Obfuscating Retrenchment: Swedish Welfare Policy in the 1990s

ABSTRACT Cutbacks in thirteen Swedish transfer programmes are analysed to evaluate the argument that explaining welfare retrenchment is a different enterprise from explaining welfare expansion. The conclusion is that the ‘New politics of welfare’ is of major importance in the Swedish context, not only in the Anglo-Saxon context that Paul Pierson studied. Programmes relatively susceptible to non-transparent reforms have suffered larger cutbacks than other programs. Non-indexed programmes present opportunities for cutbacks by non-decision and are particularly vulnerable to obfuscation. Hence we have a politics of blame-avoidance rather than one of credit-claiming. Pensions are among the least targeted for cuts because pensioners’ organisations that emerged as the welfare state matured have gained influence at the cost of unions.