In Danish local politics, coveted board positions in municipally owned companies have become influential bargaining chips during post-election negotiations, offering both political clout and extra income for elected officials.
Board Seats: A Valuable Piece in the Power Puzzle
When the votes are counted on Denmark’s municipal election night, the top job of mayor isn’t the only leadership role up for grabs. Alongside decisions over committee assignments, positions on the boards of publicly owned entities – such as harbors and utility companies – are often quietly negotiated behind closed doors.
On the island of Bornholm, local politics reveal how these appointments play a critical role in forming governing coalitions. Seasoned Christian Democrat Bjarne Hartung Kirkegaard has participated in 11 such power-sharing agreements over four decades. According to political experts, these board roles often influence who supports whom for mayor if no party gains an outright majority.
Hidden Influence and Paychecks on the Side
While some of these board positions may sound bureaucratic, they come with significant financial perks. On Bornholm, the most lucrative of these roles pays as much as 163,000 Danish kroner annually ($23,500). Bornholms Energi og Forsyning, one of the island’s main utility companies, pays its board chair 150,000 kroner per year, while the chair of Rønne Harbor earns 140,000 kroner annually.
These roles frequently go to local politicians based on agreements made during the post-election coalition talks. Bjarne Hartung Kirkegaard, for example, became chair of Nexø Harbor in 2021 – a role bringing in 163,000 kroner annually – after supporting a coalition that helped install Conservative Jakob Trøst as mayor.
More Than Just a Paycheck
Although these positions include compensation, their significance isn’t purely financial. Politicians appointed to such posts gain insider access to the municipalities’ vital economic institutions, allowing them to monitor developments and influence policies beyond their political office.
This overlap between local government and semi-public enterprises is not without criticism. Experts warn that relying on board appointments as part of political maneuvering may shift the focus away from policy goals towards personal gain. When monetary considerations compete with ideological alignment, democratic integrity can suffer.
Still, the financial aspect of these appointments can’t be ignored. Danish municipal politicians put in an average of 19–20 hours of work per week, often earning far less than full-time compensation. In such a context, board roles providing up to 200,000 kroner annually can meaningfully supplement their income.
Top 5 Highest-Paid Board Positions Outside the Council
Local politicians on Bornholm can be appointed to several well-paid roles:
1. Chair of Nexø Harbor – 163,000 kroner
2. Chair of Bornholms Energi og Forsyning – 150,000 kroner
3. Chair of Rønne Harbor – 140,000 kroner
4. Member of Bornholm’s Property Valuation Appeals Board – 99,505 kroner
5. Chair of the Bornholm branch of the Capital Region’s Business House – 81,932 kroner
All of these are annual compensation figures and are awarded based on a politician’s seat on the municipal council.
Debating the Ethics of Political Compensation
While these external roles offer elected officials meaningful ways to engage with the local economy, critics argue that such appointments should not serve as currency in political deals. When they do, the values that underpin democratic representation can be diluted by financial motivation.
Supporters of the current system, however, argue that such roles free politicians from needing secondary employment, allowing them to focus more fully on their political duties. For some politicians, the extra income serves as a lifeline, not a luxury.
From Governance to Grassroots: What Is at Stake?
For many local politicians, control over harbor boards or utility companies is not just about salary or power but about shaping the future of local institutions. Decisions made by these semi-public entities affect everything from infrastructure and business to environmental sustainability on the island.
Even so, concerns persist about accountability. A recent report pointed out that some local politicians had absentee rates of up to 40 percent at board meetings, raising questions about effectiveness and commitment.
As Denmark prepares for its next round of local elections, voters may keep a closer eye on how post-election negotiations are managed – and whether leadership decisions are driven more by vision or by vederlag.
