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System of employment relations, collective bargaining and employee involvement in Norway

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Foreign companies operating in Norway may encounter an unfamiliar system of labor relations, collective bargaining and employee involvement. This can be especially true for companies based in the UK or the US.

Also read the updated article on the strike in Norway: Mediation broke down - strike

Employee involvement in Norway

Knowing the rules of employment relations in Norway is crucial to avoid undesirable situations in your company.

Trade unions and employers' organizations have existed and cooperated in Norway for over a hundred years. There is a deep-rooted tradition of employee involvement and employee information/consultation. Over the years, legislation, collective bargaining and corporate practices have evolved to create a system of comprehensive rights and benefits for employees. There is now widespread agreement among employers on the usefulness of the system.

Norway is not a member of the EU

It should be noted that although Norway is not a member of the EU, we are part of the EEA (European Economic Area). This means that all relevant EU directives are implemented here, including, for example, the EWC Directive and the Information/Consultation Directive. Co-decision: Representation in the management board in accordance with the Act on Limited Liability Companies. Since 1972, employees of Norwegian limited liability companies have the right to be represented on the board of directors and to be represented at the company's meeting. Employee representatives are elected by and among employees. They have the same rights and obligations as shareholder representatives.

More information on this can be found on the NHO website. Næringslivets Hovedorganisation is Norway's largest business interest organisation. NHO is a member of BusinessEurope, a European organization associating organizations of entrepreneurs and employers.

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Source: NHO

Read and learn more: The Norwegian Labor Inspectorate starts inspections

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