ISS and Danish Defense Cut Contract Three Years Early

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24 June 2021 | Updated 15 March 2022

ISS and The Danish Ministry of Defense Estate Agency have agreed to exit their partnership agreement, three years before the contract is due to end.

The partnership agreement, which was signed in 2017, originally ran until 30 January 2024.

According to ISS: "it has subsequently turned out to be difficult to realize the potentials and opportunities that was a crucial part of the foundation of the partnership." 

Both parties will phase out the partnership gradually over the next 11 months, and an exit payment from ISS to the Danish Defense has been agreed.

ISS Staff to be Offered Transfers

The Danish Defense will take over all the services and obligations, currently being handled by ISS, during the transition period. ISS employees working on the Danish Defense contract will receive an offer to transfer to the new employer, The Danish Ministry of Defense Estate Agency. 

“I am very pleased that we have now reached an agreement with the Danish Defense for the benefit of all parties. This is a result of very constructive negotiations, and we will now focus on ensuring a smooth transition while providing our full range of services to the Danish Defense throughout the transition period,” said Simon Kaiser, Head of Group Business Transformation at ISS. 

The Contract Details

The FM services agreement comprised nine service areas at more than 500 sites at Defence Command Denmark, the Danish Emergency Management Agency and the Danish Home Guard.

The FM services agreement has a total contract value of approximately DKK 3 billion and was Denmark’s largest-ever public FM agreement under one contract.

The nine service areas of the agreement include cleaning, catering, outdoor maintenance, waste management, technical services, and support services, as well as servicing shooting and exercise areas and firefighting services.

Picture: a photograph of two people shaking hands

Article written by Ella Tansley | Published 24 June 2021

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