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POPULATION

5.6m

CURRENCY

kr (NOK)

CAPITAL CITY

Oslo

Overview

Norway, officially the Kingdom of Norway, is a country in Northern Europe. Known for its stunning landscapes, diverse culture, and innovative technology, Norway is a popular destination for tourism and cultural exploration. From the bustling streets of Oslo to the serene landscapes of the Norwegian fjords, Norway offers a wealth of cultural and natural attractions.

Norway's economy is diverse, with key sectors including manufacturing, services, and agriculture. The country is a major exporter of goods and a popular tourist destination, attracting visitors from around the world with its beautiful cities, historic sites, and world-renowned cuisine.

Disclaimer: This content is for informational purposes only. We do not guarantee the accuracy or completeness of this content. It is not legal advice and shall not be relied on as such.

Local Employment Regulations

Employment Contracts

Written Agreements

Norway mandates the conclusion of employment contracts in writing. Employment contracts lasting longer than 1 month must be signed within 7 days of the employee beginning work. If the employment contract is for less than 1 month, the contract must be signed immediately.

The contract must include the following information:

  • Identity of the employee and the employer
  • Place of work
  • Description of work and the job title of the employee
  • Date of commencement of the employment
  • Duration of the contract for temporary or fixed-term employment
  • Provisions for the probation period
  • Holidays and holiday pay
  • Notice period requirements
  • Employee remuneration
  • Weekly working hours
  • Length of breaks
  • Information concerning any collective agreements regulating the employment relationship
  • Scope of training and skills enhancement policies
  • Social Security benefits and details

Oral Agreements

In Norway, it is mandatory to conclude written employment contracts. The law offers no provisions or guidance on implied or oral employment contracts. However, oral agreements are generally considered as valid as written contracts.

Implied Agreements

In Norway, it is mandatory to conclude written employment contracts. The law offers no provisions or guidance on implied employment contracts.

Working Hours

Hours of Work

Norway's Working Environment Act sets standard working hours at 9 hours per day and 40 hours per week. Employees who work over the standard working hours are eligible for overtime pay. Working hours are reduced for the following categories of employees:

  • 9 hours per day or 38 hours per week for employees involved in semi-continuous shift work or jobs that require them to work at least every third Sunday or work principally performed at night
  • 9 hours per day or 36 hours per week for employees who work in continuous shift work or work in mines, tunneling, or blasting of rock chambers

For young persons between 15 and 18 not attending compulsory education, working hours shall not exceed 8 hours a day and 40 hours a week. There are different work-hour regulations for those attending school.

Home Office Regulations

Norway requires that the employer and employee enter into a written agreement concerning working from home (unless working from home is ordered or recommended by Norwegian authorities). The general rules on working hours in the current Norwegian employment law apply to work-from-home arrangements. The Labor Inspection Authority is authorized to supervise the home office regulations.

Public Holidays

  • New Year’s Day - January 1
  • Maundy Thursday - Date subject to change every year
  • Good Friday - Date subject to change every year
  • Easter - Date subject to change every year
  • Easter Monday - Date subject to change every year
  • Ascension Day - Date subject to change every year
  • First Day of Pentecost (Whit Sunday) - Date subject to change every year
  • Second Day of Pentecost (Whit Monday)- Date subject to change every year
  • Christmas - December 25
  • Second Day of Christmas - December 26

Probationary Period

Under Norway's labor law, probationary periods for permanent workers can last up to 6 months. For temporary workers, they cannot be more than 6 months or more than half the length of the employment term.

Employers may only dismiss employees hired under a written contract during the probationary period if the termination is due to the employee's lack of suitability for the work, proficiency, or reliability. A notice of at least 14 days is required for dismissal during probation unless the parties previously agreed otherwise in writing or with a collective pay agreement.

Employment Termination/Severance

Notice Period

Norway requires employers to provide a written notice period to employees before dismissal according to the following:

  • 1 month notice for employees who have been employed with the organization for less than 5 years
  • 2 months notice for employees who have been employed with the organization for over 5 years but less than 10
  • 4 months notice for employees who have been employed with the organization for 10 or more years
  • 5 months for employees above 55 years who have been employed with the organization for 10 or more years
  • 6 months for employees above 60 years who have been employed with the organization for 10 or more years

Employers may dismiss employees hired under a written contract during the probationary period if the termination is due to the employee's lack of suitability for the work, proficiency, or reliability. A notice of at least 14 days is required for dismissal during probation unless the parties previously agreed otherwise in writing or with a collective pay agreement.

