In the Danish labour market, working hours and pay are primarily regulated by collective agreements or individual employment contracts between employers and employees. There are no legal requirements for foreign companies with staff posted in Denmark to enter into any agreements. See the section on collective agreements.
The companies can obtain information about pay conditions under the main collective agreements by contacting the labour market parties.
By studying the collective agreements that apply to the type of work performed by the company, the company can learn about the pay conditions that will apply to the company.
There are, however, legal requirements regarding maximum weekly working hours and rest periods.
As a general rule, working hours are regulated in a collective agreement, and in most areas standard working hours are 37 hours per week. This has extended to many other areas without collective agreements.
Read more about collective agreements
Salary conditions
An employer is obliged to pay the agreed salary/wages.
There is no mandatory minimum pay in Denmark. The pay is typically governed by collective agreements for different types of work.
For some types of work the pay will depend on the amount the worker must be paid, for example per hour. In other areas, the pay may have been agreed upon in other ways. The pay may, for example, consist of a piece-work rate, performance related pay or similar.
Some collective agreements will stipulate that the pay must include an individually negotiated supplement to the minimum rate.
Some collective agreements stipulate that the pay is determined by negotiation with the company. The total pay often exceeds the hourly rate because of other pay components.
In all circ*mstances, the company can find out what pay applies to different areas by referring to the relevant collective agreement and its appendices, if applicable.
Regarding demands against a foreign company for a collective agreement, see the section on collective agreements.
The following are considered to be normal components of the wage paid by a Danish employer for work carried out in Denmark:
- Minimum pay rate/minimum wage rate/normal wage rate
- Locally negotiated wages and personal supplements or wages (only for collective agreements with a minimum pay rate and agreements without pay rates)
- Special wage schemes, including piecework, bonus and payment by results
- Fixed supplement for all employees (typically in collective agree-ments with normal wage rates)
- Weekday public holiday payment
- Pay during supplementary days off for holiday purposes
- Payment during statutory holiday
- Contribution to optional pay account/free-choice account/special savings
- Contribution to workplace pension schemes
- Overtime pay
- Supplementary payment for unusual working hours
- Supplement for evening, night and weekend work
- Shift work supplement
- Supplement for external work and work requiring travel, including subsistence payment that is not reimbursem*nt for expenses
In addition, Danish employers pay among other things for:
- Payment for the first day of a child’s illness
- Pay during parental leave as a supplement to public parental leave benefit rate
- Payment during illness as a supplement to public sickness benefit rate
Remuneration of posted drivers
Foreign transport companies that performs cabotage with goods or passengers or the initial or final road leg of combined transport in Denmark is obligated to pay the posted drivers a minimum hourly wage.
Remuneration of posted drivers
Agreements on working hours
All types of agreements on working hours for workers over the age of 18 are, however, limited in certain respects. The EU’s Working Time Directive defines the following framework for working hours:
- A daily rest period of a minimum of 11 consecutive hours.
- A break if the working day exceeds 6 hours. The duration of the break depends on its purpose, e.g. a lunch break.
- One day off per week, which must be preceded by a daily rest period. There must be no more than 6 days between the 2 days off.
- Weekly working hours may not exceed an average of 48 hours, including overtime.
- A night worker may not work more than an average of 8 hours per 24-hour period.
Driving and rest time rules
Driving and rest time for drivers is determined by EU regulation no. 561/2006, which ensures uniform rules in road transport. Therefore, no national rules on driving and rest time is applied to drivers posted to Denmark.
Obligation to be available
If the worker is obliged to make his services available to the employer, the rules differ depending on whether the worker must be available at or outside the workplace.
- If the worker is available at the workplace, the time does not count as a daily rest period.
- If the worker is available outside the workplace, for example in the worker’s home, the time counts as a daily rest period if the worker is not actually working.
The rules are not mandatory
The rules on daily rest periods and two consecutive days off per week can be dispensed with in the case of work in the agricultural sector and work involving the care of people, animals and plants. The daily rest period for work in the agricultural sector may, for example, be reduced to 8 hours 30 days a year, and the two consecutive days off per week can either be postponed or rescheduled.
The rules for a daily rest period and two consecutive days off per week do not apply to:
- Work in an employer’s private household
- Certain types of work within road transport
Special rules apply to workers under the age of 18 and for work involving loading and unloading.
The Danish Labour Market Fund for Posted Workers
Posted workers covered by a collective agreement may, in certain cases, receive assistance from the Danish Labour Market Fund for Posted Workers if their employer refuses to pay.
