Article

Article 2

Description

Dismissed employees are entitled to notice pay.

For salaried workers this is the following (for non-salaried workers this is regulated in collective agreements):

• one month notice pay for service of up to five months;
• three months for service of five months to two years and nine months;
• four months for service of two years and nine months to five years and eight months;
• five months for service of just over five years and eight months to eight years and seven months;
• six months for longer service than eight years and seven months.

In addition, for service of 12, 15, 18 years employees are entitled to redundancy pay under Section 2a of the Salaried Employees Act (one, two and three months’ salary respectively).

These are valid for individual as well as collective dismissals; there is no general legal entitlement to anything more than is provided for in an individual dismissal unless envisaged by a collective agreement or social plan.

Commentary

In addition to contractual or collectively agreed redundancy pay, recent case law has further clarified employers’ obligations under the Danish Act on Collective Redundancies. In Eastern High Court, BS-36961/2022-OLR (26 May 2025), the Court ruled that the 30-day compensation under Section 11(1) is a statutory allowance and not loss-based. Employers cannot deduct income from new employment during this period, nor are they required to pay holiday pay on this compensation

Additional metadata

Cost covered by

Employer

Involved actors other than national government

National government

Involvement (others)

None

Thresholds

Affected employees: No, applicable in all circumstances
Company size: No, applicable in all circumstances
Additional information: No, applicable in all circumstances

Sources

• Bekendtgørelse af lov om retsforholdet mellem arbejdsgivere og funktionærer
• Ius Laboris (2009). Collective Redundancies Guide, Brussels
• Alpha Consulting (2003). Anticipating & Managing Change - A dynamic approach to the social aspects of corporate restructuring, Brussels, European Commission