If the employer's notice is not given in writing or does not include the required information, and the employee institutes legal proceedings within 4 months from the date that notice is given, the notice shall be ruled invalid unless exceptional circumstances make this unreasonable. If the notice is invalid, the employee may claim compensation.

Severance Benefits

There are no mandatory severance benefits in Norway. However, employees may seek financial redress through the courts if they believe they have been unfairly dismissed. Employers may decide on severance pay before making employees redundant, and collective or individual agreements can provide for extraordinary severance pay.

Compensation

Minimum Wage

There is no general minimum wage set by the government in Norway. However, a minimum wage has been introduced in some industries through industry-wide collective agreements. Employers in the following industries may be subject to an industry-wide minimum wage collective agreement:

  • Building industry
  • Cleaning industry
  • Accommodation, dining, and catering industries
  • Shipbuilding industry
  • Agriculture and horticulture industries
  • Fishing industry
  • Electrical industry
  • Freight transport by road industry
  • Passenger transport by touring car industry

Overtime, Holiday & Vacation Pay

Norway's labor law prohibits work in excess of agreed working hours unless there is an exceptional and time-limited need for it. Overtime must not exceed 10 hours per 7 days, 25 hours per 4 consecutive weeks, or 200 hours within a 52-week period. Employers and trade unions may agree in writing to overtime for up to 20 hours in a week, but it must not exceed 50 hours in 4 consecutive weeks or 300 hours in 52 weeks. The overtime wage paid to the employee must be at least 140% of the employee's normal wage.

Holiday pay is earned the year before it is paid (the holiday year). Holiday pay is a minimum of 10.2% of the wages paid during the previous year. Holiday pay is normally paid in June. The employer typically withholds part of the employee's pay in June. This money will be paid to the employee when the employee actually takes their holiday. The employee is entitled to be paid holiday pay 1 week before taking their holiday or in connection with the final settlement if the employee leaves the company.

Work on Sundays and public holidays is not permitted unless required by the nature of the work. The Working Environment Act does not set a minimum overtime rate for work performed on Sundays or public holidays.

Immigration & Visas

Visas

Norway issues the following visas:

  • Schengen visa for 3 months within a 6-month period
  • Humanitarian visa for 3 months
  • Student visa (residence permits are required for periods over 3 months)

Citizens of countries that have an agreement with Norway, such as EU countries, Mexico, and the United States, do not require visas to enter and travel to Norway, others must obtain a visa for entry.

Work Permits

Employees who wish to work in Norway are required to obtain a work permit. The following conditions must be met:

  • The applicant must be over 18 years old.
  • The salary and working conditions must be better than the minimum collective agreements or regulations for the industry.
  • The applicant must be offered a full-time job.
  • The applicant must not violate a quota determined by the Ministry of Labor.

Foreign workers in fixed-term contracts receive a residence permit for up to 6 years. It forms the basis of permanent residence in Norway for skilled workers and is issued for 2 years to unskilled workers.

Population 5.6m

Population in total, including all residents regardless of legal status © 2024 - WBGEUROSTAT

84.3%

Urban Population

99%

Internet access

98.6%

Banking access

100%

Mobile phone access

DATA SOURCES

Population: The World Bank: World Development Indicators: World Bank Group • World Population Prospects, United Nations (UN), uri: https://population.un.org/wpp/, publisher: UN Population Division; Statistical databases and publications from national statistical offices, National Statistical Offices, uri: https://unstats.un.org/home/nso_sites/, publisher: National Statistical Offices; Eurostat: Demographic Statistics, Eurostat (ESTAT), uri: https://ec.europa.eu/eurostat/data/database?node_code=earn_ses_monthly, publisher: Eurostat; Population and Vital Statistics Report (various years), United Nations (UN), uri: https://unstats.un.org, publisher: UN Statistics Division

Urban Population: The World Bank: World Development Indicators: World Bank Group • World Urbanization Prospects, United Nations (UN), uri: https://population.un.org/wup/, publisher: UN Population Division

Internet access: The World Bank: World Development Indicators: World Bank Group • World Telecommunication/ICT Indicators Database, ITU (ITU), uri: https://datahub.itu.int/

