The powerful trade union Dansk Metal feels Danish politicians are missing a crucial recognition: there is untapped potential in the labor force among non-Western immigrants, hindered by “ridiculous rules,” according to the union’s chief economist, Erik Bjørsted.
In a new analysis by Dansk Metal, representing mechanics, technicians, and similar professions, data shows that Denmark’s employment has increased by nearly 33,000 — precisely 32,821 — over the past year. However, only one in five of these newly employed individuals is of Danish origin. In contrast, both men and women from the Middle East, Pakistan, and Turkey are finding work at an increasing rate. Non-Western immigrants accounted for 38.1 percent of new hires from Q2 2023 to Q2 2024, excluding Ukrainians.
A historic opportunity
Bjørsted believes that if more immigrants join the workforce, we are presented with “a historic opportunity” given the promising job market.
– The ultimate dream scenario is if they [non-Western immigrants] achieve the same employment rate as Danes, adding 54,000 more people to the workforce and approximately 14 billion kroner to the state treasury, he says.
The “ridiculous” rules Bjørsted refers to relate to education. Currently, non-Western immigrants cannot count education toward their eligibility for permanent residence. Instead, they must prove that they have been employed for 3.5 out of the last 4 years. Dansk Metal argues that including education as a valid criterion would be an obvious improvement. Encouraging more people to pursue education would lead to a more qualified workforce with stronger workplace ties. More residency permits and citizenships would mean more hands in the labor market.
Education delayed
Many foreigners today delay education because they are uncertain about their ability to remain in Denmark. This postponement means that it can take years before they complete their training and start work as, for example, industrial technicians, Erik Bjørsted points out.
– It’s important that we don’t undermine ourselves with our integration policies.
However, from the government’s side, it’s not only about job opportunities. It’s about integration, culture, and controlling the number of citizenships granted.
Regulations stand firm
Christian Rabjerg Madsen, the Social Democrats’ political spokesperson, agrees that there are opportunities for both integration and economic benefit.
– Over the past year, we have had a very strong Danish economy, especially as we have successfully navigated the inflation crisis. This benefits all Danes, but it’s also a major social policy achievement, says Christian Rabjerg Madsen.
There are, however, no plans to ease the regulations, he adds.
– But I agree with Dansk Metal that there is an untapped potential.
Rabjerg Madsen notes that the government has introduced a 37-hour work requirement for foreign nationals receiving social welfare benefits.
Bjørsted understands that there are various considerations when it comes to non-Western immigrants:
– Of course. I’m not suggesting we open the floodgates. But I’m advocating for getting as many integrated into the labor market as possible. It’s time we see it as a potential, the economist says.
FACTS: Significant Potential in Employment Growth
- Employment has risen by nearly 33,000 people in the past year, measured from Q2 2023 to Q2 2024.
- Men and women with non-Western backgrounds are increasingly entering the workforce. Nearly four in ten of those newly employed in Denmark over the past year are non-Western immigrants, excluding Ukrainians.
- If the employment rate for non-Western immigrants matched that of Danes, employment could increase by approximately 54,000 people, contributing 14 billion kroner to the state.
Source: Dansk Metal
/Ritzau