The Danish labour market model (the flexicurity model) is based on the autonomy of the social partners. In most other countries, the labour market is governed by legislation. However, in the Danish labour market, there is no legislation in central areas such as pay and working time. The social partners agree on the rules in these areas by means of collective agreements – among others. The Danish model offers influence for workers and employers rather than influence for politicians.
Some liberal forces have misinterpreted the Danish model in the current European debate by focusing simply on the flexibility-element of the model. But the word “flexicurity” is a combination of the words “security” and “flexibility ” and signifies the ability to combine social security and flexibility on the labour market. The Danish model provides both flexibility and stability since the two elements go hand in hand.