Parts: Estonia No Longer a Cheap Labor Country ({{commentsTotal}})

Minister of Economic Affairs Juhan Parts Source: Photo: Postimees/Scanpix
Business
Business

Discussing the country's next seven-year business strategy, Minister of Economic Affairs Juhan Parts said Estonia can no longer be framed as a destination for companies in search of cheap labor.

"Today it is important, and this is our talking point in nearly every meeting, that Estonia is no longer a country with a cheap workforce. For that reason productivity is of primary importance in the new strategy," Parts told Postimees.

"Regarding foreign investment or companies' investments, while the average gross salary today is about 1,000 euros, then the 2020 business plan budgets 2,000 euros and more. By sector and in some niche areas we can speak of other figures, but our message to all investors is that 2,000 euros plus is the level they need to take into account in investing," Parts said.

Although there has recently been concern that Estonian salaries are growing too rapidly, other experts have pointed out that Estonia is still the poorest country in the Eurozone and, according to economic expert Andres Arrak, the average Estonian family has about 10 times less wealth than the average Swedish family.



{{c.alias}}
{{c.createdMoment}}
{{c.body}}
{{cc.alias}}
{{cc.createdMoment}}
+{{cc.replyToName}} {{cc.body}}
No comments yet.
Logged in as {{user.alias}}. Log out
Login failed

Register user/reset password

Name needs to be fewer than 32 characters long
Comment needs to be fewer than 600 characters long
{{comment.captcha.word.answer}}

news.err.ee

Opinion
Estonia’s way into the future isn’t a race

There is a lack of connection between the Estonian state, and the people who live here. While it expects a lot of the state, Estonian society doesn’t seem ready to contribute, writes Viktor Trasberg.

Lotman: Security academy would be crucial Estonian identity point in Narva

In an opinion piece published by Eesti Päevaleht, Tallinn University professor Mihhail Lotman found it important to overcome the mental barrier separating Ida-Viru County from the rest of Estonia.