Last week, the Danish government enacted a bill
on wage compensation that puts into practice the agreement between
the government and social partners regarding wage compensation
for businesses which, as a consequence of the current economic
landscape, are facing redundancies.
In addition to the act, the Ministry of Industry, Business
and Financial Affairs has issued an executive order on the wage
compensation scheme. The executive order lays down the maximum
compensation amount, conditions for receiving compensation, payment
of compensation, and rules on audit and repayment. Many
of the issues regulated in the executive order were also presented
during the bill’s passage through
Danish parliament, including in the legislative
material.
