On this page

1. Youth employment measures

2. Flexicurity measures focusing on young people

3. Reconciliation of private and working life for young people

4. Funding of existing schemes/initiatives

5. Quality assurance

Youth employment measures

In Denmark, several measures are set up in order to integrate young people into the labour market. Some of the measures are permanent, while others are temporary pilot projects or experimental schemes. Most measures are administered by municipal job centres, unemployment insurance funds (A-kasser), and municipal youth measures (kommunal ungeindsats), and mechanisms are based on early intervention with widespread use of mandatory activation.

Furthermore, for unskilled young unemployed persons, the focus is on improving their formal skills through vocational education, based on the fact that unskilled young people are at greatest risk of unemployment and unstable employment.

The two main schemes for all unemployed persons in Denmark also cover young persons: unemployment benefits (dagpenge) and cash benefits (kontanthjælp). The early retirement benefit scheme may also be relevant to young people.

Unemployment benefits for young people in Denmark

Members of unemployment insurance funds are eligible for unemployment benefits if they meet the requirements. Young people are initially subject to the same offers and obligations as older unemployed persons, including the obligations to actively seek work and attend regular interviews at their local job centre.

Membership of an unemployment fund is a requirement to be entitled to unemployment benefits. A person must be at least 18 years of age to become a member. If under 18 years old, one of certain education programmes must be completed to become a member.

Members are entitled to unemployment benefits if they

• have been a member of an unemployment fund for at least one year and 
• have had a certain income while being a member for the last three years before unemployment. As of 1 January 2024, the income must be at least 263 232 DKK as a full-time insured member or 175 488 DKK as a part-time insured member. If the monthly income is lower, it will take longer to earn the right to receive unemployment benefits. A maximum of 21 936 DKK per month can be included for full-time insured members and 14 624 DKK per month for part-time insured members (2024 figures). 

If the members meet the requirements, they will be entitled to unemployment benefits for two years within a three-year period (the benefit period). The members will be entitled to another two years of benefits every time they have been employed in the benefit period for at least 52 weeks (1 924 hours) within the last three years. Only work during membership periods is taken into account. 

Members are entitled to unemployment benefits as graduates without having met the criteria above, if they

• have graduated from an education programme of at least 18 months
• become a member of an unemployment fund within 14 days after graduation and 
• have passed the test in Danish 2 or a Danish test of an equivalent or higher level. If the course ends with a grade, the grade must be at least 02 according to the 7-step scale. 

Graduates who do not meet the Danish language requirements can be entitled to benefits as graduates anyway if the individual has worked 600 hours as a full-time insured member or 400 hours as a part-time-insured member in the last 12 months within the latest 24 months before unemployment.

If the graduates meet the requirements, they will be entitled to unemployment benefits for one year within a two-year period (the benefit period). The members will be entitled to another two years of benefits every time they have been employed in the benefit period for at least 52 weeks (1 924 hours) within the last three years. Only work during membership periods is taken into account. 

However, if graduates join an unemployment fund within 14 days of finishing vocational training lasting at least 18 months or if have been members of an unemployment fund as students, they will be exempt from the above requirement.

If the members meet the requirements, they will be entitled to unemployment benefits for two years within a three-year period (the benefit period). The members will be entitled to another two years of benefits every time they have been employed in the benefit period for at least 52 weeks (1 924 hours) within the last three years. Only work during membership periods is taken into account. 

In order to receive unemployment benefits, unemployed persons are required to

• register at the local job centre on the first day of unemployment
• make a concerted effort to find new work and thereby minimise the amount of time they spend on unemployment benefits
• attend a job meeting at the unemployment insurance fund (A-kasse) within the first two weeks after having registered as unemployed on jobnet.dk
• attend meetings, both with the unemployment insurance fund (A-kasse) and the local job centre. At these meetings, the unemployed person will be required to discuss their strategy for finding new employment. The first three months of the unemployment period are handled by the unemployment insurance. The process then switches to the job centre and continues until you get a job. 

