In the early 1990s, the Swedish labour market was hit by the worst shock it had experienced since the 1930s. Between the summers of 1990 and 1993, Sweden suffered three years of negative growth. The peak-to-trough fall in GDP was nearly 5 per cent, total employment fell by more than 12 per cent from 1990 to 1994, and employment in manufacturing fell by almost one-quarter.