All About Offering Employee Benefits in Denmark
Hire the best talent in Denmark with the information you need to offer a competitive benefits package and stay compliant.
Required Benefits in Denmark
In Denmark, offering competitive benefits and compensation packages can help you attract top talent. Justworks EOR provides expert guidance and helps you access excellent local benefits and perks. Let's dive into the essential benefits employers should offer to attract the best talent and stay competitive on a global scale.
Social Security
Denmark offers citizens the right to welfare benefits and services. However, employment agreements or collective bargaining agreements may include additional benefits for employees, such as private pension plans or additional leave.
Time Off
Danish employees accrue 2.08 days of leave per month. This amounts to 25 days accrued between September 1 to August 31. Employees can take this leave within the following 16-month period.
Offer Competitive Benefits
Supplemental benefits can help you attract and retain the best talent. Let’s explore some options below.
13-month Salary
Denmark doesn’t have a compulsory 13th-month salary requirement. Many employers offer a 13th-month salary as an end-of-year bonus to incentivize increased productivity. This is particularly common for employees who work in sales or hold managerial positions.
Private Pension Fund
In Denmark, private pension plans are a common benefit. Contributions from both employers and employees typically range from 6% to 10% of an employee’s salary. Given the modest nature of public pensions, including a private pension in your salary package can significantly boost your competitiveness as an employer.
Remote or Flexible Work
Offering the option to work from home is a popular perk. Remote or flexible work policies promote a better work-life balance and help reduce office expenses.
Healthcare
Denmark offers universal healthcare which gives Danish citizens access to welfare benefits and services. Many employers in Denmark also offer supplemental benefits so employees have easier access to a wider variety of healthcare services.
Ready to Offer Benefits in Denmark?
Justworks EOR makes building your global team seamless by helping you access localized benefits to attract top talent in Denmark. Simplify international hiring today.