Banking access: The World Bank: World Development Indicators: World Bank Group • FINDEX, WBG (WB), uri: https://www.worldbank.org/en/publication/globalfindex

Mobile phone access: The World Bank: World Development Indicators: World Bank Group • World Telecommunication/ICT Indicators Database, ITU (ITU)

Social Protection & Benefits

Vacation Leave

Employers must give employees an annual leave of 25 working days each calendar year. Working days are defined as all non-Sundays, statutory weekends, or public holidays. Employees over 60 years of age are entitled to 6 extra days of leave. An employee who turns 60 during the calendar year shall be given extra leave of six working days. If the extra leave is divided, the employee can only demand to take as many working days off as they normally have during a week.

An employee who joins no later than September 30 in the calendar year is entitled to full annual leave (25 working days). An employee who joins after this time is entitled to an annual leave of six working days.

A written agreement can be entered into on the termination of an advance holiday of up to 12 working days and the transfer of up to 12 working days holiday to the following holiday year. Advance holiday and transfer of holiday beyond this can not be agreed.

Sick Leave

In Norway, employees who have worked for the employer for at least two months are entitled to self-declared sick leave (i.e., notifying their employer that they cannot work due to illness without presenting a medical certificate). Self-declared sick leave can be used for up to 3 calendar days at a time and 4 times in 12 months.

If an employee is sick longer than the time allowed by the self-declaration, they must present a medical certificate from a doctor.

Loss of income due to illness may entitle an employee to sickness benefits if they have been employed for at least 4 weeks before sick leave begins. Employees are entitled to sickness benefits for a maximum of 52 weeks. A self-declaration or a medical certificate must document the illness. Employees are entitled to sickness benefits from their first day of absence. The employer pays the sickness benefit for the first 16 days, after which the Norwegian National Insurance scheme takes over. Employees earning more than 6 times the base amount for the year are not entitled to a sickness benefit.

Maternity Leave

In Norway, a pregnant employee is entitled to a leave of absence for up to 12 weeks during her pregnancy. After childbirth, the mother takes a leave of absence for the first 6 weeks of the post-birth period unless she produces a medical certificate stating that it is preferable that she resume work.

The parental benefit period ranges for a single birth from 49 weeks (15 weeks are reserved for each parent) with 100% wage coverage to 61 weeks and 1 day (19 weeks are reserved for each parent) with 80% wage coverage. The parental benefit is calculated in the same way as sickness benefits. The maximum benefit is equivalent to 6 times the National Insurance Basic Amount annually, regardless of whether the parent's income is higher.

Leave rights related to having a child mean that parents, together, are entitled to take leave until the child attains 3 years of age. The Norwegian Labour and Welfare Service (NAV) pays the first year. To ensure staffing predictability, the employer can demand that the leave be taken as a continuous period.

Paternity Leave

Under Norway's law, fathers are entitled to 2 weeks' leave of absence to help their child's mother after childbirth. If the parents do not cohabitate, another individual assisting the mother may exercise the right to leave of absence.

Adoptive and foster parents have the right to 2 2-week leave of absence when the child first comes into their care. This does not apply when adopting stepchildren or when the child is over 15.

Fathers are entitled to parental leave benefits. The parental benefit period ranges for a single birth from 49 weeks with 100% wage coverage to 61 weeks and 1 day with 80% wage coverage. In the case of a twin birth or multiple adoptions, the benefit period is extended to 66 weeks of 100% benefits or 82 weeks and 2 days of 80% benefits. If a father or co-mother only has a right to parental allowance or solely cares for the child, then the allowance changes.

The parental benefit is calculated in the same way as sickness benefits. The maximum benefit is equivalent to 6 times the National Insurance Basic Amount annually, regardless of whether the parents' income is higher.

Social Security

Pension

The National Insurance Scheme of Norway provides retirement benefits to insured persons. The legal retirement age is 67 years. To be eligible for a retirement pension, a person must have had at least 3 years of insurance. The 3 years requirement is waived for people receiving disability benefits due to occupational injury at the age of 67.

The pension is paid as a base amount fixed for the year, irrespective of the person's previous income. People who have 40 years of insurance coverage are eligible to receive a full pension. For those with less than 40 years of coverage, the benefit is reduced proportionately. Individuals with at least 3 years of insurance coverage have the right to a minimum level of pension. The spousal supplement is 25% for a cohabiting spouse.

