Employment Contract

What should be in an employment contract?

An employment contract can be composed in many different ways. However, there are 10 relevant points which according to employment rules must always appear in the contract:

1. Name and address of employer and employee.
2. The address of the workplace or – if the place of work is not fixed – the address where the work is mainly performed.
3. Description of the content of the work or indication of position.
4. Employment relationship start time.
5. The end of the employment relationship in the case of a fixed-term employment.
6. Holiday rights.
7. Duration of employer and employee termination notice.
8. Salary conditions.
9. Daily or weekly working hours.
10. Indication of any collective agreement, if there is any.

When you make your employment contract with DKkonsult, you can also easily add Confidentiality Agreement / NDA and/or Secrecy Agreement / NDA to protect and secure your company from leaks such as customer lists or inventions.

Employment contract requirements 

As an employer, you are required to prepare an employment contract, whether you need to hire a monthly paid official or hourly employee. The only exception to this rule is if the employee is only required to work 8 hours – or less – per week or if the duration of employment is shorter than one month. Without an employment contract, you may be liable to pay compensation to the employee.

If you need to hire an employee who does not speak Danish, you can also easily add an English-language version of the contract for only 299 kr. Then you receive a double-column version of the contract, one of which is a Danish-language version and the other column is an English-language version.

Employment contract for monthly salaried employee

If the employee is to be paid a fixed monthly salary, the employee – regardless of the length of working hours – will be paid monthly. A monthly paid employee does not necessarily have to be a full-time employee, as part-time employees may also be monthly paid. This may be the case, for example, if the employee is paid DKK 18,000 a month for 20 hours of work per week. If your employee is to be paid by number of hours worked, on the other hand, he or she will be hourly paid ( read more about hourly paid employees in the next section ).

As an employer, you must apply an employment contract for monthly salaried employees if your employee:

• is an employee and employed in a service position ( primarily in the commercial and office area ), performs work on warehouse freight forwarding or deals with either technical or clinical assistance services.
• works more than 8 hours a week for a period lasting longer than one month.

Please note that directors are not covered by the Employees Act, even if they meet the above criteria. Therefore, instead of an employment contract, you must prepare one director contract, if the employee is to take up a director position.

Employment contract for hourly pay

An employee is hourly paid when he/she is paid for the number of hours they work during the pay period. Servants and students are most often among the people who are paid hourly for their work. However, you should be aware of whether your hourly employee is functionary and thus covered by the rules of the Civil Service Act on termination, illness, etc., as this may have an impact on the design of the contract.