Management Employment Contract

Management Employment Contract Template for Denmark

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Document background

The Management Employment Contract serves as a crucial legal document for establishing and governing the employment relationship between companies and their management-level employees in Denmark. It is specifically designed to comply with Danish employment law requirements, including the Salaried Employees Act, while incorporating provisions particular to executive positions. This contract type is essential when hiring or promoting individuals into management roles, providing comprehensive coverage of important aspects such as duties, compensation, benefits, and post-employment obligations. The document needs to balance the interests of both the employer and the manager while ensuring compliance with mandatory Danish employment regulations and market standards for executive employment.

Suggested Sections

1. Parties: Identification of the employer company and the manager, including full legal names and addresses

2. Background: Context of the appointment and any relevant company information

3. Definitions: Key terms used throughout the agreement

4. Position and Duties: Job title, role description, responsibilities, and reporting relationships

5. Commencement and Duration: Start date and term of employment (if fixed-term)

6. Place of Work: Primary workplace location and any mobility requirements

7. Working Hours: Expected working hours and flexibility requirements

8. Remuneration: Base salary, review mechanisms, and payment arrangements

9. Benefits: Standard benefits package including pension, insurance, and car allowance if applicable

10. Holiday Entitlement: Annual leave rights and holiday pay arrangements

11. Illness and Absence: Sick pay entitlements and absence reporting procedures

12. Confidentiality: Obligations regarding company confidential information

13. Intellectual Property: Rights and obligations regarding work-created IP

14. Data Protection: GDPR compliance and personal data processing

15. Notice Period: Notice requirements for termination by either party

16. Termination: Grounds for termination and associated procedures

17. Post-termination Restrictions: Non-compete and non-solicitation clauses

18. Governing Law: Confirmation of Danish law application and jurisdiction

Optional Sections

1. Bonus Arrangements: Details of performance-based bonuses or incentive schemes, used when variable compensation is part of the package

2. Share Options: Share-based compensation arrangements, included when equity participation is offered

3. International Travel: Terms for international assignments or travel, relevant for roles with global responsibilities

4. Board Positions: Terms for holding director positions in group companies, used for senior executive roles

5. Change of Control: Special provisions in case of company ownership change, relevant for senior positions

6. Garden Leave: Provisions for placing the manager on garden leave during notice period

7. Additional Directorships: Terms for accepting external board positions or other appointments, relevant for senior managers

8. Training and Development: Provisions for executive development programs and training

9. Relocation: Terms for relocation support, used when the role requires moving to Denmark

Suggested Schedules

1. Schedule 1: Bonus Scheme Rules: Detailed terms and calculations for performance-based compensation

2. Schedule 2: Share Option Terms: Detailed terms of any share option or equity participation scheme

3. Schedule 3: Company Car Policy: Details of company car or car allowance arrangements

4. Schedule 4: Benefits Summary: Comprehensive list and details of all benefits provided

5. Schedule 5: Job Description: Detailed description of roles, responsibilities and objectives

6. Appendix A: Code of Conduct: Company's code of conduct and management principles

7. Appendix B: IT and Communication Policy: Company policies regarding use of IT systems and communication tools

8. Appendix C: Expense Policy: Rules and procedures for business expense claims

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