Danish banks sending thousands of jobs to low-wage countries

India is in charge of IT, whilst eastern Europe takes care of bank loans

According to new data from Finans, Danske Bank, Nordea and a number of other major financial institutions, Danish banks have shifted more than 3,400 jobs to low-wage countries in an effort to reduce costs.

Eastern European countries such as Lithuania and Poland are increasingly handling customer bank loans, whilst India is taking charge of IT management.

Loss of Danish jobs
Experts are beginning to voice their concerns over the number of Danish jobs being discontinued as a result of the outsourcing.

“We are concerned about losing Danish jobs to Poland and Lithuania. One must wonder why it happens, but it is obvious that it is because these countries can produce significantly cheaper services,” Kent Petersen, the chairman of the financial services union, told Finans.

“It’s hard to see where it will stop. The fact that so many jobs are digitalised means that companies can move their services straight to where it is cheaper,” he continued.

In the last two and a half years, Danske Bank has moved 850 jobs to Lithuania, as well as acquiring 750 IT professionals in India.

This is equivalent to 9 percent of the bank’s total staff, or 15 percent of the company’s employees in Denmark.

Necessary to retain competitive advantage
Anne Melchiorsen, the vice president of Danske Bank, said the decision to outsource is a necessary step for the company in order to retain an efficient business.

“First and foremost, we are an international company, and we must continue to deliver competitive solutions to our customers. It is about delivering products at the right price,” Melchiorsen told Finans.




  • Everything you need to know about Greenland’s upcoming elections 

    Everything you need to know about Greenland’s upcoming elections 

    During an unprecedented time in the global spotlight, Greenland will hold a general election focusing on the struggle for independence, its economy, and its international relations.

  • Danish NGOs on thin ice: The Greenland dispute’s hidden risks for aid

    Danish NGOs on thin ice: The Greenland dispute’s hidden risks for aid

    Danish humanitarian and development organizations rely significantly on funding from institutional donors. Among these, USAID and other U.S.-based donors, contribute a substantial portion of funding to Danish NGOs operating internationally.

  • Ryanair cancels all flights to and from Billund 

    Ryanair cancels all flights to and from Billund 

    Ryanair has increased its cuts from the Billund-Aalborg route to encompass its entire operation to and from Billund Airport. The airline’s scarce communication is leaving both the airport and passengers scrambling for answers.

  • What do Danes do for “Vinterferie”?

    What do Danes do for “Vinterferie”?

    As tradition has it, many Danes take a week off for Vinterferie next week. Or the week after. It’s a bit confusing, especially since Christmas and New Year’s Holiday are not far away. What’s going on?

  • The educational options for internationals in Denmark

    The educational options for internationals in Denmark

    Denmark offers free public education, but private schools and universities for non-EU students require tuition. Language is a barrier, with international schools available for children and limited English-taught university programs. In 2024, Denmark expanded university seats for internationals and introduced an HF-international program in Aarhus.

  • Aarhus Gymnasium is launching Denmark’s first HF program for internationals

    Aarhus Gymnasium is launching Denmark’s first HF program for internationals

    Aarhus Gymnasium is launching Denmark’s first HF-international program in August, offering young adult internationals an alternative to IB programs with a focus on career-oriented education and Danish language learning. Unlike IB, it reduces academic pressure while providing access to vocational schools and professional bachelor’s degrees