Norway – New Salary Criteria Defined for Residence (Work) Permit

Norway–New Salary Criteria Defined for Residence Permit

Norway has raised the minimum annual salary (“salary criteria”) that is necessary so that someone coming to work in Norway can apply for, and obtain, a new or renewal residence (work) permit in Norway. In order to obtain a residence permit for work purposes in Norway, the pay and working conditions must not be poorer than is normal in Norway. The salary to be received must comply with the salary criteria.

Related content

flash-alert-2015-093

With effect from June 1, 2015, applicants for new and renewal residence (work) permits in Norway must earn a minimum annual salary of NOK 381,000 (up from NOK 380,300) if the position requires a bachelor's degree and NOK 410,500 (up from NOK 409,700) if the position requires a master's degree.1  The amounts are per year pre-tax.  Lower salaries may be permitted if one can document that it is normal for the occupation in the company one intends to work. 

The amounts will be adjusted in June 2016.

WHY THIS MATTERS

In order to obtain a residence permit for work purposes in Norway, the pay and working conditions must not be poorer than is normal in Norway.  The salary to be received must comply with the salary criteria.

It is important for employees considering an assignment in Norway, their IHR/program managers, and their immigration advisers to be aware of the adjustments prior to signing contracts for assignments in Norway and applying for a residence permit.  Non-compliance with the salary criteria carries risks (penalties, sanctions, etc.) for the employer and the employee.

It is a requirement that the pay and working conditions not be poorer than the applicable collective agreement or pay scale for the industry in question.  Any new agreements/pay scales, or adjustments, must be reflected in the applicant’s pay and working conditions from the day they enter into force, so that the applicant is paid in accordance with the applicable collective agreement/pay scale at all times.

If no such collective agreement or pay scale exists, the pay and working conditions must not be poorer than it is normal for the occupation and place concerned.

The minimum salary is adjusted each year in June.

FOOTNOTES

1  See the Web site for the Norwegian Directorate of Immigration and the relevant circular at:  http://www.udi.no/en/word-definitions/pay-and-working-conditions-in-norway/ and http://www.udiregelverk.no/en/documents/udi-circulars/rs-2010-129/#attachment.

2  Cf. Section 23 first paragraph letter (b) of the Immigration Act. 

CONTACTS

For additional information or assistance, please contact your usual KPMG GMS or People Services professional* or one of the following immigration professionals with the KPMG International member firm in Norway:

 

Unn Kristin Mardal

Tel. +47 4063 9201

Unn.Kristin.Mardal@kpmg.no 

 

Asta Vazgauskaite

Tel. +47 4063 9697

Asta.Vazgauskaite@kpmg.no

 

Per Tore Kraby Lock

Tel. +47 4063 9190 

Per.Tore.Kraby.Lock@kpmg.no

 

Stian Bjordal Furset

Tel. +47 4063 9427

Stian.Bjordal.Furset@kpmg.no

 

* Please note the KPMG International member firm in the United States does not provide immigration services.

The information contained in this newsletter was submitted by the KPMG International member firm in Norway. 

© 2016 KPMG Law Advokatfirma DA, a Norwegian member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.

Flash Alert is an Global Mobility Services publication of KPMG LLPs Washington National Tax practice. The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

Connect with us

 

Request for proposal

 

Submit

KPMG's new digital platform

KPMG's new digital platform