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Unemployment down in Denmark but analysts predict more without work

The number of people without work in Denmark fell slightly in October, with the total of 75,200 lower than September’s figure by 200.

Unemployment down in Denmark but analysts predict more without work
The job centre in Frederiksberg. Unemployment numbers are currently holding but analysts say they will rise in 2023. Photo: Mathias Eis/Ritzau Scanpix

The data from Statistics Denmark therefore show a marginal decrease, which does not translate to a percentage drop in employment according to the agency.

That means 2.6 percent of Denmark’s workforce is still currently unemployed.

“The small drop in October is due to 300 fewer non-activated [not in return-to-work programmes, ed.] and 100 more activated jobseekers,” Statistics Denmark said.

Unemployment appears to still be trending downwards, which analyst Brian Friis Helmer of Arebejdernes Landsbank said was surprising.

“We have an economy that actually looks good but we have sky-high inflation and dreary economic forecasts. So it’s surprising that both unemployment and employment still seem to be withstanding this headwind,” he said.

But it is a matter of time before unemployment begins to creep upwards, according to senior economist Tore Stramer of the Danish Chamber of Commerce (Dansk Erhverv).

“The more forward-looking key metrics for the labour market have unfortunately begun to wobble considerably in recent months,” Stramer said.

“The number of available job notices has fallen by around 22 percent since February and the number of redundancy notices has meanwhile increased to the highest level since the coronavirus crisis in 2020,” he said in a written comment to news wire Ritzau.

The economist said he expects unemployment to go up by between 25,000 and 50,000 by the end of 2023.

An additional 20,000 people could lose their jobs in 2024, he said.

The construction and hospitality sectors could be amongst the most vulnerable,” he said.

Another analyst, Sydbank senior economist Søren Kristensen, also told Ritzau he believes unemployment will go up but said a slight cooling down of the labour market might be beneficial. Denmark is currently experiencing a labour shortage in several sectors.

“But we are concerned this might be a case of more than just a cooling-off,” he said.

“We expect a fall in employment figures of more than 60,000 persons during the course of 2023. They won’t all show up as being unemployed persons but we could easily end up in a situation where interest and inflation combine to catapult the number of unemployed people to over 100,000,” he said.

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WORKING IN DENMARK

How many public holidays does Denmark have compared to other countries?

Denmark’s government wants to reduce the number of public holidays on the national calendar by one from 2024 onwards. But does the Nordic country have more or fewer days off than other countries in Europe?

How many public holidays does Denmark have compared to other countries?

The Danish government wants to abolish springtime public holiday Great Prayer Day in a move it says will enable increased spending on defence. A bill was tabled by the government earlier in January.

The policy has met with criticism, but how do Denmark’s public holidays stack up against other countries?

Denmark has 10 national public holidays, including some which always fall on a weekend. Up to 4 extra may be given depending on the sector you work in, your employer and collective bargaining agreement (if a trade union member).

If the holiday falls on a weekend, no substitute day is given.

The holidays are: January 1st (New Year’s Day); Maundy Thursday; Good Friday; Easter Monday; Great Prayer Day; Ascension Day; Whitsunday; Pentecost; December 25th (Christmas); December 26th (Boxing Day).

If the plan to abolish Great Prayer Day is adopted, it will take effect from 2024, so you’ll still be able to enjoy the holiday in 2023 at least.

Some industries also have May 1st (Labour Day) as a day off, while June 5th (Constitution Day) is a holiday for banks and government workers, with most shops closed too by law, but this is optional for the private sector.

Christmas Eve (December 24th) and December 31st (New Year’s Eve) are not public holidays, but many employers treat them as such.

READ ALSO: When are Denmark’s public holidays in 2023?

Even before Great Prayer Day is scrapped, Denmark rarely comes out on top when comparing the number of public holidays to other countries in Scandinavia and Western Europe.

Norway, like Denmark, has 10 national public holidays including some which may fall on a weekend.

Norway does not mark Great Prayer Day, which is unique to Denmark, but does celebrate both Labour Day and the national day, May 17th, as public holidays. If the holiday falls on a weekend, no substitute day is given in Norway.

Sweden has nine national and three extra ‘de facto’ public holidays. If the holiday falls on a weekend, you do not get an extra weekday in lieu.

People in Sweden get January 6th (Epiphany) off work and also celebrate Labour Day as a holiday on May 1st.

Midsummer’s Eve, Christmas Eve and New Year’s Eve are not national public holidays in Sweden, but the majority of employers treat them as such. 

In many Swedish workplaces or collective bargaining agreements, there are additional public holiday policies. The most common include a half-day before certain public holidays (Epiphany, Walpurgis and All Saints’ Eve), or ‘bridge days’, so that if a public holiday falls on a Tuesday or Thursday, the Monday before or Friday after is given as an extra day off.

Germany has 9 national public holidays, including some falling on a weekend, and up to 13 regionally. If the holiday falls on a weekend, no substitute day is given.

German public holidays include German Unity Day on October 3rd and Labour Day on May 1st.

Many states have extra holidays including, but not limited to January 6th (Epiphany) in Bavaria, Baden-Württemberg, Saxony-Anhalt; March 8th (International Women’s Day) in Berlin and October 31st (Reformation Day) in a number of states across the country.

The United Kingdom has between 8 and 10 public holidays (also known as bank holidays) during the course of the year, depending on which country you’re in.

Northern Ireland has more public holidays (10) than England, Scotland and Wales (all 8). Scotland’s bank holidays are not exactly the same as those in England and Wales.

In 2023, the UK will have an additional bank holiday for the coronation of King Charles III. Last year saw two extraordinary bank holidays related to the monarchy: one in June for Queen Elizabeth II’s platinum jubilee, and one for the Queen’s state funeral in September.

Unlike many other countries, the UK is accommodating if a bank holiday falls on a Saturday or Sunday. In such cases, a ‘substitute’ weekday becomes a bank holiday, normally the following Monday.

France has 11 public holidays – or 13 in the historic Alsace-Lorraine region. However, if the holiday falls on a weekend, in general no substitute day is given, so the actual number of extra days off that French workers get varies from year to year.

There is also the curious case of Pentecost, which for some people is a public holiday and others an opportunity to work without getting paid. Yep, you read that right

So are there any nearby countries which actually have fewer public holidays then Denmark?

In Switzerland, there are only 4 public holidays nationally and the Swiss communes with the fewest paid public holidays have only 5 in total. However, there are up to 16 regionally.

If the holiday falls on a weekend, the Swiss do not get an extra weekday in lieu.

Several public holidays are marked by a majority of regions, but not quite all. These include Good Friday, Easter Monday, Pentecost and All Saints’ Day.

Some other public holidays are marked by multiple regions, and some cantons have their own holidays, including March 1st (Republic Day) in Neuchâtel; June 23rd (Jura Independence Day) in Jura; and June 29th (Feast of St Peter and St Paul) in Graubünden and Ticino. A few local communes also have additional public holidays.

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