Executive Employment Agreement Template for Denmark

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Executive Employment Agreement

Document background

The Executive Employment Agreement is a crucial document used when hiring senior-level executives in Denmark, establishing the formal employment relationship between a company and its executive employees. This agreement must comply with Danish employment law, particularly the Danish Salaried Employees Act (Funktionærloven) and the Danish Act on Employment Contracts (Ansættelsesbevisloven). The document covers essential aspects such as position, duties, compensation, benefits, and termination provisions, while incorporating specific Danish legal requirements regarding notice periods, holiday entitlements, and employee protections. It's particularly important for ensuring clarity in executive roles and protecting both the employer's and executive's interests while maintaining compliance with Danish employment regulations.

Suggested Sections

1. Parties: Identification of the employer company and the executive employee

2. Background: Context of the appointment and any relevant corporate background

3. Definitions: Key terms used throughout the agreement

4. Appointment and Position: Executive's title, role, responsibilities, and reporting structure

5. Commencement and Duration: Start date and nature of employment (permanent/fixed-term)

6. Duties and Responsibilities: Detailed description of executive's duties, authority, and performance expectations

7. Place of Work: Primary workplace location and travel requirements

8. Working Hours: Expected working hours and flexibility requirements

9. Remuneration: Base salary, review process, and payment terms

10. Bonus and Incentives: Performance-based compensation structures

11. Benefits: Standard benefits package including pension, insurance, and car allowance

12. Holidays and Leave: Holiday entitlement and other leave provisions

13. Illness and Absence: Procedures for reporting illness and payment during sick leave

14. Expenses: Business expense reimbursement policy

15. Confidentiality: Protection of company confidential information

16. Intellectual Property: Ownership and protection of IP created during employment

17. Data Protection: GDPR compliance and personal data handling

18. Termination: Notice periods and termination provisions

19. Post-Termination Obligations: Return of company property and ongoing obligations

20. Governing Law: Confirmation of Danish law governance and jurisdiction

Optional Sections

1. Non-Competition: Restrictions on working for competitors, used when protecting specific business interests

2. Non-Solicitation: Restrictions on soliciting employees/clients, used when protecting business relationships

3. Garden Leave: Provisions for placing executive on paid leave during notice period

4. Change of Control: Special provisions triggered by company ownership changes

5. International Travel/Assignment: Special provisions for executives with international responsibilities

6. Board Positions: Terms for holding external board positions or directorships

7. Equity Participation: Share options or other equity-based compensation arrangements

8. Relocation: Terms and support for relocation if applicable

9. Training and Development: Provisions for executive development and education

Suggested Schedules

1. Schedule 1 - Remuneration Package: Detailed breakdown of salary, benefits, and compensation structure

2. Schedule 2 - Bonus Scheme: Detailed terms and conditions of performance-based incentives

3. Schedule 3 - Benefits Details: Comprehensive list of benefits and their terms

4. Schedule 4 - Job Description: Detailed description of duties and responsibilities

5. Schedule 5 - Company Policies: Key company policies applicable to the executive

6. Appendix A - Share Option Agreement: Terms of any share option or equity participation scheme

7. Appendix B - Non-Compete Terms: Detailed terms of non-competition restrictions if applicable

8. Appendix C - Data Protection Policy: Detailed GDPR compliance and data handling procedures

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