Eurofound's ERM database on restructuring-related legal regulations provides
information on regulations in the Member States of the European Union and Norway
which are explicitly or implicitly linked to anticipating and managing change.
Denmark: Obligation to consider alternatives to collective dismissals
Phase
The Danish Act on Collective Redundancies (Consolidation Act no. 291 of 22 March 2010); The Danish Act on Information and Consultation of Employees (Act no. 303 of 2 May 2005)
Native name
Bekendtgørelse af lov om varsling m.v. i forbindelse med afskedigelser af større omfang (LBK nr 291 af 22/03/2010); Lov om information og høring af lønmodtagere (LOV nr 303 af 02/05/2005)
Type
Obligation to consider alternatives to collective dismissals
Added to database
08 May 2015
Article
Section 5 Danish Act on Collective Redundancies, Section 4 Danish Act on Information and Consultation of Employees
Description
If the restructuring exercise is expected to involve redundancies on a scale falling within the scope of the Danish Act on Collective Redundancies (within 30 days, at least 10 dismissals in companies with 21-99 employees, at least 10% in companies with 100-299 employees or at least 30 dismissals in larger companies), the employer must, as soon as possible, initiate negotiations with the employees or employee representatives. The employer must explain the main reason for the expected restructuring in a letter addressed to the employees representative, as well as to the Regional Employment Council.
The negotiations must aim at preventing or reducing the expected redundancies or, if this is not possible, alleviate the consequences of the redundancies.
This means that the preparation of the restructuring has to take place in a timely manner in order for the information, consultation and negotiation to be carried out in accordance with the Danish Act on Collective Redundancies and/or the Danish Act on Employees’ Rights in the event of Transfers of Undertakings and/or the Danish Act on Information and Consultation of Employees.
It is important to stress that the restructuring exercise is not subject to the ‘approval’ of the employees or employee representatives.
Commentary
No information available.
Additional metadata
Cost covered by
Employer
Involved actors other than national government
Regional/local government
Works council
Court
Other
Involvement (others)
Regional Employment Council
Thresholds
Affected employees: 10 Company size: 21 Additional information: No, applicable in all circumstances
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