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Country Guide
Denmark Info
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Employer Responsibilities
In Denmark, strict local legislation necessitates compliance with the following:
- Quarterly payments to Samlet Betaling
- A minimum entitlement of 25 days’ vacation per year
- Absence of a Statutory Minimum Wage
A brief guide to hiring in Denmark
How is payroll managed in Denmark?
In Denmark, pension contributions are not mandated by law. Any pension schemes are established through negotiations between the employee and employer and can be funded jointly or solely by the employer.
Employers are required to contribute to Samlet Betaling quarterly. This is a government body responsible for collecting funds and distributing them into various schemes designed to improve the local labour markets for employers.
What are the standard employment regulations?
Full-time employment in Denmark is defined as 37 hours per week. While there are no specific Danish laws on overtime, the EU Working Time Directive applies, limiting work to no more than 48 hours per week. Common practice for overtime pay in Denmark is 150% of the regular rate for the first three hours and 200% thereafter.
What should be considered when dismissing an employee?
In Denmark, dismissing an employee requires following a specific process and providing sufficient reasons. It is advisable to consult with one of our employment experts prior to initiating a termination process.
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