Inclusion, Equity and Diversity

Inclusion, equality, and diversity is high on the agenda in many companies. This focus is not only due to the numerous sets of regulations that must be observed but also because a diverse organization can provide a strong foundation for building a business.

At Littler | Denmark, we advise companies on strengthening their organizations with a greater focus on diversity and navigating the many and often complicated and changing rules applying on the Danish labor market. 

Prohibition of Discrimination in the Workplace 

Several laws are in place to ensure equal treatment and equality in the Danish labor market, all originating from EU law. Of particular significance are the Non-Discrimination Act, Equal Treatment Act, and Equal Pay Act.

The legislation introduces a prohibition against both direct and indirect discrimination. Direct discrimination occurs when a person is treated less favorably due to a protected criterion. Indirect discrimination happens when a person with a protected characteristic, based on an apparently neutral criteria, is treated less favorable than other employees. Direct discrimination is generally always illegal, whereas the indirect discrimination can justify under certain circumstances.

The Non-Discrimination Act 

The non-Discrimination Act has undergone many changes since its adoption in 1996. Today, the act protects against any discrimination in the workplace based on the following criteria:

• Race or color
• Religion or belief
• Political views
• Sexual orientation
• Gender identity, gender expression, or gender characteristics
• Age
• Disability
• National, social, or ethnic origin

The Non-Discrimination Act applies in the context of recruitment, during employment, and in case of termination. The law also includes a prohibition against harassment based on the above-mentioned protected criteria.

The Equal Treatment Act 

The Equal Treatment Act protects against discrimination in the workplace based on gender. The act also includes special protection against the dismissal of pregnant employees and employees on leave related to childbirth or adoption. 

The act also contains a prohibition against sexual harassment and harassment due to gender, which has gained particular attention in recent years due to the MeToo movement.

The Equal Pay Act 

The Equal Pay Act stipulated that there must be no discrimination in remuneration based on gender. Unequal pay occurs when there is:

• Different remuneration of male and female employees
• For the same work or work of equal value
• When the different remuneration arises from the same source
• The discrimination is related to gender

Sanctions 

Unjustified discrimination pursuant to the above legislation may lead to claims for compensation from the employee whose rights have been violated. The size of the compensation can, according to case law, amount to as much as 12 months' salary when an employee is terminated based on a protected criterion.

At Littler | Denmark, we have an in-depth understanding of the rules and the extensive body of case law which these rules have generated. We can assist companies in complying with the applicable rules and help resolve specific disputes.