Guideline for Senior Agreements

Objective

The following two types of agreements may be concluded for senior employees: I) General agreements on employment conditions and (II) senior agreements according to the agreement on force at any time regarding agreement between the collective bargaining parties (II).

Specific agreements are prepared in consultation with Corporate HR.

I. General Agreements on Employment Conditions

Agreements can be made to adjust the working relationship and employment conditions for senior employees on equal terms with other employees at DTU. It is the immediate manager who, through conversations (including performance reviews), identifies any needs for changes in job content and/or working hours with the employee.

The following points are not specifically aimed at senior employees but may be included in discussions and subsequently form the basis for an agreement:

1. Wishes and needs regarding future job roles – including the development of an individual plan
2. Reduction of weekly working hours with a corresponding salary reduction
3. Changes in responsibilities, either expansion or reduction
4. Greater flexibility in task planning
5. Need for maintenance and/or development of the employee’s competencies, including an individual plan
6. If the employee needs additional time off, it can be agreed that they may purchase extra days off
7. Possibility of early retirement, partial pension, and social partial pension from the unemployment fund, pension fund, and municipality of residence respectively

II. Senior Schemes

The circular on the agreement on senior schemes dated 5 November 2024 outlines the possibilities for entering into special senior arrangements. Reference is generally made to the applicable circular.

Senior schemes are based on voluntariness and require mutual understanding between the employee and their immediate manager.

Senior schemes can be agreed upon for employees who apply to transition to part-time work (from age 60) or to a lower-ranked position – retreat (from age 58), or a combination of part-time and retreat.

Reduction in Working Hours (Senior Scheme with Part-Time Work)

A senior scheme with part-time work requires that:

• the employee is at least 60 years old, and
• the employee has been employed for a total of 10 years within the scope of the agreement, and
• the working hours after reduction amount to at least 15 hours per week.

This scheme allows for the following:

• For employees covered by collective agreements, an increased pension contribution may be paid relative to the agreed part-time hours, so that the total pension contribution corresponds to the previous full-time contribution.
• Civil servants may be granted continued accrual of pensionable service time up to their previous level of employment.

Reduction in Job Level (Senior Scheme with Retreat)

A senior scheme with retreat requires that:

• the employee is at least 58 years old, and
• transitions to a lower-ranked position upon application, and
• has been employed full-time for the past 10 years in a managerial or similarly demanding position within the state.

This scheme allows for:

• DTU to pay an increased pension contribution so that the total pension contribution corresponds to the previous contribution (for employees under collective agreements).
• Civil servants and employees with civil servant pension rights to retain the right to have their pension calculated based on their previous, higher pensionable salary.
• A non-pensionable supplement may be granted, which must not exceed the difference between the salary in the previous position and the retreat position. This supplement must be phased out over a maximum of 3 years, with at least one-third reduced every 12 months (for both collective agreement employees and civil servants).

Senior Days (Paid Leave)

For senior employees who are at least 62 years old, it may be agreed that:

• They receive up to 1 day of paid leave per month – i.e., a maximum of 12 additional days off per year.
• The leave can be taken as full or half days, individually or consecutively, or as single hours.
• The timing and/or conditions for taking the leave are discussed and agreed upon with the immediate manager.

As DTU wishes to exercise restraint in entering into agreements for up to 1 day of paid leave per month, such agreements can only be made in exceptional cases.

Retention Bonus

For senior employees who are at least 62 years old, a special retention bonus may be agreed upon, which is paid out if the senior employee postpones their resignation until a specifically agreed date.

As DTU wishes to exercise restraint in entering into agreements for the payment of retention bonuses, such agreements can only be made in exceptional cases.

Voluntary Severance Schemes

This scheme can be used in situations where management assesses that staff reductions are or are expected to become necessary, and where it would be appropriate to encourage voluntary resignation.

A voluntary severance scheme for employees under collective agreements may include:

Severance Payment – granted as follows:

• 1 month’s salary after 12 years of continuous employment
• 2 months’ salary after 15 years of continuous employment
• 3 months’ salary after 18 years of continuous employment

In special cases, the amount may be increased, but at most:

• 2 months’ salary after 9 years of continuous employment
• 4 months’ salary after 12 years of continuous employment
• 6 months’ salary after 15 years of continuous employment

Leave of Absence

Up to 7 months immediately before the resignation date. Accrued vacation is expected to be taken during the leave period.

Payment of Extraordinary Pension Contributions

As an alternative to severance payment and leave of absence, extraordinary pension contributions may be paid for employees under collective agreements – up to the equivalent of 4 years of total pension contributions. The extraordinary contribution is paid in a lump sum.

Voluntary Severance Scheme for Civil Servants:

May include:

• An annual benefit as a supplement to the pension until the applicable state pension age
• Addition of extra pensionable service years and/or payment of a severance amount
• Up to 4 years of extra pensionable service may be added, but no more than a total of 37 years of pensionable service

Severance payment

Severance payment may be granted according to special rules in the agreement on senior and severance schemes.

Entry into Force

The guideline for the senior policy was approved by the Executive Board and discussed in the HSU in March 2017. It enters into force upon publication on DTU Inside.

Amendments

The guideline may be amended with 3 months’ notice following discussion in the HSU. Changes will be communicated via DTU Inside. 

The guideline was updated by Sabrina Sahl on June, 2025.