December 14 2022 When is a temporary contract no longer temporary? Norrbom Vinding | Employment & Immigration - Denmark Employment & Immigration FactsDecisionCommentThe Temporary Agency Workers Act applies to temporary agency workers who have a contract of employment or an employment relationship with a temporary work agency that assigns them to user undertakings to work on a temporary basis. But when does the nature of such work change from temporary to permanent? That was the question to be decided by the Maritime and Commercial High Court in a recent case.FactsAn analyst was assigned to an aircraft manufacturer by a temporary work agency. The contract was initially intended to last for one year but it was extended three times, so the analyst's assignment ended up lasting three years and eight months. At that point, the aircraft manufacturer did not wish to further extend the employment.The analyst's trade union commenced legal proceedings with the Maritime and Commercial High Court, claiming that the analyst should be awarded status as a salaried employee and, accordingly, be awarded notices and entitlement to pay during sickness. Among other things, the trade union claimed that work of such duration could not be considered temporary when there was no justification as to why the position was temporary.The temporary work agency submitted that the employment was regulated by a collective agreement, and for this reason there was no prohibition against successive assignments. The agency further submitted that the analyst did not hold a position where the employer had the right to direct and control the way in which work should be performed, so the Salaried Employees Act was not applicable.DecisionThe Court noted that the requirement of justification for successively renewing a temporary employment contract has been derogated from in Denmark, which means that the relevant provision of the Temporary Agency Workers Act would not apply if the temporary work agency was covered by or was a party to a collective agreement that was concluded by the most representative social partners in Denmark and was applicable throughout the country.By virtue of the fact that the temporary work agency in this specific case was covered by the Salaried Employees' Collective Agreement for Trade, Knowledge and Service, the Court found that the analyst had to seek protection in the collective agreement which, undisputedly, had not been breached in the case.The Court thus decided that the employment was covered by the Temporary Agency Workers Act and not the Salaried Employees Act, as the analyst did not hold a position where the employer had the right to direct and control the way in which work should be performed.The judgment has been appealed to the Supreme CourtCommentThe case confirms that in general the prohibition of successive assignments does not apply when the temporary work agency is covered by or is a party to a collective agreement that is concluded by the most representative social partners in Denmark and is applicable throughout Denmark.For further information on this topic please contact Rikke Falk Dambo at Norrbom Vinding by telephone (+43 35 25 3940) or email ([email protected]). The Norrbom Vinding website can be accessed at norrbomvinding.com.