Hiring directors and executives

Under the Swedish Employment Protection Act (LAS), senior executives and employees in comparable positions are excluded from the scope of the Act. This means that employers can agree with employees in this category on, for example, different termination rules than those set out in the Employment Protection Act. However, this so-called ‘circle of exceptions’ is very limited and should be applied very restrictively. It is often difficult to determine who is to be considered a director, senior executive or in a comparable position and who can be excluded from the application of the Employment Protection Act.