Denmark is modifying the rule for the residence and work permit application process for foreign workers. From September 1, 2024, the employment contracts must include the applicant’s pay in Danish kroner and be filed as part of the work visa and residence application process. From September 1, 2024, the Danish Agency for International Recruitment and Integration (SIRI) adjusts the practice for salary declaration in foreign currency in the area of work.
To be granted a residence and work permit for salaried work, it is a requirement that your salary and terms of employment correspond to Danish standards. This means that you must receive a salary that corresponds to Danish standards for the work in question in Denmark.
The requirement that your salary corresponds to Danish standards applies to first-time applications and applications for extension. It applies to the Pay Limit Scheme, Supplementary Pay Limit Scheme, Fast track Scheme (pay limit track, supplementary pay limit track, short-term track, researcher track), Researcher’s Scheme, Positive List for People with a Higher Education, Positive List for Skilled Work amongst others.
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If you are applying for a work permit for sideline employment or a separate work permit as an accompanying family member, it is also a condition that your salary corresponds to Danish standards.
Earlier, Denmark had announced salary limits for residence and work permits of foreigners from July 1, 2024.
When assessing whether the salary corresponds to Danish standards, only liquid funds that are paid out are included in the assessment, i.e. the fixed and guaranteed salary, payments to labour market pension schemes, and holiday allowance. The employer can provide staff benefits such as board and lodging as a supplement to the salary, but staff benefits cannot be included in the assessment of whether the salary and terms of employment correspond to Danish standards.
Uncertain salary income such as commissions or bonuses cannot normally be included in the calculation of your salary.
For most of SIRI’s work schemes, it is a condition that you are offered full-time employment (normally 37-40 hours per week).
Essentially, your salary, holiday entitlements, terms of notice etc. must not be inferior to the standards within the professional field in Denmark in which you are going to work.
The assessment of whether the salary corresponds to Danish standards will be made in Danish kroner (DKK) which means that the salary must be stated in Danish kroner (DKK).
Prospectively, SIRI will not accept salary declarations in foreign currency.
If the salary offered in the employment contact or job offer is stated in a foreign currency, it is required that you attach an addendum with the salary converted into Danish kroner (DKK). The adjustment of practice applies to all applications for a residence and work permit in the area of work received as of 1 September 2024.
For applications for an extension of a residence and work permit where the original permit was granted before 1 September 2024, salary stated in a foreign currency will be accepted. The foreign currency will be converted into Danish kroner (DKK), and a decision regarding the application for extension is based on the exchange rate. Danmarks Nationalbank (the central bank of Denmark) is used as the primary source for converting exchange rates.
