To hire new employees in
Denmark
, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.
Borderless handles all of that for you, so you can focus on getting to work with your new team member in
Denmark
while staying fully compliant with local laws and compliance.
Danish
Danish krone (kr., DKK)
Monthly
11 days
2,272.20 DKK
78.6
25 days
30 days
Expecting parents receive 52 weeks of paid parental leave between both parties. Mothers are allowed 4 weeks directly before the expected birth and 14 weeks after. Both parents can take leave at the same time or one after the other.
In many countries like
Denmark
, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.
There is no mandatory minimum wage, however there are standard average wages determined by collective bargaining. The average Danish employee earns DKK 45,481 each month before taxes.
Workers in Denmark typically receive pay at a rate of 150% if they work up to three hours over the standard eight-hour. If their excess work is more than three extra hours, they can receive compensation at a rate of 200%.
13th or 14th month salaries are not a statutory requirement in Denmark, but employers may give out bonuses at their discretion.
For all Borderless customers, employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.
Termination of an employment relationship must always be done in writing, with proof that the notice was received. This is unless an employee is dismissed for gross misconduct. Employees who have been with the company for at least a year at the time of termination are protected from being terminated without cause. Collective bargaining agreements, in general, provide the same protection, but only after 9 months. Among the just causes are, but not limited to:
Changes in the employer's financial situation and staff reductions; Restructuring of the company; Issues with cooperation or trust in the employee; Employee's unfitness for the job; or Contract breach by the employee, such as serious misconduct or theft.
The statutory notice period for an employer is determined by the length of employment:
Probationary periods of up to three months are permitted for salaried employees.
During these three months, both parties can agree to terminate the employment with 14 days' notice.
There is no minimum or maximum probationary period for non-salaried employees (unless agreed in a collective bargaining agreement).
In general, there are no statutory requirements for severance pay in Denmark. Employees who have been in continuous employment for 12 to 17 years are entitled to a one-to-three-month severance payment.
When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:
Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.