Estonia, Financial Services, Labour-market, Markets and Companies, Transport, Wages

International Internet Magazine. Baltic States news & analytics Sunday, 05.04.2020, 13:25

Tallink Grupp cuts employee wages in Estonia 30%

BC, Tallinn , 20.03.2020.Print version
Listed Estonian shipper Tallink Grupp announced on Friday that due to the emergency situation caused by the coronavirus and its economic impacts, the group will reduce the wages of all employees of the group in Estonia by 30%, reported LETA/BNS.

The decision that takes effect from April affects approximately 3,900 employees and applies to offshore and onshore personnel alike, including members of the management board.

The chairman of the board of Tallink Grupp, Paavo Nogene, has given an order to cut his pay by 50%,  Tallink announced.

The pay cuts are tentatively in effect for two months starting April.

"We are in a situation today where the economic impacts of the emergency situation caused by the coronavirus on our company are so extensive that we have to make difficult decisions and take steps to ensure the sustainability of the company and preserve the jobs of our employees to as big an extent as we possibly can," CEO Paavo Nogene said.

The CEO described the decision as not easy, saying however that the company finds it to be the best possible solution in the current situation, which will not leave their people without work and pay in the present difficult time.

"I thank all employees of Tallink Grupp, who to this day have been understanding of the rearrangements made over the past week and have made tremendous efforts to continue working under very difficult conditions and, through their contribution, have ensured a safe arrival home for thousands of our compatriots," Nogene said. 

The CEO also thanked the trade union and its members for a constructive dialogue over the past few days, which has enabled them to arrive at the best possible solution together.

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