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The Danish Labour Market Fund for Posted Workers

The Danish Labour Market Fund for Posted Workers is a fund ensuring that employees posted to Denmark receive wages owing to them.

If a posted employee is not paid the wages owing to him or her by a foreign employer, The Danish Labour Market Fund for Posted Workers can pay out the wages if the conditions for payment are met.

When a posted employee or the employee’s trade union notifies The Danish Labour Market Fund for Posted Workers about the non-payment of wages, the fund takes over the handling of the case against the foreign employer. This means that The Danish Labour Market Fund for Posted Workers is responsible for collecting the unpaid wages from the foreign employer.

See conditions for applying

The Danish Labour Market Fund for Posted Workers pays out the salary outstanding when:

  • the work performed is covered by a collective agreement
  • the salary have been determined by a labour court
  • the foreign enterprise is registered in an EU/EEA country
  • the employee posted to Denmark or a trade union has tried, in vain, to have the salary paid out following the consideration of the case by a labour court.

All four conditions must be fulfilled in order for salary to be paid out by The Danish Labour Market Fund for Posted Workers.

Contributions to The Danish Labour Market Fund for Posted Workers

The fund is financed by contributions from all Danish employers that are obliged to pay the Labour Market Supplementary Pension (in Danish ATP) for employees.
All foreign employers providing services that employ temporary workers in Denmark also contribute to the fund. The collection of contributions from these enterprises is based on notification to the Register of Foreign Service Providers (RUT-registeret)

 
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