Threshold salary set to increase for foreign workers under Pay Limit route

IMPACT – MEDIUM

What is the change? The minimum salary for foreign nationals working in Denmark under the Pay Limit scheme will increase on Jan. 1 to 417,793.60 kroner (about US$67,000) per year.

What does the change mean?  The new salary minimum will apply to applications submitted on or after Jan. 1 and represents a 2.2 percent increase over the 2017 minimum of 408,800 kroner per year.

• Implementation time frame: Jan. 1.
• Visas/permits affected: New work permits under the Pay Limit scheme.
• Who is affected: Employers who sponsor foreign employees under the scheme.
• Business impact: Businesses should budget for the increase.
• Next steps: Authorities have said they will announce new government fee rates and amendments to the positive list – the list of shortage occupations which are available to qualifying non-EU nationals – on Jan. 1.

BAL Analysis: Employers must meet the new threshold. Extensions of existing work permits may continue to use salaries from the initial application.

This alert has been provided by the BAL Global Practice group and our network provider located in Denmark. For additional information, please contact your BAL attorney.

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