Financials

When a foreign-based company wins a contract in Denmark, the company has both certain obligations and certain rights. The company is e.g. under obligation to contribute to AUB – “Arbejdsgivernes Uddannelsesbidrag”. At the same time, the company is entitled to apply for funding for an apprentice from AUB.

What is AUB – the employers’ reimbursement system?

AUB finances and manages a number of reimbursement and grant schemes in the area of vocational training. The purpose of AUB is to secure more apprenticeships.

Reimbursement to the employer of wages and transport during the apprentice’s college periods is a benefit that has been put in place to support apprentice mobility. These are some of the schemes financed and managed by the self-governing AUB.

The vocational colleges assist in applying for grants from AUB.

Read more in English about AUB here.

Adult apprentices – if the trainee is aged 25 or above

If the apprentice is aged 25 or above, the apprentice and the employer may enter into a so-called ‘Adult Apprenticeship Agreement’ at a wage level equivalent to the minimum wage in the industry concerned.

If employers take on adult apprentices, they receive a higher level of wage reimbursement from AUB in connection with college periods based on AUB’s fixed rates.

Additionally, employers may apply to the local Job Centre for special wage grants during the apprenticeship. The vocational college assists in applying for these grants from the local Job Centre as well as for wage reimbursement from AUB.

Grant schemes – wage reimbursement for college periods

The employer is eligible for reimbursement for the wages paid from AUB when the apprentice attends college as part of the apprenticeship.

It is a condition that the employer and the apprentice have a certified Apprenticeship Agreement in place, that the apprentice is not working during his/her college periods and that the employer pays a wage as set out in the applicable collective agreements.

The employer is also eligible for wage reimbursement for apprentices participating in voluntary, supplementary teaching over and above the mandatory contents of the apprenticeship if this has been agreed as part of the apprenticeship plan.

Find out more at Virk.dk. This website is in Danish.

The minimum wage

The minimum wage for apprentices is negotiated between the social partners. The employer should therefore contact the applicable trade union in Denmark to obtain information on the minimum wage for its apprentices. The minimum wage is increased according to how far apprentices are in their apprenticeship. Employers are permitted to pay above the minimum wage.