New regulations for staffing agencies in Norway

From 1st of January there are new regulations for staffing agencies in Norway. From this date all staffing agencies must be approved by the Labour Inspection Authority, and here we list up the requirements for being approved as a staffing agency.

Staffing Compliance Solutions in Norway

Stay ahead of regulatory changes and ensure the legal operation of your staffing enterprise in Norway with ECOVIS. As of January 1, 2024, the Norwegian Labour Inspection Authority mandates that all staffing enterprises engaged in labor leasing must obtain authorization. The existing registration scheme will be discontinued, requiring all staffing enterprises to apply for authorization to legally provide staffing services.
Key Points:

1. Mandatory Authorization (From January 1, 2024)

Starting January 1, 2024, the registration scheme for staffing enterprises will be replaced by a mandatory authorization process. All staffing enterprises, even those already registered, must apply for authorization from the Norwegian Labour Inspection Authority to continue providing staffing services legally.

2. Application Process

ECOVIS facilitates the application process for authorization, ensuring a seamless transition for staffing enterprises. The new application form will be accessible in November, and our services include guiding you through the application process, keeping you informed at every step.

3. Existing Registration (Up to December 31, 2023)

Until December 31, 2023, all staffing enterprises engaged in labor leasing must remain registered with the Norwegian Labour Inspection Authority. Our expertise ensures that your enterprise adheres to the current registration requirements during this transition period.

4.Illegal Operations Warning

All activities involving labor leasing in Norway must be registered as a staffing enterprise with the Norwegian Labour Inspection Authority. Engaging staffing services from an unregistered enterprise is illegal. ECOVIS ensures your enterprise remains compliant, protecting you from legal risks and supporting a smooth transition to the new authorization scheme.

Key Regulatory Points

Scope of Regulation (§ 1)
The regulation applies to staffing agencies intending to operate in Norway, specifically those engaged in labor leasing. It excludes the leasing of seafarers.

Requirements for Staffing Agencies (§ 2)
Staffing agencies must either be registered as a Norwegian limited company or public limited company, or provide security in the form of a guarantee from a bank or insurance company equivalent to the minimum share capital requirements for Norwegian limited or public limited companies.

Staffing Agencies from Another EEA Country (§ 3)
Companies registered as a limited company or public limited company in another EEA country are considered to fulfill the requirements of § 2. Guarantees from banks or insurance companies in another EEA country are equivalent to those from Norwegian institutions.

Requirement for a Fixed Representative (§ 4)
Foreign staffing agencies without a permanent establishment or domicile in Norway must have or appoint a representative in Norway with the authority to receive claims and perform legal actions on behalf of the agency. The representative must have a domicile or fixed business address in Norway.

Reporting Obligations to the Labor Inspection Authority (§ 5)
Staffing agencies intending to operate in Norway must submit a notification to the Labor Inspection Authority. The notification should include the company's name, business address, organization number, and the name and address in Norway of the fixed representative for the foreign entity. The submission should also include documentation demonstrating compliance with registration and guarantee conditions.

Register of Staffing Agencies (§ 6)
The Labor Inspection Authority will establish and maintain a public register of staffing agencies that have fulfilled the reporting obligations. The information in the register will be publicly accessible.

Annual Confirmation (§ 7)
Registered staffing agencies must annually confirm, by January 31st, that they still meet the reporting requirements. Failure to comply may result in removal from the register, with prior notification and an opportunity to rectify the omission.

Information Duty (§ 8)
Staffing agencies are obligated to provide information and documentation necessary for governmental control to ensure compliance with the regulations.

Fee (§ 9)
The Labor Inspection Authority may establish a fee to cover expenses related to the registration of staffing agencies.

Hiring from Staffing Agencies (§ 10)
Hiring of workers from staffing agencies is only allowed if the agency is registered according to § 6. The Labor Inspection Authority oversees compliance, issuing necessary orders and decisions.

Penalties (§ 11)
Intentional or negligent violations of the regulation or decisions made under it, as well as complicity, are punishable according to the Norwegian Labor Market Act.

Choose ECOVIS for comprehensive compliance solutions, ensuring that your staffing enterprise in Norway operates within the bounds of the evolving regulatory landscape. Stay informed, stay compliant, and let us navigate the regulatory changes for you.