Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.
Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.
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Definition of an Employee Likely Will Cover More Workers
New Legislation Enacted
Authors: Ole Kristian Olsby, Partner, and Lise Gran, Attorney-at-Law – Homble Olsby | Littler
Effective January 1, 2024, a definition of the term “employee” will be implemented in law. The main elements in the assessment of whether a person is an employee, working for and subordinate to someone else, is, among other things, whether that person has a personal duty to work and whether the person is considered subordinate and subject to being directed, managed, and controlled.
From the same date, a presumption rule is also introduced into law. It states that if there is reasonable doubt about whether a person is an employee or not, the relationship will be deemed an employment relationship unless the client can document that it is highly probable that the person is, in fact, an independent contractor. The new implementations may lead to more workers being given employee status.
Information and Consultation Obligations for Employers
New Legislation Enacted
Authors: Ole Kristian Olsby, Partner, and Lise Gran, Attorney-at-Law – Homble Olsby | Littler
From January 1, 2024, further information and consultation duties are introduced for a corporation. Groups with more than 50 employees will have an obligation to establish a framework for cooperation, information, and discussion between the group companies and the employees in the group. The type of cooperation to be established is subject to consultation with a majority of the employees in the group, or one or more local trade unions representing a majority of the employees in the group.
In addition, any plans for expansions, reductions, or changes that could have a significant impact on employment in several businesses in the group, must be informed and discussed as early as possible.
Obligations for Group Companies in Redundancy Processes
New Legislation Enacted
Authors: Ole Kristian Olsby, Partner, and Lise Gran, Attorney-at-Law – Homble Olsby | Littler
Currently, a termination in a redundancy process will not be lawful if the company has other suitable work to offer the employee. Also, most employees who are made redundant have a preferential right to new employment in the same company if a position opens which they are qualified for in the year following the termination.
Effective January 1, 2024, this will not only apply to the legal entity where the redundancy happens, but also in the other group companies within the group. This means that when a group company carries out a redundancy process, the other group companies must be involved to see whether there are any open positions that should be offered to the employees in the process or following the first year of the termination.
Lower Thresholds for Safety Representatives and Working Environment Committees
New Legislation Enacted
Authors: Ole Kristian Olsby, Partner, and Lise Gran, Attorney-at-Law – Homble Olsby | Littler
Currently, companies with more than 50 employees are obligated to establish a working environment committee. Effective January 1, 2024, the threshold is lowered from 50 to 30 employees.
All companies are obligated to have safety representatives. Currently, companies with less than ten employees may agree on a different arrangement. Effective January 1, 2024, this threshold is lowered from ten to five employees. From the same date, the safety representatives’ work must not only include the employees of the company but also contracted employees and independent contractors who carry out work in close connection with the company.