Norway: 2026, Looking Ahead

In 2026, Norway will see a few changes to the Working Environment Act. In addition, clarifications are expected regarding overtime pay for part-time employees, following recent rulings by the European Court of Justice. Attention will also turn to when and how the EU Pay Transparency Directive will be implemented into Norwegian law, a development that could have significant implications for businesses and employees.

1. Changes to the Working Environment Act as of 1 January 2026

Important changes to Norwegian labour law will enter into force on 1 January 2026. Of particular importance for employers is the abolition of the right to set internal company age limits as of that date. At the same time, the requirements relating to the psychosocial working environment will be further clarified and strengthened. For further information on these topics, please refer to our law tracker from March and April 2025.

2. Overtime Supplement for Part-Time Employees from the First Hour?

The Working Environment Act stipulates that the right to overtime supplement only arises when an employee works beyond the statutory limits for normal working hours — that is, more than nine hours within a 24-hour period or 40 hours within seven days. The threshold for entitlement to overtime supplement is the same for both full-time and part-time employees. Work performed beyond the agreed working hours, but not exceeding normal working hours, does not give rise to overtime supplement.

This means that part-time employees are much less likely to be entitled to overtime supplement than full-time employees, as they must work more than what is considered a full-time position before entitlement to overtime compensation arises, unless otherwise agreed with the employer.

The European Court of Justice has clarified in two recent rulings (C-660/20 Lufthansa and C-184/22 and C-185/22 Dialyse) that part-time employees are treated differently when a common threshold for overtime supplement is applied to both full-time and part-time employees. The question is whether this differential treatment is nonetheless lawful.

There are sharp disagreements between trade unions and employer associations in Norway. Employee organizations argue that part-time employees should be entitled to overtime supplement once they work beyond their agreed working percentage, while employer associations argue that the current arrangement—with a common threshold for overtime supplement—can be maintained.

The Norwegian Ministry of Labour and Social Inclusion has also established a joint committee to assess the implications of these rulings for Norwegian law. Furthermore, the largest trade union in Norway, LO, has filed the first lawsuit to clarify whether part-time employees are entitled to overtime pay for work beyond their agreed working percentage.

If Norwegian law is found to be in conflict with EU law, employees could potentially submit claims for retroactive overtime compensation.  Hopefully, clarification will come through ongoing cases before the court as well as the committee.

3. EU Pay Transparency Directive

The EU Pay Transparency Directive (2023/970), adopted in 2023, aims to reduce the wage gap between women and men. Since Norway is not an EU member, the directive must undergo an EEA procedure before it can potentially be implemented into Norwegian law.

The Norwegian government has, however, concluded that the directive falls within the scope of the EEA Agreement. We can, therefore, expect it to be implemented into both the EEA Agreement and Norwegian legislation. As the directive has not yet been implemented, no deadline has been set for when Norway must implement it into national law. At this stage, it also remains uncertain how the directive will be implemented into Norwegian law.

Currently, all public undertakings, regardless of size, and private undertakings with more than 50 employees are already required under the Norwegian Equality and Anti-Discrimination Act to take active measures and report on, among other things, pay conditions. The directive, however, will introduce new and more stringent obligations for Norwegian companies.

It remains to be seen when and how the directive will be implemented in Norway. Hopefully clarifications will come in 2026.