Update on the proposed act on employment contracts

The proposed act on employment contracts and certain working conditions, which implements the European Parliament and Council Directive (EU) on transparent and predictable working conditions from 2019, was submitted for consideration on 29 March, and underwent its first reading on 13 April 2023. It is now scheduled for a second reading on 9 May, 2023, and a third reading on 11 May 2023.

As our employment law specialists have previously written, the bill proposes a number of changes to the current employment contract act and expands the general obligation of employers to provide information on the terms of employment.

The expanded obligation to provide information will, among other things, involve:

  • More employees have the right to an employment contract
  • Some of the information about the terms has to be given at an earlier stage, and more information has to be provided
  • A limit is set for the maximum length of a trial period
  • Employees have the opportunity to request more predictable employment terms
  • Employers' ability to limit and/or exclude employees' secondary employment is significantly restricted

If the proposed law is passed, it is set to come into force on 1 July 2023.

Lund Elmer Sandager is closely minitoring the progress of the bill, and if it is passed, we will arrange a meeting or webinar where the key changes will be discussed to ensure that employers understand how to deal with the changes in practice.

If you have any questions about the bill or other employment law issues, please contact Associate Partner Julie Flindt Rasmussen.