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Labour market in Estonia Jyväskylä, september 2009 Kaire Cocker EURES adviser Estonian Unemployment Insurance Fund.

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Presentation on theme: "Labour market in Estonia Jyväskylä, september 2009 Kaire Cocker EURES adviser Estonian Unemployment Insurance Fund."— Presentation transcript:

1 Labour market in Estonia Jyväskylä, september 2009 Kaire Cocker EURES adviser Estonian Unemployment Insurance Fund

2 Reorganization The activities of the Estonian Labour Market Board had been terminated pursuant to Goverment of Republic Act on 30th of April All responsibilities were transferred to a legal person in public law Estonian Unemployment Insurance Fund Eesti Töötukassa since the 01 of May All services from one institution!

3 Information about Estonia Population of In Tallinn: people 52.3% Estonians, 38.5% Russians (2008) Working age population (2009 I-II Q) The labour force (2009 I-II Q) Employed (2009 I-II Q) Unemployed (2009 I-II Q) Non-active (2009 I-II Q) Average monthly salary 795 EUR/month gross (2009 I-II Q) Minimum wage 277 EUR/month

4 Entitlement to unemployment insurance benefit In order to receive unemployment insurance benefit three main requirements have to be met:  Registration as unemployed  Required insurance periods  Involuntary unemployment

5 Unemployment insurance benefit  A person must have worked and paid unemployment insurance premiums for at least 12 months during the 36 months preceding the registration as unemployed.  The amount of unemployment insurance benefit depends on the person's salary  Amount of the Unemployment Insurance benefit can be: days-50% of average salary in last 12 months days-40% of average salary in the last 12 months  Duration of benefit: - up to 180 calendar days if the insurance period is under 56 months - up to 270 calendar days if the insurance period is under months - up to 360 calendar days if the insurance period is 111 months or more

6 Unemployment allowance  Unemployment allowance is financial support for the person who has finished work voluntarily or has been occupied other ways.  The unemployment allowance requires that the person has been working 180 days within last 12 months  Paid 7 calendar days a week (30 or 31 days), 270 days 32,90  The payment is 32,90 EEK a day

7 Additonal Labour market benefits  A grant is paid to unemployed people who take part in work experience, work practice or 40 hours of labour market training. The principles behind the issuing of the grant are regulated by the Labour Market Services and Benefits Act.  Transport and accommodation benefits are paid to unemployed people who take part in labour market training or work experience. The principles behind the issuing of these benefits are regulated by the Labour Market Services and Benefits Act.

8 Statistics – what to believe?  Estonian Unemployment Insurance Fund - Registered 16 years old up to pension age  Unemployment Statistics by Statistics Estonia - Includes all years old people estimates unemployment  Eurostat estimates unemployment 20098Eesti Töötukassa

9 15-74 years old occupied people source: Eesti Statistikaamet 2009.a. II quarter there were unemployed peolpe and the unemployment rate was 13,5%; End of the year the number of unemployed was higher, but it was followed by very rapid economic recovery 2009Eesti Töötukassa9

10 Registered unemployed source: Eesti Töötukassa In Estonia there were registered unemployed persons and registred unemployment rate was 11%. The highest registered unemployment was in Ida-Viru and Võrumaa. The fastest growth of unemployment was in Tartu- and Harjumaa..2009Eesti Töötukassa10

11 Where are the biggest job losses? Collective redundances-looking at specific areas on first half of year Eesti Töötukassa11

12 Breakdown of the recipients of the employer's industries who has gone bankruptcy 2009Eesti Töötukassa12

13 Who are registered unemployed in Estonia? ● ¾ of the newly unemployed people have been occupied or employed before : the increase has been in voluntarily terminate the contract; by employee and the employer's initiative. Estonian and Russian speakers unemployment rate is almost half Sex and age: men 54%; 70% reg. Unemployed are 25-54y, 17% are under 25y ja 13% at least 55a The increas has been in young people and decrease is seen in older people Around 1/3 unemplyed peolpe are getting the unemlpoyment insurance benefit Around1/4 unemployed people are getting an allowance (~1000 EEK) Eesti Töötukassa

14 W hat kind of workforce are unemployed at the moment? The previous work experienced registered unemployed peolpe are builders or labour workers.2009Eesti Töötukassa14

15 The most unemployed persons peolpe are among peolpe with vocational education followed by the usual secondary education. The highest recorded rate of unemployment among people with secondary education. 2009Eesti Töötukassa15 Registered unemployed in the distribution of education Source:Eesti Töötukassa ja Statistikaamet

16 KIITOS! Thank You for Your attention! TÄNAN! Eesti Töötukassa


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