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WORKING IN DENMARK

Denmark to ease rules for people on sick leave

People who receive welfare benefits while on sick leave in Denmark will face fewer meetings with authorities under changes announced to the sick pay system on Thursday.

Denmark to ease rules for people on sick leave
Danish employment minister Ane Halsboe-Jørgensen presents reforms to the sick pay system. Photo: Liselotte Sabroe/Ritzau Scanpix

Reforms to sick leave pay or sygedagpenge were presented by Denmark’s Ministry of Employment on Thursday in a move the government says will cut administrative costs.

At a briefing, Employment Minister Ane Halsboe-Jørgensen called the planned changes a “debureaucratisation” of the existing sick pay system.

The move means ineffective rules added to the system over a number of years will now be cut, Halsboe-Jørgensen said.

“It will be easier to plan a period of sick leave based on the needs of the individual,” she said.

That means a more “flexible” system that can be adapted to fit the individual based on their specific health situation, so different criteria and rules will be applied to different people.

For example, the requirements will be less stringent for people on sick leave who have a job to return to once given medical clearance.

An existing rule requiring people on sick leave to attend four meetings with their local municipality will be scrapped for people with “short-term and uncomplicated situations”, who will instead attend a single meeting.

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At the briefing, Halsboe-Jørgensen gave an example of an “uncomplicated situation” as somebody with a broken leg and no “social challenges”.

“In reality, life situations will also define it,” she said.

Several other sick pay rules are to be simplified in the agreement, which the government says will save 79 million kroner per year when it takes effect in 2025.

Some 86,000 people received full time sick pay in 2023.

The agreement is backed by the coalition government alongside opposition parties that have already agreed to work with it on sick pay reforms: the Socialist People’s Party (SF), Social Liberals, Liberal Alliance, Conservatives and Danish People’s Party. This gives it a clear majority in parliament.

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WORKING IN DENMARK

Foreign workers in Denmark ‘create 300 billion kroner of value’

Almost one in eight people in paid employment in Denmark is a foreign national, meaning workers from abroad create a huge amount of value for the country, the Confederation of Danish Industry says in a new analysis.

Foreign workers in Denmark 'create 300 billion kroner of value'

Increasing employment in Denmark in recent years is due in no small part to international labour, and the high rate of international employment, couple with a continued low unemployment rate, underline the need for workers from abroad, the Confederation of Danish Industry (Dansk Industri, DI) said in a press release on Monday.

An analysis from DI based on Statistics Denmark data found that, between 2013 and 2023, the number of foreign nationals working full-time in paid employment in Denmark increased from 147,000 to 309,000.

The 2023 level is equivalent to 13 percent of overall employment in Denmark being attributable to foreign labour, DI said.

“You cannot overestimate the importance of international labour in Denmark,” DI’s deputy director Steen Nielsen said in the statement.

“If they had not been here and made the contribution they do, we’d not have been able to produce goods, treat the sick or build the amount of houses we need,” he said.

“It is good business in every way because it means our labour market and business sector is functional, but also because international colleagues are worth billions to Denmark,” he said.

International labour created some 282 billion kroner of value within the Danish economy last year, according to DI’s analysis. That is reportedly a new record and equivalent to 11 percent of the country’s total value output.

“Employment has fallen and the economy would have done the same [shrunk, ed.] ifwe had not had our international colleagues. We owe them a big thenk you for their contributions to Denmark’s progress,” Nielsen said.

The DI deputy director said the analysis showed the continued importance of making Denmark attractive to foreign labour.

READ ALSO: Foreign workers report increased appeal of Denmark and Copenhagen in study

“The coming years will see fewer Danes of working ages. So to retain the affluence and welfare we have today, we must continue to gratefully receive international labour,” Nielsen said.

“A simple and effective measure would be to also allow foreigners from outside of the EU to come here if they have a job offer in line with collective bargaining agreements. That would make an immediate difference,” Nielsen said with reference to the salary and other labour standards set by Denmark’s collective bargaining system.

The business representative underlined that such workers should not be allowed to stay in Denmark if their work circumstances ceased.

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