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JOBS

Working in Norway: A weekly roundup of the latest jobs news and talking points 

Every week The Local brings you a roundup of the latest jobs news and talking points related to working life in Norway. This week we're looking at which industries are growing and which might shrink, in addition to asking for your views in this week's poll. 

Working in Norway: A weekly roundup of the latest jobs news and talking points 
Here's this week's roundup of working life in Norway. Photo by Christin Hume on Unsplash

Tourism sector expecting redundancies if government schemes aren’t extended

An employer organisation, The Federation of Norwegian Enterprise, has said it’s heard from several businesses in the tourism industry that have said that jobs will be cut if the government’s scheme for laid-off workers and other support for companies is not extended beyond October 1st. 

“Yesterday alone, we received several inquiries from companies that write that they have no choice but to go to redundancies if the scheme for laid-off workers is not extended,” Astrid Bergmål from the Federation of Norwegian enterprise told press agency NTB. 

Several government schemes are set to end at the beginning of October as the Norwegian government winds down its Covid support schemes. 

“These companies point out that they have not yet taken part in the reopening and that international travel restrictions mean that in reality, they are still closed,” Bergmål said. 

Jobs minister Torbjørn Røe Isaksen said he understood the problem but couldn’t promise any further measures.

Significant demand for workers and growing job vacancies in IT 

There has been a surge in demand for skilled workers in Norway in the IT and software sectors, according to industry experts. 

“We need a lot of people in IT and software, but we also need skilled workers for industrial production,” the HR director from the Kongsberg group, Hans Petter Blokkum, told public broadcaster NRK

The Confederation Of Norwegian Enterprise (NHO) has echoed this view. Due to the coronavirus pandemic, the rise of remote working and digitisation in Norway has led to a much greater demand for IT workers. 

“There is a great need for IT expertise because the corona crisis has given us a great leap towards digitisation,” Øystein Dørum, chief economist at NHO, told NRK. 

Which other industries are growing?

Recent figures have revealed there are around 50 percent more job listings in Norway than there were at the same time last year. 

The figures from listing site Finn.no have also revealed which industries have seen the biggest jump in vacancies compared to last year and 2019, the last year to be undisrupted by the pandemic. 

Industry and production is the largest growing sector in Norway at the moment, seeing a 78 percent increase compared to last year and a 31 percent jump in jobs compared to pre-pandemic levels. 

In the retail and trade sector, there have been over 60 percent more job postings compared to 2020 and a fifth more than in 2019. 

Education and childcare have also seen a sharp rise in job listings, with 46 more than last year and 16 percent more than the year before. 

Healthcare has seen just under 30 percent more listings this year and a smidge below 40 percent more than in 2019. 

Construction and building have seen the fifth largest growth in terms of job listings, with a five percent increase compared to last year and seven percent more than in 2019. 

Poll: How important is it for foreign workers to be able to speak Norwegian in the workplace? 

For this week’s poll, we want to hear how important you think it is to be able to speak Norwegian in the workplace. 

There are many companies in Norway where the working language will be English or another language, and some jobs may not even list Norwegian as a requirement. Let us know your thoughts as part of the survey. 

Did you know? 

Norway’s parental leave is both flexible and generous. If both the mother and the father have been in the workforce for at least 6 out of the 10 months leading up to the birth of their child, then they are both entitled to paid parental leave.

Parental leave provisions allow for the mother to choose between 15 weeks’ parental leave with 100 percent of their original wages or 19 weeks with 80 percent of their original wages.

The father is entitled to the same and can start his paternity leave after the newborn is seven weeks old. In addition, there is a joint parental leave time that can be divided up between both mother and father under certain guidelines. 

Useful links

Below you’ll find a couple of helpful articles, guides and resources put together by The Local, which cover key aspects of working life in Norway.

‘Feriepenger’: What you need to know about holiday pay in Norway

What you need to know about setting up as a freelancer in Norway

Is this useful?

Please get in touch with me at [email protected] to let me know if this weekly feature is useful and any suggestions you have for jobs related articles on The Local Norway.

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For members

WORKING IN NORWAY

Five things to know about wages in Norway

Norway is a great country to live and work in, and many point to the high salaries as a major pull factor. Here’s what you need to know about the wages in Norway. 

Five things to know about wages in Norway

Norway doesn’t have a minimum wage 

Many wrongly assume that the high wages in Norway must be the result of a high minimum wage. 

However, the country doesn’t have a minimum wage which covers all sectors. Instead, wages are agreed upon through negotiations between trade unions and individual employers or employer organisations. 

This contributes to high levels of trade union membership in Norway. 

Those who aren’t in a union or sectors where membership isn’t widespread negotiate their own wages. 

Some industries, where workers are likely to be exploited or where there may be a large number of foreign workers, have minimum wages enforced by the Norwegian Labour Inspection Authority.

READ MORE: Which industries in Norway have a minimum wage?

How Norwegian wages compare 

The average salary in Norway (more on that later) was 56,360 kroner per month in 2023. 

This equates to an annual salary of around 676,000 kroner. This is a salary equivalent to 49,000 pounds, 57,510 euros, or 61,266 dollars. 

The average annual salary in the US is 59,428, according to Forbes magazine.  Eurostat, the official statistics office of the European Union, measured the average annual salary for a single worker without children at 26,136 euros and 55,573 euros for a working couple with two children. 

However, wages vary greatly across the EU. In 2022, the net annual earnings of an average single worker without children were 47,640 euros in Luxembourg compared to 8,412 euros in Bulgaria

Meanwhile, the average Dane earns 46,972 Danish kroner before taxes, according to Statistics Denmark. This is around 73,981 Norwegian kroner. In Sweden, the average salary was around 38,300 Swedish krona or roughly 38,534 Norwegian kroner

Average wage versus median wage 

The average monthly wage of 56,360 kroner is pulled up by the very highest earners. The highest earners in Norway are found in the private sector. 

Statistics Norway used to keep data on the very highest earners, and around 41,600 people were in the top one percent in 2021 (the year Statistics Norway last kept data) 

To be in Norway’s top one percent required annual earnings of 1.8 million kroner or 150,000 kroner monthly

The median wage is a far more modest 50,660 kroner. 

Income tax 

Norway uses a mixture of progressive and flat taxation. The majority of wage earners in Norway, they will pay a flat income tax of 22 per cent, along with a bracketed tax based on earnings. 

The bracket tax ranges between 1.7 and 17.5 percent, depending on one’s earnings. This means that you can have income tax of up to 39.5 percent in Norway. 

Foreigner workers who are new to Norway will be sorted into the PAYE schemeThis is a flat tax rate of 25 percent, however there are no deductibles available. After a year, they will be sorted into Norway’s regular tax system. 

Norway’s gender and immigrant wage gap 

Foreigners in Norway typically make less money than their Norwegian counterparts. The average salary for a foreign resident in Norway is around 50,270 kroner per month, according to figures from the national data agency Statistics Norway.

Furthermore, when you take immigrants out of the wage statistics, the average wage rises to 58,190 kroner. 

The highest earners amongst foreigners in Norway were those  from North America and Oceania. They made 61,810 kroner on average. 

Africans, and those from countries that joined the EU after 2004, had the lowest earnings among all immigrant groups in Norway. 

While women’s wages increased more than men’s last year, a gender wage gap still exists in Norway. An average woman’s salary amounted to 88.3 percent of a man’s monthly pay packet.

bigger gap existed between Norwegian men and foreign women. 

READ ALSO: How much money do Norway’s different foreigners make?

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