Industrial
Agreement 2025

What should you, being the payroll responsible person, be aware of ?

What is happening?

The Industrial Collective Agreement 2025 (OK25) has been adopted by a large majority and is valid from March 1, 2025 to March 1, 2028. For you as a payroll accountant, this means a number of important changes that require adjustments to the payroll system and attention to new rates and rights.

Here you will get an overview of the most important elements of OK25 – seen from the perspective of a payroll employee.

1. Voluntary account

The percentage increases from 9% to 11%

+1 % from march 2026 to 10%
+1 % from March 2027 to 11%

NOTE: Remember to update rates in the payroll system on the correct dates.

Use of the Voluntary Account

Extra holiday leave
Pension
Payment as salary
Children’s 2nd and now also 3rd sick day*
Senior leave*

*The value of days taken for withdrawals from the voluntary account is calculated as salary during illness

2. Minimum wage – increase over 3 years

The minimum wage rate (standard wage) increases in three steps:

IN EFFECT	INCREASE IN DKK	MINIMUM WAGE IN DKK
May 2025	DKK 3.75	DKK 139,90
March 2026	DKK 3.50	DKK 143,40
March 2027	DKK 3.50	DKK 146,90

Adjust both basic rates and any supplements that follow the minimum wage.

3. Additional increase

Overtime bonus: +3% per year
Shift/shift bonus: +3.5% per year

4. Pension: Employer contribution is raised

From may 2025 the employer’s pension contribution will increase from 10 % to 11 %
The employee’s share remains unchanged at 2 %

5. New absence rights – with pay impact

Children’s 3rd sick day is now covered via the voluntary account
Grandchild care days: 2 per year (also via voluntary account)
Parental leave with full pay: Increased from 40 to 42 weeks per parent for children born from 1 June 2025

It is important to ensure that absence is correctly coded and that any salary payment from the voluntary account is taken into account.

6. Protective equipment and supplements

Safety footwear: Employer’s subsidy increased (rate determined locally)
Working time rules and no overtime in certain cases require possible dialogue with HR as it may affect staffing and allowances

7. Education and resignation

Upon dismissal, employees now have better opportunities to participate in training during the notice period – with reimbursement from funds
Training representatives can become more active; this can affect the payroll system in the form of absence or fees

What should you, as a payroll manager, do now?

Update the wage system rates – both minimum wage, free choice and pension
Review the setup of allowancesso that adjustments are made automatically
Adjust absence codes and follow up on new rights
Keep an eye on local agreementsthat can supplement or change the provisions of the collective agreement
Reach out to us if you need help with setup or calculations, or a health check of your payroll processes in general

Sources:
Danish Metal Industry Collective Agreement 2025 voted yes by a large majority | Danish Metal
DI: Focus on industry collective agreements as of May 1, 2025 – Confederation of Danish Industry