Freedom of movement in the Nordic Region

A common labour market has been a feature of the Nordic Region since the 1950s. By sharing labour, the Nordic countries have been able to even out imbalances between countries with higher levels of unemployment and those with labour shortages. The common labour market has enabled the Nordic countries to overcome economic fluctuations and facilitated more positive development than would otherwise have been the case. The sharing of labour remains important, especially in the border areas of the Nordic Region.

Nordic businesses have become increasingly integrated. Neighbouring countries make up a disproportionally large share of each Nordic country’s import and export markets. Studies have shown that the single biggest obstacle to doing business across Nordic borders is the lack of accessible, relevant information about regulations and the like in the other countries. Several tax-related issues and dual administration have also been identified as problematic.

It is in the interests of all the Nordic countries that businesses are able to operate across borders with as few restrictions as possible. Projects are therefore being launched on a regular basis that seek to identify and remove obstacles to freedom of movement in the field of business.

All of the Nordic countries have strong links to the European Union, either as members or because they are part of the EEA.

The Nordic Region is therefore part of the EU’s internal market in most sectors. Through their links to the EU, the Nordic countries are also obliged to follow the various regulations and directives that are drawn up at the European level.

Several of these directives address people’s right to freedom of movement within the EU/EEA and the common European market. For this reason, the Nordic goal of an open region harmonises well with the European ideal.