No more time off to eat wheat buns

From 2024, the Great Prayer Day is no longer a public holiday in Denmark. Therefore, companies can benefit from taking a closer look at whether it will be necessary to change any agreements. For example, the new rules could give rise to changes to employment agreements or employee handbooks.

Salary supplement to employees with a fixed monthly salary

Under the new rules, agreements that entitled employees to time off or special add-ons for work on the public holiday, the Great Prayer Day, no longer apply. Instead, the same rules that apply to any other normal working day will apply.

Employees who receive a fixed monthly salary will receive a salary supplement corresponding to 0.45 % of the annual salary as compensation for the extra working day. Special rules apply for employees on parental leave.

The salary supplement will be accrued on a monthly basis from 1 January 2024 and will be based on the employee’s normal salary for the relevant month. Companies can choose to pay out the salary supplement in one of two ways:

• In May and August (just like holiday allowance under the Danish Holiday Act)
• Together with the salary, each month

If the employment relationship terminates, the salary supplement must be paid for the months the employee was employed.

Hourly-paid employees will receive the same hourly rate as any other working day.

IUNO’s opinion

Abolition of the Great Prayer Day as a public holiday is wide-ranging as it removes any agreements providing employees the right to time off or special salary arrangements. However, it remains unclear if this also applies to employment agreements or handbooks that do not explicitly mention the Great Prayer Day as a public holiday but simply provide the right to time off or special payment arrangements on that day.

IUNO recommends that companies pay particular attention to how the new salary supplement is calculated. Companies must decide when to pay the salary supplement and understand who is entitled to it.

[Danish Act on the Consequences of the Abolition of the Great Prayer Day as a Public Holiday of 28 February 2023]