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New rules on recruitment of international labour adopted

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Legal news
calendar 26 March 2023
globus Denmark

The Danish Parliament has just adopted new rules on strengthened international recruitment. The rules are intended to attract more international labour to Denmark and contain a number of measures to expand or supplement existing schemes. The rules enter into force on 1 April 2023.

The new rules are intended to remedy labour shortages. We have taken a closer look at the changes that, among other, include:

A new supplementary pay limit scheme

The rules include a new supplementary pay limit scheme. The pay limit will be lowered from DKK 465,000 to 375,000 that will be adjusted yearly. With the scheme, employees must still be employed under usual Danish working conditions.

For new residence permits under the supplementary pay limit scheme, the employee must be employed within an area with labour shortage. This means that the seasonally adjusted gross unemployment rate for the last three months must be above 3.75 % on average at the time of application.

Furthermore, it is a requirement that companies document that the position at the time of application has been posted on Jobnet and the EURE-portal for at least two weeks.

Expansion of the fast track-scheme

Companies are required to have a certain number of employees to be certified to use the fast track-scheme. With the new rules, the requirement will be lowered from 20 to 10 employees. What matters is the number of employees at the time of application.

Expansion of the positive list

With the new rules, the specialized unemployment funds will be able to introduce supplementary job titles on the positive list. This will be possible for all levels of higher education within their specialized field. This will be done after discussion with the relevant employers’ organizations. The supplementary job titles will apply to the whole country.

The regional labour market council will also be able to introduce supplementary job titles to the positive list for all levels of higher education. The supplementary job titles will only apply in the municipalities that are subject to the individual council.

With the new rules, the job titles will expire from the positive list after a minimum period of two years at the latest.

IUNO’s opinion

The new rules will generally make it easier to get foreign employees to Denmark. The new pay limit makes it possible to get far more employees to work within areas in need of labour. With the expansion of the fast track-scheme, small companies can also be fast track-certified. Furthermore, the new minimum period for the positions’ placement on the positive list makes it more predictable for companies how long their employees can stay in Denmark under this scheme.

IUNO recommends that companies familiarize themselves with the new rules and the requirements that apply to the different schemes. This applies especially for the advantages of fast track-certification that include shorter processing time, the possibility of working abroad alternately and while the case is being processed. It is therefore positive that small companies now also have the possibility of applying for fast track-certification.

The rules enter into force on 1 April 2023.

[L 46 Act on changes of the Aliens Act of 23 March 2023]

The new rules are intended to remedy labour shortages. We have taken a closer look at the changes that, among other, include:

A new supplementary pay limit scheme

The rules include a new supplementary pay limit scheme. The pay limit will be lowered from DKK 465,000 to 375,000 that will be adjusted yearly. With the scheme, employees must still be employed under usual Danish working conditions.

For new residence permits under the supplementary pay limit scheme, the employee must be employed within an area with labour shortage. This means that the seasonally adjusted gross unemployment rate for the last three months must be above 3.75 % on average at the time of application.

Furthermore, it is a requirement that companies document that the position at the time of application has been posted on Jobnet and the EURE-portal for at least two weeks.

Expansion of the fast track-scheme

Companies are required to have a certain number of employees to be certified to use the fast track-scheme. With the new rules, the requirement will be lowered from 20 to 10 employees. What matters is the number of employees at the time of application.

Expansion of the positive list

With the new rules, the specialized unemployment funds will be able to introduce supplementary job titles on the positive list. This will be possible for all levels of higher education within their specialized field. This will be done after discussion with the relevant employers’ organizations. The supplementary job titles will apply to the whole country.

The regional labour market council will also be able to introduce supplementary job titles to the positive list for all levels of higher education. The supplementary job titles will only apply in the municipalities that are subject to the individual council.

With the new rules, the job titles will expire from the positive list after a minimum period of two years at the latest.

IUNO’s opinion

The new rules will generally make it easier to get foreign employees to Denmark. The new pay limit makes it possible to get far more employees to work within areas in need of labour. With the expansion of the fast track-scheme, small companies can also be fast track-certified. Furthermore, the new minimum period for the positions’ placement on the positive list makes it more predictable for companies how long their employees can stay in Denmark under this scheme.

IUNO recommends that companies familiarize themselves with the new rules and the requirements that apply to the different schemes. This applies especially for the advantages of fast track-certification that include shorter processing time, the possibility of working abroad alternately and while the case is being processed. It is therefore positive that small companies now also have the possibility of applying for fast track-certification.

The rules enter into force on 1 April 2023.

[L 46 Act on changes of the Aliens Act of 23 March 2023]

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Anders

Etgen Reitz

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Søren

Hessellund Klausen

Partner

Kirsten

Astrup

Managing associate (on leave)

Cecillie

Groth Henriksen

Senior associate

Johan

Gustav Dein

Associate

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The team

Alexandra

Jensen

Legal advisor

Anders

Etgen Reitz

Partner

Caroline

Thorsen

Junior legal assistant

Cecillie

Groth Henriksen

Senior associate

Johan

Gustav Dein

Associate

Julie

Meyer

Senior legal assistant

Kirsten

Astrup

Managing associate (on leave)

Maria

Kjærsgaard Juhl

Legal advisor

Rikke

Grønlund Holm

Senior associate

Sofie

Aurora Braut Bache

Managing associate

Søren

Hessellund Klausen

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