Norway offers access to a stable economy and a highly skilled workforce. Its strong focus on work-life balance and social welfare creates a high standard of living — and clear expectations for employers. 

A Norway employer of record (EOR), like G-P, is the simplest way to build your team — without setting up an entity. With G-P, you can hire top talent in 180+ countries, including Norway, quickly and easily. We handle the compliance complexity so you can grow your global team anywhere and stay focused on strategic initiatives.

Simplify hiring in Norway with an employer of record

Norway's labor laws prioritize employee welfare and wellness.  

From day one, a Norway EOR ensures your business complies with local labor laws — so you can find the right talent, reduce risk, and focus on your global goals. 

The EOR hiring process in Norway

  1. Partner with a global employment expert. Choose an EOR with deep, in-country expertise in Norway. They’ll guide you through the local legal landscape.

  2. Source your ideal candidate. You find the best talent for your needs, and the EOR handles the rest of the employment process.

  3. Generate a compliant employment contract. Your EOR drafts a locally compliant contract that reflects all mandatory terms under Norway’s Working Environment Act, including salary, working hours, and notice periods.

  4. Onboard and manage your team. The EOR manages all aspects of the employment lifecycle. This includes registering the employee with Norway’s tax authorities and social security system, processing payroll, and administering benefits.

See how an EOR works

Employment contracts in Norway

Contracts must be in writing to be legally valid. Many aspects of employment are set by collective bargaining agreements (CBAs), which usually have better terms than legal minimums. If a CBA applies, this must be stated in the contract.

At a minimum, contracts must list the employer and employee’s identities, place of work, work hours, job description or title, probationary periods, compensation, vacation and holiday pay, and termination requirements. All compensation must be in Norwegian krone (NOK).

An EOR Norway, like G-P, acts as the legal employer for your global team members. We ensure that employment contracts meet the strict requirements of the Norwegian Working Environment Act (arbeidsmiljøloven), which is in line with the European Union’s Work-Life Balance Directive. As the legal employer, we also make sure the contract aligns with any relevant CBAs.

Leave entitlements in Norway

Working hours in Norway

Employees can’t work more than nine hours per day or 40 hours per seven-day week. Hours worked beyond this are overtime, which is paid at least 40% above the employee's normal wage. 

Overtime is strictly regulated and generally can’t exceed:

  • 10 hours in seven days

  • 25 hours in four consecutive weeks

  • 200 hours in 52 weeks 

If an employee works shifts, nights, or Sundays, normal working hours are 38 or 36 hours a week. This must be stated in the employment contract.

Public holidays in Norway

Norway-based employees get 10 national public holidays:

  • New Year's Day

  • Maundy Thursday

  • Good Friday

  • Easter Monday

  • Labor Day

  • Constitution Day

  • Ascension Day

  • Whit Monday

  • Christmas Day

  • Boxing Day

Although they aren’t public holidays, most employees get a half-day on Christmas Eve and New Year's Eve. This is often set by a CBA or company policy.

Some employees don’t get a paid day off on public holidays:

  • Salaried employees (paid monthly) are generally paid when a public holiday falls on a workday.

  • Hourly-paid employees are only paid for public holidays if this is specified in their contract or a CBA. Exceptions are May 1 (Labor Day) and May 17 (Constitution Day). 

Vacation days in Norway

Under the Norwegian Holiday Act (ferieloven), employees get at least 25 annual vacation days. In Norway, "working days" include Monday through Saturday (excluding Sundays and public holidays), so this is equal to four weeks and one day of annual vacation. Employees over 60 get 31 vacation days. 

A standard CBA benefit is an extra five days of annual vacation. 

Employees don’t get a regular salary during vacation. They get holiday pay (feriepenger). This pay is calculated as a percentage of the previous year's earnings. It’s paid as a lump sum in June.

The rates are:

  • 10.2% for the 25-day entitlement

  • 12.0% for the five-week entitlement

  • 12.5% for employees over 60 with the extra six-day entitlement

  • 14.3% for employees over 60 with the five-week entitlement

Norway sick leave

Employers pay full salary for the first 16 days of sick leave. From day 17, the Norwegian Labour and Welfare Service (NAV) pays sickness benefits.

Employees don’t need a doctor’s certificate for the first three days of illness, but they need one if they’re away from work longer. Sickness benefits paid by NAV are capped at six times the national insurance basic amount. This is called the G-amount, or grunnbeløpet, which is NOK 780,960 for 2025. The G-amount is usually adjusted every May. 

Maternity, paternity, and parental leave in Norway

Norway has a generous parental leave system. Both parents get 49 weeks at 100% pay or 61 weeks and one day at 80% pay. This leave is divided into a maternal block, a paternal block, and a shared block that can be divided between parents.

Similar to sick leave, NAV pays up to a maximum of six times the G-amount. Many employers supplement this benefit to cover the employee's full salary.

How an employer of record helps manage leave entitlements in Norway

An employer of record Norway manages working hours and leave entitlements on your behalf, including sick leave requirements and NAV benefit payouts. EORs also handle parental leave and supplementary employer contributions, so you stay compliant. 

Health insurance in Norway

Norway's National Insurance Scheme (NIS) provides high-quality public healthcare to all residents. While public care is excellent, there can be long wait times. Some companies offer supplementary private health insurance as an employee benefit for faster access to specialist services.

