Recruitment criteria updated for Fast-track, Pay-limit schemes

IMPACT – MEDIUM

The Danish government has announced that it will update its recruitment criteria for the Fast-track Scheme and Pay-limit Scheme.

Key Points:

• Beginning Dec. 1, the gross salary requirement for the Pay-limit track within the Fast-track Scheme and Pay-limit Scheme will be reduced to 375,000 DKK from 448,000 DKK for three years.
• Residence permits through the Fast-track Scheme and Pay-limit Scheme will not be issued if gross unemployment is above 3.75%, or if more than 15,000 foreign nationals apply.
• Danish employers will be able to sponsor foreign nationals under the Fast-track Scheme if they have 10 full-time Danish employees instead of 20 full-time Danish employees.

Additional Information: More information regarding the Fast-track Scheme is available here and the Pay-limit Scheme here.

BAL Analysis: Once the law is implemented, more Danish companies will be able to sponsor and hire foreign nationals through the Fast-track Scheme and Pay-limit Scheme at a lower gross salary. However, the law will also include provisions to suspend both the Fast-track Scheme and Pay-limit Scheme based on the unemployment rate or excess demand on the programs.

This alert has been provided by the BAL Global Practice group. For additional information, please contact berryapplemanleiden@bal.com.

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