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Minister of Employment Ane Halsboe-Jørgensen and others presented a new scheme for foreign workers on Monday.
Liselotte Sabroe/Ritzau Scanpix

Government lowers limit for foreign labor

It has been a dispute for years, but the government is now significantly lowering the limit for foreign labor.
30. JUN 2025 11.39
Arbejdsmarked

It will be a little easier for Danish companies to bring in more foreign labor. This is happening after a long tug of war between the government parties, who have negotiated the years-long dispute.

The limit for foreign labor from 16 selected countries outside the EU will be lowered from 514,000 kroner to 300,000 kroner annually. This is evident from a press conference on Monday.

The 16 countries are the USA, Great Britain, Singapore, China, Japan, Australia, Canada, India, Brazil, Malaysia, Montenegro, Serbia, North Macedonia, Albania, Ukraine and Moldova.

- This is a new breakthrough in the Danish model, says Minister of Employment Ane Halsboe-Jørgensen (S).

The scheme will only apply to companies that are covered by a collective agreement under the Danish Trade Union Confederation or the Danish Employers' Association.

At the same time, as an initiative against social dumping, a requirement for ID cards is being introduced on major construction projects, which is intended to make it easier for the authorities to check that the work is being carried out legally.

Conflict in the government

It is largely foreign labor that pays taxes in Denmark, which has boosted the Danish economy by billions of kroner, especially in recent years.

The issue has been a point of contention for years, especially between the Liberal Party, which wants more labor, and the Social Democrats, which do not want to undermine the Danish labor market and good conditions for Danish workers.

Both parties have been wary of increasing immigration from the MENAPT countries, which are a number of predominantly Muslim countries.

Since the Moderates entered Danish politics, the party and its business backers have been particularly pressing, and the party proposed two years ago that it should apply to companies with collective agreements.

The trade union movement has been abandoned

Consideration for the trade union movement has also played a role, but the agreement has been abandoned them.

Both the Liberals and the Moderates, who want more foreign labor, deny that the scheme has become smaller than hoped for during the negotiations.

- You call it a small scheme, but I am pretty sure that it is a gigantic breakthrough in terms of how we recruit, says Minister of Education and Research Christina Egelund (M).

The scheme will be discontinued if there are too many unemployed people in Denmark, so that foreigners cannot take Danish jobs. But otherwise there is no ceiling according to Minister of Economics Stephanie Lose (V).

- If we get into a situation where unemployment increases, this scheme will be closed down, because then there will be more Danish labor. This does not change the fact that it is a scheme that, here and now, when unemployment is low, gives companies the opportunity to recruit, says Lose.

Although foreign labor has boosted the Danish economy considerably, the growth largely comes from foreigners on other schemes.

- The large growth from foreign labor comes from the 80 percent who are Europeans and from those who are on the lump-sum schemes, says Minister of Immigration Kaare Dybvad Bek.

KL: Remember integration

KL welcomes the new agreement, which can provide the necessary labor, but reminds us that it is important to be aware of the responsibility that comes with international labor.

- We must learn from the past and remember that when we recruit labor from outside, it is about more than just filling positions. The people who come here must also have a home, learn Danish and have a place in daycare centers and schools. In other words, they must be integrated into the local community. Here, the municipalities have a large, complex and financially burdensome task, which should be an important point of attention in the future – both locally and at Christiansborg, says Steen Christiansen (S), chairman of the Labour Market and Citizens' Services Committee.

The Folketing will vote on the agreement, but it is expected to be a formality, as the government has already secured a majority.

/ritzau/ak

 

12.50 added, among other things, comment from KL.

 

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