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Terms of Employment

Your terms of employment are in many cases based on collective agreements. If not, then you have to negotiate your own terms

The Danish Model

The Danish labour market is known for high job mobility, flexibility and high-quality working conditions. In Denmark, the terms of employment are in many cases regulated by collective agreements (in Danish: overenskomster) made by the primary players of the Danish labour market; Trade unions and employer associations, in contrast to regulated by legislation.

If your employment is regulated by a collective agreement you will not have to worry about negotiating general terms of employment such as working hours, minimum salary and terms of notice directly with your employer. These terms are agreed upon, protected and upheld by the assigned players in the labour market.

This system of labour market regulation is referred to as the 'Danish model' because it is unique and hence one of a kind. In Denmark, the model creates what is called flexicurity – the combination of flexibility and security for employees all over the country.

However, not all jobs in Denmark are included in collective agreements. In these cases, employees have contract freedom and are able to negotiate, form and influence their own terms of employment directly with their employer.

If you want to learn more about working conditions in the Danish labour market please visit Here you will find additional information about the Danish model, trade unions, collective agreements, working hours, pay, unemployment benefits and much more. Further information about terms of employment(new tab).

You can also read the brochure "Rules and Rights - when working in Denmark", intended specifically for non-Danish speakers.

The brochure answers questions such as is there a statutory minimum wage in Denmark? What are the rules concerning health and safety? Where do I pay my tax? Ect. 

Rules and Rights - when working in Denmark brochure(PDF, new tab).

Additional Topics Related to Terms of Employment



Taxes in Denmark seem high. But taxes fund one of the strongest welfare systems in the world. This means that in Denmark, we have free education, healthcare, social security, and much more.
Everybody who works contribute to this by paying tax, which is deducted from our salary.
Follow the link and find out more about taxes and the welfare system.

Discover more about the welfare system

Contact STAR

In Denmark we value equal treatment and support to Union workers and members of their family.
If you feel mistreated, please contact Danish Agency for Labour Market and Recruitment (STAR).

Unfair Treatment

Trade Unions

Trade unions play a huge role in the Danish labour market.
At national level, trade unions negotiate collective agreements with employers’ organisations. At company level, union representatives participate in eg. wage negotiations with management on behalf of the union organised workers.
To understand the Danish labour market you need to understand the function of a trade union.

Find further information about Trade Unions

Unemployment Insurance

The Danish unemployment insurance system is a voluntary insurance scheme. If you want to be insured against unemployment while working in Denmark, you have to join an unemployment insurance fund in Denmark.
It is also possible to be a member of an unemployment insurance fund as a self-employed person.
Follow the link and find out why an unemployment insurance is important.


Learn more about unemployment insurance