Three businesses announced 52 redundancies during past week

The Unemployment Insurance Fund (Töötukassa) office on Tartu's Vaksali Street,
The Unemployment Insurance Fund (Töötukassa) office on Tartu's Vaksali Street, Source: Aili Vahtla/ERR

Three companies in Estonia announced 52 redundancies in total during the past week, the Unemployment Insurance Fund said on Tuesday.

Twenty-six of the redundancies, or half the total number, were announced by AS Heal, operator of Fra Mare Thalasso Spa in Haapsalu. The company said the redundancies were caused by a reduction in workload arising from the order of the government from March 15 for spas to be closed.

AS Heal employed a workforce of 91 people as at March 31 this year. The beneficiaries of the company, according to Creditinfo, are Ain Hanschmidt, Andres Lipstok and Urmas Sukles with stakes 18 percent each and Enn Pant with 16 percent.

Vitobaltic OU, seller of clothing under the Meta brand, announced 17 redundancies during the week. Previously it filed a bankruptcy petition with Harju County Court on May 8. The company said it was unable to offer work to retail personnel due to the closure of stores. 

Vitobaltic OU employed a workforce of 27 people as at March 31. The owner of the company is  Leonids Hilko.

The third company to announce redundancies during the past week was clothing manufacturer  OU Tremela, which is laying off nine employees citing a reduction in workload. 

The company employed 12 people as at March 31. The owner of OU Tremela is Viktor Bokov.

As of Sunday, May 17, the Unemployment Insurance Fund (Töötukassa) reported 50,137 people were registered as unemployed, giving a total registered unemployment rate of 7.7 percent.

In total, more than 21,000 people have been made redundant since the emergency situation started in March.


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Editor: Helen Wright

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