The LO union, contrary to its habit of backing the Social Democratic Party, was scarcely heard in the election campaign which brought to power a centre-right coalition in September 2006. The union is today even critical of the tax deduction policy and the government unemployment insurance policy, which augurs a period of contestation and conflict in this consensus-orientated country. (Ref. 080341)
Denunciation of government policy. The government presented its spring budget on April 15, announcing notably the third wave of tax reductions on earnings and a shortening of unemployment coverage and of the length of sickness leave. Wanja Lundby-Wedin, leader of the main Swedish union, Landsorganisationen (LO), reacted harshly to the tax reductions, which in her opinion are costly, ineffective and unfair. She took a stance in support of the unemployed, people on sick leave following an acciden
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