Advertisement

Why does Denmark have so many job vacancies?

Ritzau/The Local
Ritzau/The Local - [email protected]
Why does Denmark have so many job vacancies?
RB PLUS: 19/10/2016. kl. 16.38: Nye folk besætter de fleste udflyttede job 21.000 ansøgninger er blevet sendt til knap 1100 udflyttede arbejdspladser. Langt de fleste stillinger er blevet besat af nye medarbejdere i provinsen. RB plus. Arkivfoto:Flere familier i pengeknibe søger hjælp.Organisationer og socialrådgivere melder om væsentligt flere borgere, der opsøger hjælp, efter at kontanthjælpsloftet er trådt i kraft. Arkivfoto: RB PLUS Få ventes i job med nyt kontanthjælpsloft. ARKIVFOTO. Ritzau 18/11 2015 17.00.- - Et nyt kontanthjælpsloft skal få nogle af de 153.000 mennesker i kontanthjælpssystemet tilbage i arbejde. Men loftet øger blot beskæftigelsen med 700 personer. // RB PLUS Flere ledige på dagpenge kommer i arbejde. ARKIVFOTO. 13/10 2015 09.24. - - Flere ledige på dagpenge kommer i arbejde. Andelen af langtidsledige dagpengemodtagere, der får et job, stiger. Fagforbund afviser, at det skyldes, at dagpengeperioden er faldet fra fire til to år. // Ledigheden er faldet med 10.000 personer fra fjerde kvartal 2014 til første kvartal 2015, når man korrigerer for sæsonudsving, skriver Danmarks Statistik. ARKIVBILLEDE -. (Foto: Thomas Lekfeldt/Scanpix 2014)

The number of job vacancies in Denmark is at its highest level for over a decade, according to new figures released on Thursday.

Advertisement

A total of 53,500 private sector vacancies were registered in the second quarter of 2021, an increase of 14,000 compared to the preceding quarter and the highest number in the 11 years the data has been recorded, according to Statistics Denmark.

Vacant positions now comprise 3 percent of all jobs in Denmark, according to the agency.

Meanwhile, figures from job website Jobindex show that vacancies at the end of August were at their highest level since February 2008, shortly before Denmark was hit by the global financial crisis.

As vacancies have soared over the summer, so has the number of people employed on the Danish labour market.

Unemployment is now close to dropping under the level it was at immediately prior to the Covid-19 crisis.

READ ALSO: Denmark wants migrants to work for welfare benefits

The two trends are evidence of Denmark’s emergence from the economic impacts of the coronavirus, according to Jeppe Juul Borre, senior economist at Arbejdernes Landsbank.

“It’s pleasing to see that the Danish economy has got moving so well,” Borre said.

“But the flip side of the coin is that more and more companies are reporting a lack of labour,” he stated.

The need for labour has become a politically discussed topic in recent weeks.

Earlier this week, the government presented proposals it claims will add to the number of workers on the market.

Advertisement

Those proposals include cutting the standard monthly unemployment insurance payment for new graduates as well as shortening the eligibility period.

The government argues this will encourage university graduates to take jobs sooner, including unskilled work outside their area of expertise, if necessary.

READ ALSO: What do Denmark’s proposed welfare reforms mean for foreign residents?

The overall welfare reform package will increase employment by 10,400 people by 2025, according to government expectations.

The Confederation of Danish Industry (Dansk Industri, DI) praised the government for looking for solutions to the problem but called for measures that tackle the lack of hands in the shorter term.

Businesses wanting to fill various positions are held back by limits on bringing in workers from abroad, DI has suggested.

The business interest organisation backs a reduction in Denmark’s pay limit scheme or beløbsgrænse, which sets a minimum wage which businesses must pay skilled non-EU nationals in order for the employee to qualify for a Danish work permit.

READ ALSO: Denmark’s proposal to recruit skilled foreign labour falls apart (2018)

“Businesses are really challenged by being unable to find the staff they need. That means they have to say no to orders, thereby denying Denmark economic growth,” DI vice director Steen Nielsen said.

“The government’s direction is good but it doesn’t solve the challenges we are facing here and now,” Nielsen added.

More

Join the conversation in our comments section below. Share your own views and experience and if you have a question or suggestion for our journalists then email us at [email protected].
Please keep comments civil, constructive and on topic – and make sure to read our terms of use before getting involved.

Please log in to leave a comment.

See Also