Foreign engineers in Denmark and their trade union - IDA

Bo Falkencrone (bfa@ida.dk)

Copenhahen Language Center

February 20th 2013

www.ida.dk

Facts about IDA

• 86,300 members (January 2013)62,300 regulars + 24,000 students

• 8 regions and 25 sections• 43 science and technology networks• 33 science and technology groups • 1,500 annual events – 50,000 participants• Annual budget – 24 million Euro• Staff – approx. 200 employees

Service on employment Service on employment issues:issues:

Advising the members and negotiating on their behalf in matters concerning contracts and remuneration, employment conditions, dismissals and everything in between

Negotiation of collective agreementsAdvising on competence and career

development

Service on employment Service on employment issues:issues:

IDA has approx. 25,000 member queries per year

70% are resolved on the spotCurrently there are a number of lawsuits

pending on behalf of one or more members on issues e.g.:◦Maternity leave◦Dismissals◦Bonuses and severance payments

Other benefitsOther benefitsInsurance:

IDA Forsikring offers exclusively to IDA’s members what is probably the cheapest and best insurance coverage in Denmark

The Engineers’ Weekly:As a member of IDA you will receive a copy of ”Ingeniøren” by mail every Friday, keeping you up to date with career oppor-

tunities and latest developments within the fields of technology, science and ITC

The Danish Labour MarketThe Danish Labour Market The Flexicurity ModelThe Flexicurity Model

High mobility / turn over in the labour marketRather high level of securityStrong organisation among both employers and

employeesHigh level of unionisation (80 % of the employees)Long tradition of collective bargaining (since 1899)Regulation by collective agreements and/or by law

(engineers mainly by law, eg. salaried employees act)No general minimum wage

Company Company structurestructure92 per cent of all Danish companies have

less than 10 employeesOnly 2 per cent have more than 50

employeesBut :68 per cent of the entire labour force is

employed by companies with 50 employees or more

SalarySalary Relatively high salaries (and

high income taxes) Few collective agreements

covering engineers working within private companies

Individual negotiations of employment conditions

Be well aware of what your contract really means!

TaxationTaxation

Min. 39% on a salary of approx. 27.000€ per annumProgressive income tax system. Max. 60%25% tax scheme for key employees and researchersVAT 25%Danes are rather happy to pay taxes – value for

moneyDanes state that they prefer welfare to tax reductions

Danish Labour Market for Danish Labour Market for EngineersEngineers 37 hrs./week

Min. 5 weeks vacation per year + min. 9 public holidays

High salaries – Engineers start at approx. 4.750 € BT

- Civil engineers (M.Sc) 36.500DKK incl. pension contributions

- Other engineers (B.Sc) 35.400DKK incl. pension contributions

Private pension plans are often part of the remuneration

Often no overtime compensation (neither time nor money)

Terms of notice are 1-6 months depending on seniority

Equal opportunities and employment rate for men and women

Engineers’ current unemployment rate is 3,7 % (Sept. 2012)