Norway's Labor and Welfare Administration director has resigned immediately after the country's work minister expressed lost confidence in his leadership. The decision follows a critical report from Norway's Auditor General that revealed the agency paid out 2.3 billion Norwegian kroner without proper invoice verification. The director confirmed his departure in a statement, acknowledging the minister's position meant he had no alternative but to step down.
The financial control failures represent a significant breakdown in oversight at one of Norway's largest public agencies. Beyond the missing invoice controls, the audit identified inadequate logging in IT systems managing 475 billion kroner. These systems handle critical social welfare payments that millions of Norwegians depend on for their daily living expenses.
Norwegian welfare administration oversight has faced increased scrutiny in recent years following several high-profile cases. The country's extensive social safety net requires meticulous financial management, making these control failures particularly concerning. The director acknowledged the seriousness of the situation while expressing personal disappointment about his departure.
In his statement, the director described the resignation process as orderly despite the disappointing outcome. He noted that he had provided information believed to be accurate that later proved incorrect. When asked if he should have kept his position, he acknowledged the minister's conclusion while expressing his desire to continue and address the identified problems.
The scale of Norway's welfare system presents inherent management challenges. The director described NAV as a large and complex organization that he believed was moving in a positive direction. He acknowledged errors occur and some users don't receive adequate service, while maintaining his belief in the agency's overall progress.
Following his resignation, the director will transition to another position within the Norwegian government until August 2026. He declined to specify the nature of this new role, citing confidentiality. He confirmed he will continue working during this period rather than receiving pay without duties.
When questioned about potential severance packages, the director explicitly stated he receives neither a 'golden parachute' nor special termination agreement. His departure marks another chapter in Norway's ongoing efforts to maintain accountability within its extensive public welfare systems. The situation highlights the tension between managing complex social programs and maintaining financial controls that protect public funds.
The resignation comes at a challenging time for Norway's social welfare administration as it balances digital transformation with fundamental oversight responsibilities. International observers will watch closely how Norway addresses these control deficiencies while maintaining service delivery to citizens depending on welfare benefits.