The Government's Legislative Program 2024/2025
The Government's Legislative Program 2024/2025
On October 1, 2024, the government presented its legislative program for 2024/2025, and several of the proposed bills could have significant implications for employers. Among the proposed bills are regulations regarding posted workers, gender balance in boards, and workplace environment.
Bill L 61 proposes that at least 40% of the members of a company’s highest governing body must be of the underrepresented gender.
If companies do not meet the 40% target by June 30, 2026, they will be required to adjust the process for selecting candidates for appointment or election to positions in the highest governing body.
The bill is expected to come into effect on January 1, 2025.
The reporting period for these targets will also be changed to every two years. The aim of the bill is to reduce administrative burdens and free up resources.
The bill is expected to come into effect on January 1, 2025.
The bill is expected to come into effect on January 1, 2025.
However, the new information requirements in the RUT are expected to take effect on January 1, 2026.
The new Labor Market Council will be tasked with providing advice and discussing relevant issues and current challenges in the labor market that are of interest to the Minister for Employment, spanning both employment and workplace environment matters.
For employers, this change will simplify the structure in the areas of workplace environment and employment, as it is expected to provide easier access to discussions on relevant topics.
Read the full government's legislative program here.
Gender Balance in Senior Management
Denmark has been working for years to improve gender distribution in corporate leadership. As part of the implementation of the EU Gender Balance Directive, Bill L 61 proposes full implementation of the directive to ensure alignment between the rules of the directive and the existing Danish regulations on the underrepresented gender.Bill L 61 proposes that at least 40% of the members of a company’s highest governing body must be of the underrepresented gender.
If companies do not meet the 40% target by June 30, 2026, they will be required to adjust the process for selecting candidates for appointment or election to positions in the highest governing body.
The bill is expected to come into effect on January 1, 2025.
Abolition of Gender Equality Reports and Simplification of Rules on Gender Composition in Boards
In contrast to Bill L 61, the government has introduced Bill L 36, which proposes changes to the Gender Equality Act to simplify reporting requirements for public authorities, including municipalities, regions, and state institutions. Additionally, the proposal includes a threshold of 50 employees for municipal associations, state institutions, and companies, that are required to set targets for gender composition in boards, etc.The reporting period for these targets will also be changed to every two years. The aim of the bill is to reduce administrative burdens and free up resources.
The bill is expected to come into effect on January 1, 2025.
Tighter Rules for the Posting of Employees
As of January 1, 2025, the rules for posting employees will be tightened to strengthen the fight against the use of illegal labor. The proposed bill includes three new requirements:- Identification Papers: Employees must, upon request from the Danish Working Environment Authority (Arbejdstilsynet) and the Danish Agency for International Recruitment and Integration (SIRI), present identification documents.
- Responsibility of Foreign Employers: Foreign employers posting employees in Denmark will be responsible for ensuring that their employees can present such identification to the Danish Working Environment Authority.
- Additional Information for Third-Country Nationals: Foreign employers wishing to post third-country nationals to Denmark must upload additional information to the Register of Foreign Service Providers (RUT), including a copy of the service agreement, employment contracts, and work permits for the individuals involved.
The bill is expected to come into effect on January 1, 2025.
However, the new information requirements in the RUT are expected to take effect on January 1, 2026.
Abolition of the Health Information Council, Jobservice Denmark, and Employment Policy Goals
As part of the government's proposal for the 2025 Finance Act, Bill L 75 is being introduced, aiming to establish a new Labor Market Council consisting of labor market stakeholders. In this context, the government intends to abolish the eight regional labor market councils, Jobservice Denmark, and the Health Information Council.The new Labor Market Council will be tasked with providing advice and discussing relevant issues and current challenges in the labor market that are of interest to the Minister for Employment, spanning both employment and workplace environment matters.
For employers, this change will simplify the structure in the areas of workplace environment and employment, as it is expected to provide easier access to discussions on relevant topics.
Read the full government's legislative program here.