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lønramme

A lønramme, or wage framework, is a structured system for determining remuneration for employees within a sector or organization. It provides a framework for how salaries are set, adjusted, and progressed over time. A typical lønramme includes pay bands or salary steps, a description of corresponding job grades, base pay ranges, and rules for supplementation, such as allowances for qualifications, seniority, or special responsibilities. It may also define criteria for progression, performance-based increases, and annual adjustments tied to inflation or market development.

In Denmark, lønrammes are commonly established through collective agreements between employers and trade unions, particularly in

Organizations may operate a strict, narrow band system with precise steps, or broader bands allowing more discretion

the
public
sector
and
in
many
state
and
municipal
contexts,
as
well
as
in
parts
of
the
private
sector.
The
system
aims
to
create
transparency
and
comparability
across
similar
roles
and
to
support
budget
planning.
Job
evaluation
methods
determine
which
positions
belong
to
which
bands,
while
market
benchmarking
helps
set
the
level
within
bands.
for
individual
salary
decisions.
When
new
roles
emerge
or
market
conditions
change,
the
lønramme
is
typically
revised
through
negotiation
or
internal
policy
updates.
The
term
emphasizes
structure
and
consistency
in
pay,
rather
than
ad
hoc
salary
setting.