Work conditions in Denmark

The Active Population in Figures

Working Conditions

Legal Weekly Duration

37 hours

Retirement Age

Currently 67 years, planned to rise to 68 years in 2030, 69 years in 2035, then 70 years from 2040 for those born after 1970

Working Contracts

Permanent contract, fixed-term contract, training contracts.

Labour Laws

Consult Doing Business Website, to obtain a summary of the labor regulations that apply to local entreprises.

Cost of Labour

Minimum Wage

Denmark does not have a statutory minimum wage set by law; wages are typically established through collective bargaining agreements and there is no universal minimum wage enforced by a government authority.

Average Wage

According to the government data, the average yearly income is DKK 326,048 in 2019.

Social Contributions

Social Security Contributions Paid By Employers: Supplementary Pension Scheme (ATP) : DKK 2,271.60 annually
Maternity fund : DKK 1,350 annually
Industrial injury insurance : around DKK 5,000 annually (depends on type of work, number of employees, insurance company etc.)
Other social contributions : around DKK 5,000 annually
Social Security Contributions Paid By Employees: Supplementary Pension Scheme (ATP) : DKK 1,135.80 annually.

Social Partners

Employer Associations

DA - Danish Employers' Confederation

Social Dialogue and Involvement of Social Partners

The labour market is quite regulated by collective agreements. Many employers are members of the Danish Employers’ Confederation (Dansk Arbejdsgiverforening/DA) or one of the special employers’ associations (e.g. the Financial Sector or Agriculture). Employees are often members of the relevant trade union (Metal Workers, Commerce and Office, etc.), although most of these unions are also members of the 'umbrella' employee's confederation, the Danish Federation of Trade Unions (Landsorganisationen/LO). The LO is a service organisation that negotiates and co-ordinate various matters common to all trade unions.

Labour Unions

Unionisation Rate

According to OECD data, as of 2013, Denmark's trade union density is 67%.

Labour Regulation Bodies

Danish Employers' Confederation (DA)
National Labor Market Authority