Estonia – National Regulations in Employment Law

We, the International Labour and Employment Group of Rödl & Partner, are happy to advise you on labour law issues (individual and collective) as well as social security law issues on a global, regional and local level.

Below you will find basic information on national labour law provisions in Estonia.

Interview with Alice Salumets

Are there national and/or local collective agreements in the country that regulate labour relations?

Yes. There are both, national and local collective agreements.

Are there different legal rules by department/canton?

No.

Is there and what is the staff threshold above which the presence of staff representatives is mandatory?

No.

Are trade unions present in the company?

Not compulsory. But a trade union is a voluntary association and may be founded by at least five employees in a company.

If applicable what is the applicable legal working time?

In the case of full-time work, the regular working time is 8 hours a day and 40 hours over a period of seven days.

Is there a minimum wage set by law/collective agreements (yes/no)?

Yes. By national law, if more favorable, by collective agreement.

What is the number of legal annual paid holidays?

28 calendar days, unless the parties have agreed upon a longer annual holiday or unless otherwise provided by law (e.g. 35 calendar days in case of a minor, holiday of educational staff up to 56 calendar days).

Existence of specific classification of employees according to their functions/responsibilities?

No. But can be determined by collective bargaining agreement or by company itself.

Obligation to set up complementary social insurance schemes (mutual insurance/provident fund/pension)?

Not as such. But pursuant to national law, there is a contribution-financed unemployment insurance benefit system (the employee’s contribution is 1.6 % and the employer’s contribution is 0,8%). These contributions are withheld and calculated from payments made in a calendar month.