Mette’s wage threshold for foreign labor reconsidered: Government is open to action to address labor shortages

Mette's wage threshold for foreign labor reconsidered: Government is open to action to address labor shortages

The Economist recently ranked Denmark’s economic performance in 2021 as the best out of 23 wealthy OECD countries, but its overall growth of 3.8 percent could have been even better if the government had made it easier for companies to recruit workers from countries without for the EU, claims e.g. Danish Industry and Danish Business.

However, Mette Frederiksen indicated in her traditional New Year’s speech that she is ready to discuss the possibility of lowering the amount limit – the salary that all such non-EU recruits must have paid out – which today is 445,000 kroner.

Conservatives and Radicals have proposed 360,000 kroner as an appropriate amount.

Recruitment problems
According to the Danish Agency for Labor Market and Recruitment, Danish companies have made 158,000 unsuccessful attempts to recruit labor over the past six months – the highest number since the spring of 2007.

About 35 percent of all recruitment efforts were unsuccessful. They either failed (20 percent) or ended up being filled by a candidate who did not have all the desired qualifications (15).

Nearly half of all companies with labor shortages have reported production losses.

The government has been “financially irresponsible”, the ally claims
It is likely that Frederiksen and Minister of Finance Nicolai Wammen will enter into discussions before long. “We only need to pick up labor that is in short supply. It must be for a limited period. And of course it has to be done in a proper way, “said the Prime Minister on 1 January.

Radicals, a government ally, went so far as to call the government “financially irresponsible”, according to DR.

“Right now, companies are lacking a lot of labor, and if we are not to continue to lose welfare every single day because people say no to orders from companies, then we must be ready for international labor to come here,” the Conservative leader declared. Søren Pape Poulsen.

However, two of the government’s left-wing allies, SF and the Unity List, are opposed to lowering the amount.

Domestic flight zero destinations
In related news, the Prime Minister took the opportunity of his New Year’s speech to announce a target without fossil fuels for all domestic flights by 2030.

“To travel is to live, and that is why we fly,” said Frederiksen. “When other countries in the world are too slow, Denmark must take the lead and raise the level even more.”

However, the Prime Minister admitted that the technology is not yet available to achieve the goal.

Source: The Nordic Page

Related Posts: