What should be included in an employer's certificate? And how is it different from a certificate of employment? How do you write an employment testimonial, and can an employee demand one? We help you navigate the complex world of certificates and testimonials.
Employer's Certificate – A Must for the Unemployment Benefit Fund (A-kassan)
Let's start with the employer's certificate – how does it work? Simply put, it's a document stating that an employee has worked at a particular workplace for a specific period. The certificate is provided to employees who have left and is needed when they apply for unemployment benefits to determine how much money they are entitled to. In other words, keeping employer's certificates in order is crucial to prevent financial mishaps for employees between jobs.
In addition to the employee's personal details, the employer's certificate should include the following information:
- employment duration, type, and position
- reason for the cessation of employment
- number of working hours per month
- total compensation (salary and benefits) paid over the last 12 months
What Does the Law Say About Employer's Certificates?
For many employers, managing the employer's certificate correctly is a given, but it's also obligatory – according to the Unemployment Insurance Act (in Swedish lagen om arbetslöshetsförsäkring). The law doesn't specify the exact timeframe for providing it, but it should be given within a reasonable time after being requested. A good rule of thumb is for employers to act quickly and provide it as soon as possible after the employee has left.
Handle Certificates Efficiently Through arbetsgivarintyg.nu
Given the extensive information that must be included in an employer's certificate, the process can be tricky, with a high risk of errors. In fact, seven out of ten paper-issued employer's certificates are returned due to mistakes. But there's no reason to despair – there's a smart solution! Through the unemployment funds' digital service arbetsgivarintyg.nu, employers are assisted in filling out and sending the certificate in an easy and secure way. Use the online form on the website, or handle it directly via your payroll system. Several providers (including us at Flex Applications, of course) offer seamless API integration to automatically ensure that the correct information is included in the certificate.
Certificate of Employment – Aiding Job Search and Loan Applications
What about the certificate of employment? What is it, and how does it differ from an employer's certificate? It's easy to see why there's some confusion between the two as they do share similarities. However, some essential differences exist – let's break it down!
The certificate of employment is issued to employees who have left but can also be requested anytime during ongoing employment. Like the employer's certificate, it should contain personal details and facts about employment and position but must also provide a detailed account of the employee's duties.
Lastly, it's crucial to recognize that the two certificates serve entirely different purposes. While an employer's certificate is used as a basis for the unemployment benefit fund, a certificate of employment is primarily to confirm employment and credential. More specifically, it's often needed when an employee applies for a new job and must confirm the CV details are accurate, or when applying for education, insurance, or bank loans.
No Legal Requirement for Certificate of Employment – But Check Collective Agreements and Policies!
Is it mandatory for everyone to provide a certificate of employment in the same way as an employer's certificate? The answer is: no, not according to the law. However, it may be stipulated in collective agreements or company policies, including information about which deadlines apply.
Employment Testimonial – A Gateway to New Career Opportunities
As if that weren't enough, there's also a third crucial document to keep track of: the employment testimonial. So, how does it work?
As the name hints, it involves a rating or evaluation of the employee and their contributions, alongside some factual information. The purpose is to give recruiters a good understanding of how the person has performed at their previous workplace to determine if the candidate is a good fit.
The employment testimonial can be broken into five sections:
- facts (personal and employment details)
- employee's duties
- position's requirements
- comments on how the employee has handled their duties, personal qualities, and - professional skills
- summary rating/overall evaluation.
A common scale might be (with 5 being the highest and 1 the lowest rating):
5 – We give NN excellent/our highest recommendations.
4 – It is a pleasure to recommend NN.
3 – We gladly give NN good recommendations.
2 – We can recommend NN.
1 – We wish NN the best.
Is it necessary to provide an employment testimonial, or can we skip it?
The short answer is: it depends. There's no legal obligation for companies to do so, but it might be covered under collective agreements. Commonly, the agreement states that it should be provided to employees who have been with the workplace for six months or more.
Lastly, even if the collective agreement doesn't require providing an employment testimonial, there are good reasons to do it anyway. It's considered good practice and shows you are a fair employer who cares about employees (even as paths diverge). Including the employment testimonial as part of your offboarding checklist is a good idea.
Save Time with Digital Management of Certificates and Testimonials
Do you want to automate away the cumbersome and time-consuming administration around certificates and testimonials? In our HR system Flex HRM Employee and payroll system Flex HRM Payroll, we've focused on making it as easy as possible to handle all critical documents regarding your employees. With digital templates, you save time and can be sure no details are missed. And with a smooth API connection between the payroll system and the unemployment funds' web service, you can handle your employer's certificates in no time. Want to know more about the benefits? Contact us, and we'll show you!
