Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure EE-2020-53/1645 – Updated – measures in Estonia
, applies regionally
|Time period||Temporary, 28 December 2020 – 31 January 2021|
|Type||Legislations or other statutory regulations|
Employment protection and retention
– Income support for people in employment (e.g., short-time work)
|Author||Ingel Kadarik (Praxis Center for Policy Studies) and Eurofound|
|Measure added||04 January 2021 (updated 11 May 2021)|
Ida-Virumaa, a north-eastern region in Estonia has had a higher rate of COVID-19 cases during the second wave compared to the rest of Estonia and thus additional, more severe containment measures were introduced there as of 12 December. This meant that for three weeks all entertainment facilities and leisure activities were forbidden: public events, cinemas, theatres, concert venues, museums, restaurants, sport clubs, pools, spas, accommodation facilities were closed, and the restrictions applied both indoors and outdoors. To support the region, as they suffered more than other areas in Estonia, the Government allocated additional finances to this region.
€16 million will be allocated to Ida-Virumaa and Harjumaa to compensate the wage of employees of the companies whose activities were restricted. The compensation will cover the period from 28 December 2020 to 17 January 2021.
Eligible are all companies, non-profit organisations, foundations and self-employed whose employees worked in Ida-Virumaa or Harjumaa at 22 December 2020 and whose activities correspond to the activities that were restricted.
The support is paid on the basis of the wage costs of November 2020, while the maximum amount is €180,000 per company. It can be applied by the employers during February 2021 from the Estonian Unemployment Insurance Fund.
The support offers a dismissal protection for the employees, as during a month from receiving the support, the employees cannot be dismissed.
The following updates to this measure have been made after it came into effect.
|28 January 2021||
The Government decided to extend the compensation period to 31 January 2021. In addition, it was decided that the amount of the support will be 1.5 times the wage costs of November 2020 for companies (max €180,000 per company) and 1.5 times the national minimum wage for sole-proprietors (€876). The additional budget is €8 million of which €7.6 million is covered by the Estonian Unemployment Insurance Fund and €0.4 million by the Government.
|28 December 2020||
The restrictions that were introduced in Ida-Virumaa as of 12 December were also intriduced in Harjumaa region as of 28 December 2020. Similarly to Ida-Virumaa, all entertainment facilities and leisure activities are forbidden: public events, cinemas, theatres, concert venues, museums, restaurants, sport clubs, pools, spas, accommodation facilities are closed.
No information available.
|Does not apply to workers||
Sector specific set of companies
||Does not apply to citizens|
Public employment service
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Role||Agreed (outcome) incl. social partner initiative||Agreed (outcome) incl. social partner initiative|
|Form||Any other form of consultation, institutionalised (as stable working groups or committees) or informal||Any other form of consultation, institutionalised (as stable working groups or committees) or informal|
Social partners' role in the implementation, monitoring and assessment phase:
Social partners are part of the council of the Estonian Unemployment Insurance Fund. The council discussed the measure and made the proposal to the Government. Thus, the social partners were directly involved in the discussions of this measure.
No information available.
This case is sector-specific
|Economic area||Sector (NACE level 2)|
|R - Arts, Entertainment And Recreation||R90 Creative, arts and entertainment activities|
|R91 Libraries, archives, museums and other cultural activities|
|R92 Gambling and betting activities|
|R93 Sports activities and amusement and recreation activities|
This case is not occupation-specific.
Eurofound (2021), Compensation of employment costs in Ida-Virumaa and Harjumaa regions, measure EE-2020-53/1645 (measures in Estonia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/EE-2020-53_1645.html
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