New rules on employment conditions adopted
The Danish Parliament has adopted new rules on working conditions. The new rules will enter into force on 1 July 2023. The new rules result from the so-called EU directive on transparent and predictable working conditions, which was adopted to increase the level of protection for employees. With the new rules, companies must prepare for changes to information obligations and stronger rights for employees.
Technological developments and numerous new employment forms have created a need to increase the level of protection for employees. This is especially important for employees with unpredictable working conditions.
The new rules introduce stricter information requirements and a new set of minimum rights for employees. The new rules are introducing new rights and obligations as well as changes to existing requirements.
Technological developments and numerous new employment forms have created a need to increase the level of protection for employees. This is especially important for employees with unpredictable working conditions.
The new rules introduce stricter information requirements and a new set of minimum rights for employees. The new rules are introducing new rights and obligations as well as changes to existing requirements.
What are the information requirements?
What are the information requirements?
| Existing rules | New rules | |
|---|---|---|
| Name and address | Name and address of the parties |
|
| Start date and place of work | Start date and the fixed, primary or, if relevant, different place(s) of work, as well as the registered place of business or address |
+ if the employee can freely choose the place(s) of work |
| Tasks | Description of the tasks, job title, rank, position, or job category |
|
| Working time | The normal daily or weekly working time and, if relevant, rules on overtime |
+ if the working time is unpredictable and, if so, the relevant conditions |
| Remuneration | The agreed salary, add-ons, and other salary components, as well as when the remuneration is paid |
|
| Paid absence | Right to paid holiday and if the holiday is with salary |
+ right to other paid leave |
| Education |
|
Right to education offered by the company, if relevant |
| Duration | The duration of employment and notice of termination or applicable rules, including an agreed probationary period, if any |
+ conditions for and duration of an agreed probationary period, if any |
| Social security |
|
Identity of institutions to which the company makes social security contributions and the rights the employee obtains, as a result |
| Temporary agency worker |
|
Identity of the user company, as soon as the identity is known |
| Collective agreements | The collective agreement or agreement regulating the employment, and identity of the parties, if relevant |
|
What is new regarding the format of information?
What is new regarding the format of information?
| Old rules | New rules | |
|---|---|---|
| Format | Written agreement, employment contract, employment letter or document |
Provided and forwarded on paper or electronically |
| Special requirements for electronic format |
|
Must be available, access to be saved and printed, and proof of being sent and receipt |
| Deadline | One month |
+ a shorter deadline of seven calendar days for some information |
| Deadline for changes | Immediately and one month after taking effect, at the latest |
As soon as possible and upon taking effect, at the latest |
What do the new rights concern?
What do the new rights concern?
| Theme | Rights |
|---|---|
| Side jobs | Right to take on side jobs, unless special exceptions apply |
| Posted workers | Right to additional information before departure in case of a posting that exceeds four consecutive weeks |
| Conditions for probationary period | Maximum length of six months and special rules for fixed-term employees, but the restrictions under the Salaried Employee Act still apply |
| Unpredictable working time | Right to refuse work if the conditions for the |
| Cancellation of tasks | Right to compensation in case of cancellation after the expiration of a reasonable deadline |
| On-call work | Presumption of guaranteed working time |
| Transition to predictable working time | Right to request predictable working time |
| Mandatory training | If relevant, training must be offered free of charge, take place during and count as working time, to the extent possible |
IUNO's opinion
Companies must comply with the new rules for employees starting work from 1 July 2023. However, for existing employees, there is only a requirement to provide the missing information upon request. In this case, companies must provide the information within eight weeks. The employee can be entitled to compensation if the deadline is not met.
IUNO recommends that companies update their standard employment contracts to be ready for new hires and prepare the necessary information for the existing employees. This is recommended even if the existing employees do not request it. If the information is not given and the missing information leads to a dispute, the company will bear the risk of lack of clarity in the agreement.
[L 84 Act amending the Act on employment contracts and certain working conditions of 11 May 2023]
IUNO's opinion
Companies must comply with the new rules for employees starting work from 1 July 2023. However, for existing employees, there is only a requirement to provide the missing information upon request. In this case, companies must provide the information within eight weeks. The employee can be entitled to compensation if the deadline is not met.
IUNO recommends that companies update their standard employment contracts to be ready for new hires and prepare the necessary information for the existing employees. This is recommended even if the existing employees do not request it. If the information is not given and the missing information leads to a dispute, the company will bear the risk of lack of clarity in the agreement.
[L 84 Act amending the Act on employment contracts and certain working conditions of 11 May 2023]