Swedens Finance Chief Urges Responsible Wage Deal

Swedish Finance Minister Anders Borg urged employers and trade unions on Tuesday to reach responsible wage deals.

Swedish Finance Minister Anders Borg urged employers and trade unions on Tuesday to reach responsible wage deals as excessive pay increases dampen employment growth.

"It is very important that partners on the labour market make wage agreements that are responsible," Borg told reporters during a meeting of EU finance ministers in Brussels.

"Currently, we forecast wage development slightly above 4 percent. That means that wage increases will dampen employment growth in 2009 and 2010," he added.