Analytics, Employment, Estonia, Labour-market

International Internet Magazine. Baltic States news & analytics Tuesday, 23.07.2019, 06:20

Study: No of top specialists grown 44% in Estonia compared with 2007

BC, Tallinn, 20.03.2019.Print version
Estonian labor market is going through major changes and the number of top-level specialists has grown 44% over the past ten years, it appears from an analysis carried out by the employer marketing agency Brandem citing LETA/BNS.

Compared to the previous economic peak in 2007, the total number of employed persons in Estonia has not grown significantly, but a notable change has occurred in the structure of labor. The number of high-level specialists has grown by 42,000. The number of skilled workers and operators of machines and equipment, however, has decreased by 39,000. 


Brandem analyzed the data published by Statistics Estonia and concluded that in 2018, a record high was reached in recruitment in Estonia -- for the first time, over 200,000 people were recruited. In virtually all fields and classes of occupation, a higher number of employees could be recruited than before. The average staff turnover has grown to 30 %, which means that the average time spent on a job is slightly over three years. Despite the record recruitment volumes in the past few years, however, not all fields have gained employees.


Compared with 2007, the field that gained most employees was information and communication, in which employment growth has been 118%. IT specialists in this field account for the biggest part of the growth. The second largest growth was observed in professional, scientific and technological fields, which are mainly populated by service providers such as auditing firms, pollsters, advertising, accounting and consultancy companies, businesses' head offices and so on. This sector has seen a 72-% growth in employment.


Employment has grown also 37% in maintenance and assistance, followed by 30% in accommodation and catering. The figure is down, however, in construction by 29% and also in agriculture, the processing industry, transportation and storage.

In ten years, the number of high-level specialists has increased by 42,000 people, or 44 %. The number of managers is up by 6,300, or eight %. There are, however, 26,000 fewer skilled workers, 13,000 fewer machine operators and the number of unskilled workers is also down by 11,000. The number of service and sales workers, officials, technicians and middle-level specialists has remained roughly the same.


While ten year ago, skilled workers were the most numerous group of employees and top level specialists came in fourth, the latter now number 139,000 and are by far the biggest class of occupation.


"Employment growth in certain fields and decline in others results from the implementation of technology as well as changes in labor costs. Businesses in certain fields, where simpler jobs predominate, no longer pay off at Estonia's wage levels," partner at Brandem, Paavo Heil, said.


"The growth of the number of top-level specialists also certainly stems from Estonia's good reputation as a breeding ground for technology businesses and a business environment as a whole, but also from people's high level of education, good general skills, for instance command of language and so on. In certain fields, employment growth is also related to increasing use of flexible work conditions, which attracts more part-time workers," Heil added.


Based on data published by Statistics Estonia, the number of part-time workers increased by 30,000 in 2018 compared with 2007. The number of full-time workers is thus lower by 23,000.  The number of workers aged 50-74 has increased by 20,000, 40 % of whom work part-time. A regional breakdown of the data indicates that employment has increased in Tallinn, western and southern Estonia, but declined in eastern and central Estonia. 


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