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New rules for posted workers

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calendar 27 November 2022
globus Norway

Equal pay for equal work is the main rule in EU. After the revision of the EU directive on the posting of workers, Norway has now also agreed to change the rules on posted workers in Norway. From 2023, employees posted to Norway will therefore have improved rights, as the aim is equal treatment between posted and local employees.

Because everyone who works in Norway should – wholly or partly - work under Norwegian employment terms, the Norwegian government has adopted several changes to the rules on posted workers in Norway. By changing the rules, Norway has implemented the revised EU directive on posted workers.

All in for equality

Employees posted to Norway were already entitled to certain rights under the current rules. With the changes, additional rights for the employees and obligations for the company will be introduced. Among the new, additional rights and obligations are:

  • Employees now have the right to a refund for actual costs related to the posting, such as travel expenses and expenses for board and lodging. If such expenses are not mentioned in the employment agreement as salary, the employee will be entitled to a refund.
  • Employees posted long-term and more than 12 months will be covered by additional Norwegian employment terms and conditions. Among other things, this will include protection under the Norwegian rules on whistleblowing. Long-term postings can be prolonged to a total of 18 months.
  • During the posting, the posted employees' pay slips, employment contracts and working hours must be available physically or digitally at the workplace.
  • If a posted employee is replaced with another to perform the same task in the same place, the posting will be calculated as one total posting period.
  • When user companies post hired employees in Norway abroad, it will be the temporary employment agency's responsibility to ensure that the hired employee is covered by the host country's employment terms and conditions.

The new rules will apply from 1 January 2023 with the exception of the special rules on employees posted long-term, which will apply from 1 March 2023.

IUNO's opinion

When posted to Norway, parts of the employment relationship will be subject to Norwegian law. Any dispute on issues covered by Norwegian law will have to be determined based on Norwegian law. A posting longer than 12 months or, if extended, 18 months, will increase the issues covered by Norwegian law. After 24 months posting, the assumption is that Norwegian law will apply fully in all circumstances.

Because of this, IUNO recommends that companies posting employees to Norway familiarize themselves with issues that are covered by Norwegian law. As the newly implemented changes significantly impacts the employment terms, companies are also recommended to get updated on new rights and obligations.

[Amendment of the Norwegian Regulation on Posted Workers of 28 October 2022]

Because everyone who works in Norway should – wholly or partly - work under Norwegian employment terms, the Norwegian government has adopted several changes to the rules on posted workers in Norway. By changing the rules, Norway has implemented the revised EU directive on posted workers.

All in for equality

Employees posted to Norway were already entitled to certain rights under the current rules. With the changes, additional rights for the employees and obligations for the company will be introduced. Among the new, additional rights and obligations are:

  • Employees now have the right to a refund for actual costs related to the posting, such as travel expenses and expenses for board and lodging. If such expenses are not mentioned in the employment agreement as salary, the employee will be entitled to a refund.
  • Employees posted long-term and more than 12 months will be covered by additional Norwegian employment terms and conditions. Among other things, this will include protection under the Norwegian rules on whistleblowing. Long-term postings can be prolonged to a total of 18 months.
  • During the posting, the posted employees' pay slips, employment contracts and working hours must be available physically or digitally at the workplace.
  • If a posted employee is replaced with another to perform the same task in the same place, the posting will be calculated as one total posting period.
  • When user companies post hired employees in Norway abroad, it will be the temporary employment agency's responsibility to ensure that the hired employee is covered by the host country's employment terms and conditions.

The new rules will apply from 1 January 2023 with the exception of the special rules on employees posted long-term, which will apply from 1 March 2023.

IUNO's opinion

When posted to Norway, parts of the employment relationship will be subject to Norwegian law. Any dispute on issues covered by Norwegian law will have to be determined based on Norwegian law. A posting longer than 12 months or, if extended, 18 months, will increase the issues covered by Norwegian law. After 24 months posting, the assumption is that Norwegian law will apply fully in all circumstances.

Because of this, IUNO recommends that companies posting employees to Norway familiarize themselves with issues that are covered by Norwegian law. As the newly implemented changes significantly impacts the employment terms, companies are also recommended to get updated on new rights and obligations.

[Amendment of the Norwegian Regulation on Posted Workers of 28 October 2022]

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Anders

Etgen Reitz

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Aurora Braut Bache

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