New scheme enables industrial workers to take paid leave for short training, supported by government, employers and unions.
In a landmark tripartite initiative to foster industrial competitiveness and workforce adaptability, the Norwegian government launched in July 2025 a 4-year pilot programme to reimburse part of industrial employees’ wages when they take leave for short, targeted training or courses.
The initiative is supported by a NOK 25 million annual fund (EUR 2.143 million), totalling NOK 100 million (EUR 8.569 million), with the government covering the full amount each year.
Shared responsibility for upskilling
The initiative is designed as a tripartite arrangement, with social partners also contributing. The trade union Fellesforbundet and the employers' organisation Norsk Industri are jointly responsible for fund administration, ensuring a shared responsibility between the government, industry and unions.
The scheme reimburses companies for wages paid to employees attending relevant competence-building programmes. The social partners and the government will present application procedures later this autumn, with a shared commitment to ensure an efficient and non-bureaucratic process.
Meeting green and digital transition needs
The initiative directly addresses challenges posed by rapid technological change, digital transformation, and the green transition to a low-carbon economy. These shifts demand swift skills development, and the scheme is vital for ensuring that industrial workers keep pace with evolving skill needs. The Norwegian Confederation of Trade Unions (LO) president underlined the scheme’s accessibility: ‘Many workers hesitate to return to education. Having both financial support and time off makes it feasible for them to participate’, she commented.
Eligibility and scope
The scheme applies to employees in industrial companies covered by the Industrial agreement (Industrioverenskomsten). It primarily targets skilled workers and employees with low formal qualifications, groups traditionally participating less in continuing education and training. The goal is to help them adapt and master new technologies required by companies and the wider industry.
Most support will cover higher vocational college (fagskole) programmes, but other relevant training is also eligible. Notably, the subsidy does not cover the training that employers are obliged to provide. Each participant may receive reimbursement for up to two weeks of full-time training.
Boosting export sector competitiveness
The Industrial agreement covers nearly 1 200 enterprises, mostly small and medium-sized companies, along with major multinational groups operating in Norway. What unites them is their exposure to tough global competition, making this sector particularly important for Norway’s export earnings.
EU relevance of the pilot
Although restricted to Norway’s industrial sector, this pilot could be relevant for EU countries facing similar challenges, especially within industries navigating the digital and green transitions. The combination of wage subsidies, flexible training formats, and social‑partner governance offers a potential blueprint for broader EU-wide adoption.
The Norwegian government emphasises that this is a pilot phase. If successful, it may be extended to other sectors.
Read more
| Please cite this news item as: ReferNet Norway, & Cedefop (2025, September 24). Norway: pilot wage subsidy for upskilling. National news on VET. |