Benefit rates

Several factors determine the individual benefit rate for unemployed individuals. These factors include previous working hours, income, education, age, whether they provide for a child, and the duration of the benefits paid out.

• As of 1 January 2024, the maximum unemployment benefit rate is 20 359 DKK per month for full-time insured individuals and 13 573 DKK per month for part-time insured individuals.
• Graduates who provide for a child are entitled to 82% of the maximum benefit rate and the rate is not reduced.   
• Graduates who are non-providers are entitled to 71.5% of the maximum benefit rate but the benefit rate is reduced after the first three months (481 hours of the unemployment benefit period for full-time insured individuals or 390 hours for part-time insured individuals). Thereafter, the benefit rate for graduates for non-providers under the age of 30, is reduced from 71.5% to 49.17% of the maximum benefit rate and for graduates who have reached the age of 30 from 71.5% to 62.11%. 
• Young individuals under the age of 25 can enrol at a folk high school or day high school during the first 962 hours of unemployment if they are full-time insured individuals or 780 hours of unemployment if they are part-time insured individuals. They are entitled to 50% of the maximum benefit rate.
• Young individuals under the age of 25 without education who have worked a certain number of hours in the last three years before unemployment (at least 3 848 hours for full-time insured individuals or 2 565 hours for part-time insured individuals) are entitled to their individual benefit rate. During activation measures lasting four weeks or more, they receive 50% of the maximum benefit rate.
• Young individuals under the age of 25 without education or previous work experience receive their individual benefit rate in the initial 962 hours of unemployment for full-time insured individuals and 780 hours of unemployment for part-time insured individuals. After the initial 962/780 hours of unemployment, they receive 50% of the maximum benefit rate and during activation measures lasting four weeks or more, they are entitled to 50% of the maximum benefit rate.
• Individuals under the age of 25 with an education receive their individual benefits (or graduate benefits if they are entitled to unemployment benefits based on a student membership). If they participate in activation measures after the initial 962/780 hours of unemployment, and the activation measure lasts four weeks or more they receive a benefit rate of 82% of the maximum benefit rate, if they provide for a child. Non-providers receive 71.5% and their benefit rate is reduced to 49.17% of the maximum benefit rate after the first 481 hours of the unemployment benefit period if they are full-time insured individuals or 390 hours if they are part-time insured individuals. 

Employment measures for young people in Denmark

In the case of young unemployed persons who do not have a vocational education, the municipal youth measures or the job centres place a special emphasis on guiding them towards general or vocational education in the regular educational system. The municipal job centre or the municipal youth measure can offer young people entitled to unemployment benefits, cash benefits, or education benefits the following activation measures. The duration of the measures depends on the specific target group.

• Wage-subsidy job. The duration also depends on whether the workplace is private or public
• Internship programme
• Usefulness initiative (nytteindsats) is a measure where young recipients of public benefits undertake socially useful tasks for public employers

Cash benefits

The Danish government adopted a reform of the cash benefits system in 2013, which has been implemented from 1 January 2014. The reform consists of two parts: a part concerning unemployed persons over 30 years, and a part concerning unemployed under 30 years of age. Both parts of the reform focus on early intervention and activation, taking the needs of the individual into account. The overall aim is to help more people obtain an ordinary education and a permanent job.

The reform has a direct focus on the education of all young persons under 30 years without an education.

Young people eligible for cash benefits will attend their interview in the municipal youth measure within the first seven days of asking the municipality for support.

The municipal youth measure must clarify whether the unemployed person has a vocational education and is ready for a regular job or whether he/she has to participate in activation measures.

An instruction to begin education (uddannelsespålæg) and a social assistance benefit (uddannelseshjælp/Education benefit) were introduced for persons under the age of 30 without vocational education. The benefit is the same amount as the state educational grant (SU).

The group of unemployed persons under the age of 30 without vocational education are divided into three groups in order to be able to design a tailor-made meaningful effort towards the young people and thereby ensure that young people with serious challenges – social, personal, and physical – are met with the right support and help towards education.