Supplementary benefits and bonuses in Norway

We recommend you budget about 20% above an employee’s gross salary to cover total employment costs.

These costs include: 

  • Employer social security contributions (typically 14.1%) 

  • Occupational pension contributions (minimum 2%)

  • Optional benefits like supplementary private health insurance, additional pension contributions, meal subsidies, and an allowance for a company car, phone, or internet

Bonuses are discretionary and not mandated by law (except in certain regulated sectors). Common bonuses and incentives include:

  1. Performance bonuses: Cash bonuses based on individual, team, or company performance targets. These are the most common bonuses and are outlined in employment contracts or company policies.

  2. Profit-sharing schemes: Some companies distribute a portion of annual profits to employees, either as a cash bonus or contribution to a pension or savings plan.

  3. Equity-based incentives: Especially in larger companies and startups, employees may be offered:

    • Stock options

    • Employee share purchase plans

    • Restricted stock units (RSUs), which are subject to tax and reporting rules

  4. Holiday bonus: Some employers give an extra payment around the summer holiday period, but this is less common than in other European countries.

  5. Long-service and special occasion bonuses: Tax-free gifts or bonuses may be given for long service, company anniversaries, or special occasions (like milestone birthdays, weddings, or retirements), within set tax-free limits.

How an employer of record helps with benefits in Norway

An employer of record Norway manages your professionals’ health insurance and supplementary private health coverage, if offered as an added benefit. We ensure you understand costs that go beyond gross pay, like mandatory contributions and perks.

Termination and severance in Norway

The maximum probationary period is six months, during which employers need to give 14 days’ notice before termination. After probation, the legal notice period ranges from 1–6 months, depending on the employee's age and length of service. Three months’ notice is common in contracts.

Norway-based employees have strong protection against unfair dismissal. Termination must be justified, and the employer bears the burden of proof. Before giving notice, the employer must hold a formal meeting with the employee.

There’s no statutory requirement for severance pay in Norway. Severance is only provided if agreed in the employment contract or CBA.

A Norway EOR ensures a smooth and compliant offboarding process. EORs make sure that probation, notice periods, and termination align with Norwegian labor law. These processes can be complicated and time-consuming — but with an EOR, you don’t have to worry. 

Payroll and payroll taxes in Norway

Employer and employee contributions fund the social security system (folketrygden). The main components include:

  • Retirement and disability pensions

  • Unemployment and sickness benefits

  • Other social welfare benefits, like parental, child, and single-parent benefits

Employees contribute 7.7% of their gross salary to social security. Employer contributions depend on the municipality. The most common rate is 14.1% of paid wages.

Employers must set up a pension plan for employees, called a mandatory occupational pension, or obligatorisk tjenestepensjon (OTP). The employer pays at least 2% of the employee’s salary (between certain limits) into this pension plan.

Norway uses a dual-income tax system, which means that income is taxed in two ways:

  • Labor income is money earned from working, such as salary, bonuses, and most benefits. This income is taxed at progressive rates, so the more you earn, the higher your tax rate.

  • Capital income is money earned from investments, like interest, dividends, and profits from selling shares or property. This income is taxed at a flat rate of 22%, no matter how much you earn.

An EOR Norway simplifies global employment by handling all aspects of payroll and tax compliance. This includes managing the Norwegian tax system, ensuring correct withholding and remittance to the authorities, and setting up an OTP.

How to choose the right EOR in Norway

Consider these factors when selecting an EOR in Norway:

  • Compliance expertise: Your EOR must have a deep understanding of Norwegian labor laws and requirements. A partner with a dedicated team of local HR and legal professionals can proactively manage changes to ensure you’re always compliant.

  • Comprehensive service offering: The right partner offers a range of global employment products and EOR solutions. Our global employment platform delivers everything you need to manage the employee lifecycle, from drafting compliant employment contracts and managing payroll to administering benefits and offboarding.

  • Scalability and flexibility: The EOR should be able to accommodate your hiring needs, whether you'rehiring a single employee or a global team, and scale with your global hiring strategy.

  • Technological capabilities: Confirm that the EOR integrates with your existing HCM, PEO, or payroll systems to avoid operational delays. 

  • Transparent cost structure: Look for transparent costs so you can accurately budget for your global employment goals.

  • Reputation and industry leadership: Research the EOR's reputation. G-P is the recognized leader in global employment and is ranked #1 according to all industry analyst reports. Customer testimonials and case studies are also important when choosing an EOR.

  • Data security and compliance. Ensure your EOR follows strictdata security protocols like GDPR. This is critical for protecting sensitive employee information and maintaining compliance.

Use G-P EOR for global hiring in Norway

G-P EOR is the award-winning, AI-enabled global hiring solution that empowersstartups, SMBs, and enterprise businesses to build global teams with ease. G-P EOR handles everything from onboarding to paying top talent in over 180 countries. With us, you bypass the complexity of local entity setup. 

G-P EOR is thepreferred partner for leading HCM, PEO, and payroll platforms. Bring your workforce data together in one place to maintain existing workflows while keeping consistent and accurate data across your integrated systems.

Request a proposal to start hiring in Norway today.