Persons working in central government are as a main rule employed under collective agreements or as civil servants.
Since 1 January 2001, appointment as civil servants is confined to special positions that are specified in circular of 11 December 2000 on the application of civil servants' employment in the state sector and the national church. Accordingly, it is typically senior managers, judges as well as police, prison and defence staff that are employed as civil servants. Other groups are typically employed on collective agreement terms.
Consequently, over the years there has been a drop in the number of appointments as civil servants. In 1996, the proportion of civil servants was 44 per cent; in 2003 it was 36 per cent.
A few individual personnel groups are employed according to regulations, and in a small number of cases, employment is based on individual contracts.
Employment under a collective agreement
In connection with employment under a collective agreement, the Minister for Finance and various organisations have concluded the terms of the agreements.
Persons employed under a collective agreement in the state sector are covered by the general labour market legislation.
Employment as civil servants
Under the Danish Constitution, Danish nationality is a prerequisite for employment as a civil servant (with respect to employment of foreign nationals, please see below).
Detailed employment terms for civil servants are laid down in the Civil Servants Act and the Civil Servants' Pension Act as well as determined by collective agreement.
These Acts regulate issues regarding official duties, disciplinary rules, dismissal and pension.
Issues regarding pay and other employment terms are agreed between the Minister for Finance and the four central organisations.
Other status of employment
In connection with regulations employment, the terms are determined unilaterally.
In connection with individual employment, the basis of employment is an individual contract that is concluded between the employee and the employment authority.
Both regulations employed and individually employed members of staff are subject to the general labour market legislation.
Regulations employment is used for groups whose work area is not subject to any collective agreement.
Employment based on an individual contract is used especially in connection with the appointment of high-ranking managers, where the employment authority finds it expedient to apply a more flexible and individual wage system or is in need of non-competition clauses or special dismissal or premature compensation retirement schemes. This status of employment may only be used in cases where there exists no agreement covering the area, or if the organisation with which the agreement has been concluded gives it approval.
Differences between civil servants and other groups
The most significant difference between civil servants and other groups of employees is that civil servants have no right to strike, they are entitled to three years' pay if they are dismissed due to abolition of positions, and their pension scheme is a defined-benefit plan.
Overview of differences between the rules governing persons employed under a collective agreement and civil servants
|
Persons |
Civil servants |
| Regulatory framework |
General agreements, collective agreements and general labour market legislation |
The Danish Constitution, the Civil Servants Act, the general agreement, collective agreements and the general labour market legislation apart from the Holiday Act and the Salaried Employees Act |
| Course of action to follow in case of failure to conclude/ renew collective agreements |
General employment law procedures |
No right to strike. The Minister for Finance will submit a Bill to the Folketing (Danish Parliament) |
| Probation period |
For salaried employees: a maximum of 3 months according to the Salaried Employees Act. Other employees: none |
Normally 2 years |
| Breach of duty |
Warning or dismissal are possible sanctions |
Disciplinary sanctions under the provisions of the Civil Servants Act |
| Sickness |
Usual pay during sickness for most groups. Others will receive benefits under the Sickness Benefit Act |
Usual pay during sickness |
| Notice of termination on the part of the employee |
Salaried employees and other employees paid on a monthly basis: 1 month. Some employees paid on an hourly basis: 0 days - 1 month |
3 months |
| Notice of termination on the part of the employment authority |
Salaried employees: 1 - 6 months depending on seniority. Some employees paid on an hourly basis: 0 days - 3 months |
Normally 3 months |
| Pension |
Insurance-based pension in connection with resignation due to age or sickness |
The Civil Servants' Pension Act. Pension in connection with resignation due to age, sickness or any other cause that is not attributable to the civil servant |
Fixed-term employment
Fixed-term employment is based on special rules in the Civil Servants Act, the Act on Fixed-Term Appointments etc. Civil servants, staff employed on terms similar to civil servants as well as staff employed under a collective agreement may have fixed-term appointments.
It is a characteristic of fixed-term employment that a fixed-term award is granted and that conditions regarding severance pay and job return may have been agreed.
The objective of fixed-term employment is to achieve greater mobility and flexibility and a broader basis of recruitment, especially in connection with the appointment of managers.
Employment of foreign nationals
Like Danish nationals, foreign nationals may be employed on collective agreement terms or on individual terms.
Appointment as civil servants is only possible provided the employee has Danish nationality, cf section 27 of the Danish Constitution.
In cases where individuals with Danish nationality are employed as civil servants, individuals without Danish nationality will be employed on terms corresponding to those of civil servants, cf section 58c of the Civil Servants Act. With respect to pensions, they will also be treated like civil servants.
In accordance with the rules on the free movement of labour, citizens from the other countries in the EU and the EEA enjoy the same opportunities of employment in positions where individuals with Danish nationality are employed as civil servants. This right applies subject to restrictions that are justified by regard for public order, public security and public health.
The rules governing the free movement of labour do not apply to positions in public administration. According to the practice of the European Court of Justice, this exemption applies only to positions that entail the exercise of public authority and responsibility for safeguarding the general interests of the state or other public authorities.
In general, there is no requirement of Danish nationality in connection with appointments in central government administration. However, there are exceptions with regard to certain positions within the area of the Ministry of Defence and the Prison and Probation Service.