Analytics, Economics, Employment, Estonia

International Internet Magazine. Baltic States news & analytics Wednesday, 28.01.2026, 15:55

Unemployment benefits need to be cut - Estonian employers

Juhan Tere, BC, Tallinn, 15.04.2009.Print version
Postimees Online: the head of the Confederation of Employers Tarmo Kriis believes that there is no need to cut compensations abruptly, although the negotiations on cutting the spending of the Unemployment Insurance Fund have not as yet yielded any results, writes LETA.

"The Unemployment Insurance Fund will have to make exact calculations, but I believe that it would be enough to, for example, cut the time for paying the highest possible compensation from a hundred days to one or two months or the unemployment compensation rate from 70% to 65%," said Kriis.

 

He noted that he does not support the option presented by the trade unions to limit the scope of individuals who would be eligible to receive money from the Unemployment Insurance Fund.

 

Kriis stated that the ideology of the Unemployment Insurance Fund should be changed – the fund is for providing quick assistance for individuals who are facing difficulties and then find a new job in a month or two, not for paying money to people over a long period of time for doing nothing.

 

The employers' organization is also of the position that the State should lower the tax burden on payments from the Unemployment Insurance Fund. Currently the payments are subject to social tax.






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