from Financial Times 27/11/63
After preliminary talks...the Confederation ofr luployers (SAF) and the Confederation of Trade Unions (LO) met November 26th for the beginning of what may turn out tc be the toughest wages talks in Sweden in the pest war era, The present two-year agrcoment is due to expire next February and this time SAF have warned that the decline in profitability may hazard industrial investmonts vital to maintain economic growth, Lower, profitab ility has made itself felt in the export industry and in that sector of the home market which is competing with imports. :
Other factcrs to be taken into consideration at this year's labour market nogotiations are the heavy increase in costs over the past four years and the lover rate ‘of expansion, The LO's tactics this year are based on having a mmber of claims such as severance pay, lay-off pay and more sick bencfit met, befors they will state the sige of the general wage increase they are seeking, It is known that the talks will be protracted, possibiy well intc tho New Year and the bargaining oxtremely hard, also t tho chances of reaching a satisfactory settlement are not rated high, tut the LO has said that they do not anticipate strike action and are hoping that their cloims will be mot.