• The group of young unemployed persons who are clearly ready for an education should begin an education as soon as possible, and they are urged to try to provide for themselves until they begin an education. Alternatively, they can perform a usefulness initiative (nytteindsats).
• For young unemployed persons who are ready for education within a year, the way towards education may include the upgrading of skills and qualifications, short traineeships in educational centres, mentoring, and practical work training in enterprises.
• Young people who are ready for activation include those who need extra measures in order to begin an education. A young person with a number of challenges is categorised as ‘ready for activation’, which entitles them to a particular initiative. The measures for this group include the right to a coordinating caseworker at the municipal youth measure. The young person must receive regular follow-ups and measures such as the upgrading of skills and qualifications. They can also be offered short internships at educational centres, mentoring, and practical work training in enterprises. If there are periods when the young person is not able to participate in any activities, a mentor is obliged to support the young person.

The reform includes a strong focus on the basic reading, writing, and arithmetic skills of young people without an education that are necessary for education and employment. The job centre is obliged to test unemployed young people for difficulties in this matter and then begin the necessary efforts towards upgrading their basic skills in reading, writing, and arithmetic until a level of skills matching the level after finishing primary school is obtained.

Early retirement benefits for young people in Denmark

In 2013, the early retirement benefit scheme was reformed. People below the age of 40 are entitled to early retirement benefits only when it can be documented that their ability to work cannot be improved by other measures (e.g., job clarification, vocational rehabilitation programmes, activation, rehabilitation, treatment/therapy).

With the reform, municipalities refer people in the 18–39 age group to individual vocational rehabilitation programmes of one to five years.

Measures to ensure jobs for the 15–17 age group

Those aged 15–17 years are obliged to be in education, employment, or another activity in accordance with their personal education plan (see section 3.4). The aim is that those aged 15–17 years will complete vocational or upper secondary education or gain a foothold in the labour market. When a young person leaves primary and lower secondary education to begin vocational or general upper secondary education, the municipal youth measure must assess whether the young person in question possesses the necessary educational, personal, and social skills to begin general or vocational upper secondary education. In the case of young people who are assessed as not yet being ready to move on to further education, the municipality must provide training or any other assistance needed in order to help them achieve a positive assessment in this regard.

The municipal youth guidance units (Kommunal Ungeindsats) provide guidance services for young people up to the age of 25, focusing in particular on the transition from compulsory to upper secondary education or to the labour market.

Individual Placement and Support (IPS) measure for youths, 2023-2026

The purpose of the IPS measure is to support young people with psychiatric disorders to obtain complete or partial participation in the labour market, either in the form of paid hours or getting an education. 

The goal of the IPS process is a job or an education program which in turn will support their recovery process. 

The program builds on previous experiences with the IPS method on adult cash benefit recipients and is supported by IPS ambassadors, who facilitate cooperation between regional psychiatric treatment and the municipalities. 

The program is being monitored and evaluated by the Danish Agency for Labour Market and Recruitment (STAR).

The link with the National Youth Guarantee (YG) scheme

Although the term ‘youth guarantee’ is not commonly used in Denmark, Denmark has a well-established range of policy measures focusing on young people.

All young people without an ordinary education who receive social assistance (Uddannelseshjælp/education benefit) will also receive an offer of activation within one month. The offer of activation has to be individually tailored and aimed at education.

Insured young people on unemployment benefits are entitled to receive an offer of activation after six months of unemployment at the latest. Uninsured young people on cash benefits are entitled to receive an offer of activation within one month of unemployment and subsequently every four months.  

Young people entitled to unemployment benefits or social assistance participate in at least four interviews with a job centre during the first six months of unemployment.

The implementation of the Youth Guarantee in Denmark is a partnership approach, with inputs from job centres, municipalities, education institutions, municipal youth guidance units, unemployment insurance funds, social partners, and others.

Flexicurity measures focusing on young people

There are no flexible employment schemes specifically for young people.

Reconciliation of private and working life for young people

Initiatives to support the balance between work and family responsibilities

In Denmark, the regulation of work life occurs through collective negotiations between trade union confederations and central employer federations on issues such as working hours, paid lunch breaks, salary during maternity leave/paternity leave, holidays, and illness.