The funds for the national insurance schemes are sourced from the contributions made by employers and employees.

Dependents/Survivors Benefits

The National Insurance Scheme of Norway provides for survivors' benefits in the case of a member's death. The eligible survivors are the deceased's spouse and children. The amount of benefits depends on the base amount of National Insurance for the year. The annual basic amount is set to NOK 124,028 (Norwegian kroner) for the year 2024-2025, effective from May 1, 2024. From January 1, 2024, survivor's pension is limited to 3 years. If they take an education approved by NAV, or if they have work training via NAV, the pension can be extended for up to 2 years.

The survivor benefit for children and spouse is paid if the deceased parent was a member of the National Insurance for at least 3 years immediately before death or the deceased parent was a recipient of a retirement pension for 3 years immediately before death.

The funds for the national insurance schemes are sourced from the contributions made by employers and employees.

Invalidity Benefits

The National Insurance in Norway provides for insured residents who have had their income permanently reduced due to illness or injury. To be eligible for this benefit, persons must have been insured for at least 5 years immediately before the onset of disability. For individuals who become disabled before the age of 26 years, the required insurance duration is 1 year prior to the disability. Another condition for entitlement is that the person is still a member of the National Insurance Scheme. Anyone who is not a member of the National Insurance Scheme receives disability benefits if he or she has at least 20 years of insurance coverage. The beneficiary should be between 18 and 67 years of age. A person's ability to perform income-generating work must be permanently reduced by at least 50% for him or her to be eligible for disability benefits. If an occupational injury causes the disability, it is sufficient that the earning capacity is permanently reduced by 30% to be eligible for benefits.

The disability benefits are paid as 66% of the insured's average pensionable income in the best 3 of the last 5 years before the disability began. The minimum benefit is 2.28 times the base amount for persons living with their spouses (2.66 times if the disability started before the age of 26 years) and 2.48 times the base amount for others (2.91 if the disability began before the age of 26 years). The full benefit is paid to individuals who have had insurance coverage for at least 40 years. If the insurance period is shorter than 40 years, the unemployment benefit is reduced accordingly.

Minimum Age

The legal working age in Norway is 15 years. Children above the age of 13 years can be employed in light work. The law prohibits employing people under 18 years of age in any work that is detrimental to their safety, health, development, or schooling. The normal working hours for young persons are less than the normal working hours allowed for adults. Employers must ensure that young persons employed in night work undergo a medical examination before commencing employment.

People under the age of 18 are to be provided with a 30-minute break if the work exceeds 4.5 hours. Young people under the age of 15 or who attend compulsory education must be provided with 14 hours of daily rest. Youth between 15 and 18 years old who attend compulsory education must be provided with 12 hours of daily rest. Individuals under the age of 18 must be provided with 48 hours of continuous weekly rest.

Unemployment 4%

Share of the labor force that is unemployed, but available for and seeking employment © 2024 - WBGILO

65.1%

Labor force population share

47.2%

Female share of labor force

87%

Healthcare access

DATA SOURCES

Unemployment: The World Bank: World Development Indicators: World Bank Group • ILO Modelled Estimates database (ILOEST), ILO (ILO), uri: https://ilostat.ilo.org/data/bulk/, publisher: ILOSTAT, type: external database, date accessed: January 07, 2025.

Labor force (total): The World Bank: World Development Indicators: World Bank Group • ILO (ILO), type: estimates based on external database; United Nations (UN), publisher: UN Population Division; Staff estimates, WBG (WB)

Labor force population share: The World Bank: World Development Indicators: World Bank Group • ILO Modelled Estimates database (ILOEST), ILO (ILO), uri: https://ilostat.ilo.org/data/bulk/, publisher: ILOSTAT, type: external database, date accessed: January 07, 2025

Female share of labor force: The World Bank: World Development Indicators: World Bank Group • ILO (ILO), type: estimates based on external database; United Nations (UN), publisher: UN Population Division; Staff estimates, WBG (WB)

Healthcare access: The World Bank: World Development Indicators: World Bank Group • GHO, WHO (WHO), uri: https://www.who.int/data/gho/data/themes/topics/service-coverage

         

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