direct government funding.

Duties

Negotiations with trade unions

One of the principal duties of SAGE is handling negotiations with trade unions on pay and employment conditions for the 290.000 employees in the central Government sector. However, this only concerns overall pay structures and salary increases for central agreements, rather than specific amounts. Individual salary agreements are determined at local level.

SAGE produces salary statistics for the central Government sector and conducts the follow-ups of the development of wages on yearly as well as on more long term basis.

Employer cooperation and member support

Other significant duties for SAGE include employer cooperation and member support and advice on a wide range of employment matters. For instance in helping agencies interpret employment legislation and regulations. SAGE also provides legal advice to members in labour-related disputes brought before The Swedish Labour Court.

Safeguarding interests

SAGE promotes the development of employer policies, safeguards the interests of the Government employers and promotes knowledge on the State as employer and employer policies in the public debate.

The Swedish Agency for Government Employers is located in central Stockholm.

International and EU

• SAGE is a member of SGI Europe, which is an EU cross-industry social partner representing employers and enterprises providing services of general interest. Along with Business Europe and ETUC, SGI Europe is one of the three European general cross industry social partners.. Through its participation in SGI Europe, SAGE takes part in the European cross-sectoral social dialogue.
• At Nordic level, government employers meet regularly to discuss current issues and exchange experience in the field of employment policy.
• As one of the parties on the Swedish labour market, safeguarding the interests of central government employers, SAGE regularly participates in consultations with the Government on EU related issues. 
• SAGE takes part in the work of OECD:s Working Party on Public Employment and Management (PEM)

EUPAN

• EUPAN is an informal network of the Directors-General responsible for public administration in the member states of the European Union and the European Commission.
• SAGE participates in the network together with the Agency for Public Management. SAGE has the main responsibilities in Human Resources and employer issues.

Delegated employment policy

The Swedish Government has delegated employment policy within the central Government sector to the agencies.

As such the Government and Parliament can no longer directly influence collective agreements on pay and other conditions for employees in this sector. SAGE acts entirely as directed by its members.

The agencies that make up the central Government sector in Sweden have long been highly autonomous. Although each agency falls under a ministry, the ministry cannot dictate how the agency operates. For example, Sweden does not have a system whereby civil servants can float between agencies. Each agency recruits its own personnel on the open market. The Swedish public sector also operates with a system of set budget parameters. These parameters are set for each agency on an annual basis for government cost control purposes. The Director General of each agency then bases financial and other decisions on these parameters.

This also allows for individual salary agreements at agency level. This system, which is also generally applied throughout the Swedish employment market, has been in place since 1989. As such, individual salaries are set at agency level, normally following talks between the agency management and local trade union. Agency managers are required to hold regular performance appraisals with every individual and agree personal aims and targets, salary increases, etc. Performance related pay acts as an employee incentive and management tool. It also allows scope to bring salary in line with other market forces.