There is no top-level policy to specifically help young people reconcile their private and work lives. Instead, policies exist to help all employees, the following, for instance.

According to the Act on Equal Treatment (Lov om ligebehandling af mænd og kvinder mht. beskæftigelse m.v., Lov nr 217 af 05/03/2013), parents have the right to ask for altered working hours and work patterns when they return to work after parental leave. However, employers are not obliged to accept their wishes.

The Act on Entitlement to Leave and Benefits in the Event of Childbirth (Lov om ret til orlov og dagpenge ved barsel, LBK nr 13 af 09/01/2024.) makes it possible to arrange the parental leave individually. Also, parents may return to work part-time and prolong the leave, but only through further agreement with the employer.

According to the Act on Employees’ Right to Absence Due to Family Reasons (Lov om lønmodtageres ret til fravær af særlige familiemæssige årsager, LOV nr 223 af 22/03/2006), employees are entitled to absence from work when illness or accidents in the family make the employee’s presence imperative. In practice, employees are allowed absence on their child’s first day of illness. Depending on the collective agreement the employee is part of, some employees are entitled to absence on their child’s second day of illness. Depending on the collective agreement the employee is part of, some employees are entitled to salary during the first and second day of illness.

According to the Act on Part-Time Work (Deltidsloven, Lbk nr 1142 af 14/09/2018), further settlements regarding flexible working conditions are a matter of agreement at the local place of employment. As an example, it is possible to have an agreement with the employer to work part-time, teleworking, or work flexitime, but it is not a right.

The Danish Working Environment Authority, WEA, (Arbejdstilsynet) contributes to the creation of safe and healthy working conditions at Danish workplaces. In the Woking Environment Act, a section regulates work performed by young people under the age of 18. Furthermore, WEA provides guidelines to promote a healthy working environment and well-being at the workplace, including preventing bullying and stress. In Denmark, employers have the responsibility to ensure a healthy, stimulating, and safe working environment.

Funding of existing schemes/initiatives

The unemployment insurance system is a voluntary scheme administered by private unemployment insurance funds but is largely publicly funded. In order to be entitled to unemployment benefits, an unemployed person must be a member of an unemployment insurance fund (A-kasse) and pay a membership fee. 

The cash benefits and early retirement schemes are publicly financed.

The scheme of leave and benefits in the event of childbirth is publicly financed (Lov om ret til orlov og dagpenge ved barsel, LBK nr 1391 af 30/09/2022). Udbetaling Denmark is the authority responsible for paying maternity/paternity benefits. Unemployed parents on parental leave receive parental leave benefits if they are insured. The benefit is administered by unemployment insurance funds (a-kasser) but is largely financed by the state. Uninsured unemployed parents can be entitled to cash benefits.

Some employees are entitled to a salary during a part of or the whole leave period. The right to salary during a part of or the whole leave period depends on the employee’s collective agreement.

No EU funds are used.

Quality assurance

In Denmark, politicians are increasingly interested in the effects of active labour market policies. The Danish Agency for Labour Market and Recruitment (STAR) is, therefore, working to support the policy process by systematically accumulating evidence about the effects of active labour market policies. This approach is formally described in the Danish Evidence Strategy, which has been implemented across the entire Ministry of Employment.

The evidence strategy follows three tracks:

1.    The gathering and systematisation of existing knowledge

2.    The production of new knowledge

3.    The dissemination of knowledge 

In its work to gather knowledge, STAR works together with various partners, such as researchers, consultancy firms, interest organisations, municipalities, unemployment benefit funds, etc.

The continuous development and implementation of policy and legislation can be seen as a constant cycle comprised of four steps. In step one, policy proposals that have been negotiated by political parties are articulated. In step two, the political parties decide the legislation. In step three, the legislation is implemented. In step four, the effects of new initiatives and policies are evaluated. Evidence-based knowledge plays a crucial role in these processes since it serves as an important source of input when designing new policies as well as the actual implementation of the employment policy.