LO leader cautions Norway against adopting waiting day to address sickness absence rates

Sweden’s LO leader, Johan Lindholm, has cautioned Norway against implementing a waiting day, or “karensdag,” to tackle its high sickness absence rates. Introduced in Sweden in 1993, the karensdag is a deduction from sick pay amounting to 20% of a week’s earnings. In 2023, Norway’s sickness absence rate stood at 6.7%, compared to Sweden’s 4%.

Economist and head of the Frisch Centre, Simen Markussen, suggests Norway’s generous sick pay system may contribute to its elevated absence rates. Last year, illness-related absences cost Norway approximately 40 million working years, as reported by NAV.

Lindholm criticized the notion of adopting such an “unjust and outdated reform,” questioning whether Norway genuinely wants to retreat into the past. He referenced hotelier Petter Stordalen’s remarks about Norway’s higher absence rates, emphasizing the challenges posed by short-term sickness absence and the burden on lower-paid workers who may have to choose between working while ill or losing a portion of their pay.

Former Swedish Prime Minister Göran Persson supported the karensdag as a reasonable measure. Lindholm, however, labeled the concept socially regressive, arguing it disproportionately affects lower-income workers who may not have the luxury of remote work.

Norway’s sickness absence rates continue to be the highest globally, with the current 6.7% compared to Sweden’s 4%. Markussen noted that Sweden employs stricter requirements for sick leave duration, which complicates direct comparisons of absence levels between the two countries.

He suggested the introduction of a karensdag could lead to two outcomes: making it more expensive for employees to take sick leave, potentially reducing the number of claims, while also introducing a risk of needing to take another sick leave soon after returning to work. Overall, he expressed skepticism about whether such a measure would effectively lower absence rates.