Read more about the Danish Labour Market Fund for Posted Workers
FAQs
What is the Posted Workers Directive? The EU Posted Workers Directive (PWD) dates back to 1996. It was introduced to guarantee that the rights and working conditions of posted employees are protected throughout the EEA and avoid undermining local labour laws by using foreign (notably cheaper) European workers.
What is a posted employee? ›
A "posted worker" is an employee who is sent by his/ her employer to carry out a service in another EU Member State on a temporary basis.
What is the 11 hour rule in Denmark? ›
A daily rest period of a minimum of 11 consecutive hours. A break if the working day exceeds 6 hours. The duration of the break depends on its purpose, e.g. a lunch break. One day off per week, which must be preceded by a daily rest period.
What are the labor laws for working hours in India? ›
The standard working hours in India, as governed by the Factories Act, 1948 and the Shops and Establishment Acts (SEA), is not more than 9 hours per day or 48 hours per week. This includes a mandatory one-hour rest or meal break. If an employee exceeds the normal working hours, they are entitled to overtime pay.
What is the revised posted workers directive 2018? ›
The amended Directive (2018/957/EC), guided by the principle of equal treatment, seeks to bring the employment terms and conditions of posted workers, including posted agency workers, closer to those of locally employed workers while ensuring fair competition between posting and local undertakings in the provision of ...
What is the post workers directive 96 71? ›
Directive 96/71/EC draws up a list of working conditions which workers who are temporarily posted abroad by their employer must be granted in the country to which they are posted (host country). Its purpose is to guarantee the protection of workers as well as provide a level playing field for the service providers.
What is a posted payment? ›
A posted transaction is a transaction that has been fully processed and completed. Typically financial institutions will “post" all transactions that have been presented to your account at the end of the day. It's important to know how your bank prioritizes items to be debited from your account.
What is the post payroll process? ›
Post-payroll activities specific to an organization include reporting, declarations, and statements that each employer must produce for the relevant corresponding bodies. In the system, this reporting consists of reports that generate, issues and downloads paychecks.
What does posted shift mean? ›
What is Post-Shift Work? Similarly, post-shift work is work that an employee does at the end of their shift, such as cleaning up their work space or disassembling a piece of equipment. Employers must pay employees for this time.
What is the 22 rule in Denmark? ›
As a general rule, Danish nationals born abroad lose their Danish nationality when reaching the age of 22 if they have never lived/resided in Denmark, or stayed in Denmark under circ*mstances indicating some association with Denmark.
The 24-year rule
The condition for issuing a residence permit to a spouse or cohabiting partner is that both are over 24 years of age. This is an absolute condition. This rule was introduced for political reasons as there is no political wish to have forced marriages form the basis for family reunification in Denmark.
Which country has the shortest work week? ›
Globally, the average work week is closer to 40 hours. At one extreme, Bhutan holds the record for the longest work week globally, at 54.4 hours per week, according to the ILO. While at the other, workers in the Pacific island nation of Kiribati enjoy the shortest work week at just 27.2 hours.
What are the working hours in the USA? ›
The traditional American business hours are 9:00 a.m. to 5:00 p.m., Monday to Friday, representing a workweek of five eight-hour days comprising 40 hours in total. These are the origin of the phrase 9-to-5, used to describe a conventional and possibly tedious job.
What are the working hours in China? ›
Chinese labor laws mandate that full-time employees are restricted to working 8 hours per day and a standard 40-hour workweek, with an average allowance for a 44-hour workweek. Employers must implement one of three main working hour systems: standard, flexible, or comprehensive working hours.
What are the working hours in Japan? ›
Japan's standard workweek is typically 40 hours, similar to many other countries. However, over time (残業 [zanryō]) is quite common. There are different types of overtime, like “service overtime” for helping colleagues late and “voluntary overtime” for meeting deadlines.
What is the Workers rights Directive? ›
Workers' rights: Directive (EU) 2019/1152 on transparent and predictable working conditions. The Directive on transparent and predictable working conditions provides more extensive and updated labour rights and protection to the 182 million workers in the EU.
What is the temporary workers directive? ›
The Directive provides that the basic working and employment conditions of temporary agency workers should, for the duration of their assignment at a user undertaking, be at least those that would apply if they had been recruited directly by that undertaking to occupy the same job.
What is the PPD presidential policy directive? ›
PPD-1 establishes the National Security Council System according to the National Security Act of 1947 to assist and advise the President in all aspects of national security policy as it affects the U.S. – domestic, foreign, military, intelligence, and economic (in conjunction with the National Economic Council.
What is the posted workers directive Switzerland? ›
The Posted Workers Act requires foreign employers that post workers to Switzerland to comply with the working and pay conditions prescribed by Swiss federal acts, Federal Council ordinances, standard employment contracts and collective employment contracts that have been declared generally applicable.
