Stephanie Lose, Minister of Economy and Deputy Leader of the Venstre party, in a long interview with Frederik M. Juel and Rasmus Lolk Christensen, from Berlingske, emphasized the importance of foreign labor to Denmark’s economy.

Stressing that while the pace of foreign workers’ arrival isn’t critical, their role is vital in supplementing the country’s workforce.

“For me, the pace of the influx of foreign labor is not what’s crucial. If businesses can secure the necessary labor from the Danish workforce, that’s great. But that’s not the case. Unemployment is very low, and therefore, international labor is an important supplement,” said Lose.

Will make it easier to hire internationals

She highlighted that the Danish government plans to introduce a new scheme aimed at making it easier for companies to hire international workers, provided they meet proper wage and working conditions.

According to Lose, companies participating in this scheme would face fewer administrative hurdles when bringing international workers into the country.

This includes allowing businesses to hire employees from non-EU countries at a lower salary threshold than currently required.

In the interview with Berlingske, Stephanie Lose expressed optimism about the scheme, believing it would facilitate the hiring of more foreign workers by streamlining the process for businesses.

She pointed out that the latest economic report featured an extensive analysis of international labor’s impact on Denmark’s economy, underscoring its significance in meeting labor demands across various sectors.

“It’s a matter of doing it properly and addressing the needs of our businesses—and, to some extent, the public sector,” Lose explained.

Influx of internationals benefits society

Beyond economic impacts for companies, Lose also stressed that the influx of foreign workers benefits society as a whole.

She noted that some of the funding for major government investments, such as the planned DKK 5 billion investment in Denmark’s healthcare system by 2030, comes from the fiscal space created by the international workforce.

“When we invest DKK 5 billion in our healthcare system by 2030, part of that funding comes from the fiscal space created by international labor,” said Lose and added:

“The increased availability of foreign workers has also supported Denmark’s defense and security spending, as well as efforts related to the green tripartite agreement.”

“We have made enormous investments in creating more nature, better water environments, and more forests in Denmark through the green tripartite agreement. The funding for these investments has largely been generated by foreign labor. They create value in Denmark. I think we should remember that,” Lose remarked.

Businesses operating under fair conditions are also harmed

The Minister of Economy acknowledges that there are occasional problems with foreign workers being employed under poor conditions.

However, she considers such cases as rare and that businesses operating under fair conditions are also harmed by unfair competition.

“I recognize there are a few bad apples out there. No one is interested in that—not even businesses competing under fair conditions. It’s not good for them to face competition from those who don’t follow the rules,” she stated.

In addition to foreign labor, Lose called for continued reforms to encourage more participation from the Danish workforce.

She pointed to government initiatives that have already increased the labor supply by 29,500 individuals, with additional reforms expected to raise this number to 33,350 by 2030.

Encourage senior citizens to keep working

Stephanie Lose also referenced reforms aimed at encouraging Danish workers to remain in the labor market longer, including the elimination of the offset in pensions, which has proven effective in motivating senior citizens to continue working.

“We’ve encouraged Danes to work more through various reforms,” said Lose to the Danish newspaper, underscoring the importance of a robust labor supply.

“I understand that for a layperson, labor supply sounds very dull. But it’s the foundation for ensuring businesses have the workers they need. And it’s the key to creating the growth and prosperity we enjoy as a society.”

You can find the full interview in Danish on Berlinsgke, here.