Hire Employees & Contractors


Compliantly hire your distributed team members in


Person working on laptop

Hiring in


isn't so simple. Borderless can help.

To hire new employees in


, your business must have a local legal entity or an Employer of Record like Borderless in place already. Then there’s the management of local employment compliance, taxes, benefits, payroll, and more. Hiring contractors poses similar challenges.

Borderless handles all of that for you, so you can focus on getting to work with your new team member in


while staying fully compliant with local laws and compliance.

Primary Language



Danish krone (kr., DKK)

Payroll Frequency


Public Holidays

11 days

Employer Taxes

2,272.20 DKK

Cost of Living Index


Statutory Leave

25 days

Sick Leave

30 days

Maternity Leave

Expecting parents receive 52 weeks of paid parental leave between both parties. Mothers are allowed 4 weeks directly before the expected birth and 14 weeks after. Both parents can take leave at the same time or one after the other.

Important: Risks of misclassification

In many countries like


, the treatment of employees and contractors is different. If you misclassify a new team member, you could be subjected to penalties and fines. Let Borderless get this right for you, so you don’t have to worry.

Payment Information

Minimum Wage

There is no mandatory minimum wage, however there are standard average wages determined by collective bargaining. The average Danish employee earns DKK 45,481 each month before taxes.

Overtime Pay

Workers in Denmark typically receive pay at a rate of 150% if they work up to three hours over the standard eight-hour. If their excess work is more than three extra hours, they can receive compensation at a rate of 200%.

Additional Pay

13th or 14th month salaries are not a statutory requirement in Denmark, but employers may give out bonuses at their discretion.

Payroll Cycle

For all Borderless customers, employee payments will be made in equal monthly installments on or before the last working day of each calendar month, payable in arrears.

Employer Costs & Taxes

  • 2,791.60 DKK: Employer's Reimbursement System (AUB)
  • 1,350 DKK: Estimated Maternity Fund Contribution
  • 5,000 DKK: Estimated Industrial Injuries Insurance
  • 5,300 DKK: Other public social security schemes

Employee Costs & Taxes

  • 1,135.80 DKK: Danish Labour Market Supplementary Pension Scheme (ATP)

Employment Information

Termination Process

Termination of an employment relationship must always be done in writing, with proof that the notice was received. This is unless an employee is dismissed for gross misconduct. Employees who have been with the company for at least a year at the time of termination are protected from being terminated without cause. Collective bargaining agreements, in general, provide the same protection, but only after 9 months. Among the just causes are, but not limited to:

Changes in the employer's financial situation and staff reductions; Restructuring of the company; Issues with cooperation or trust in the employee; Employee's unfitness for the job; or Contract breach by the employee, such as serious misconduct or theft.

Notice period

The statutory notice period for an employer is determined by the length of employment:

  • Less than 6 months of employment: 1 month notice
  • Between 6 months and 3 years of employment: 3 months notice
  • Between 3 and 6 years of employment: 4 months notice
  • Between 6 years and 9 years of employment: 5 months notice
  • More than 9 years of employment: 6 months notice

Probation Period

Probationary periods of up to three months are permitted for salaried employees.
During these three months, both parties can agree to terminate the employment with 14 days' notice.

There is no minimum or maximum probationary period for non-salaried employees (unless agreed in a collective bargaining agreement).

Severance Details

In general, there are no statutory requirements for severance pay in Denmark. Employees who have been in continuous employment for 12 to 17 years are entitled to a one-to-three-month severance payment.

Benefits of working in a country abroad

Borderless Benefits Packages in


When the world is your competition, it pays to incentivize new hires and existing alike. Borderless benefits packages typically include:

Medical Insurance
Dental Insurance
Vision Insurance
Life Insurance
Retirement Contributions

Learn how to hire quickly and easily in


Book your demo of Borderless to help you hire, pay, and take care of new employees and contractors in 170+ countries.

Book a demo