Unemployment Insurance Fund's subsidy meant for more than wage compensation
The Unemployment Insurance Fund's (Töötukassa) latest round of wage compensation for Ida-Viru and Harju counties can be used for more than compensating salaries, the fund has said.
All together, €24 million will be handed out, member of the board Erik Aas said, adding approximately 3,000 companies will qualify for the subsidy.
"This subsidy is preliminarily meant for compensating wage expenses, but the employer can use it to cover other expenses," Aas said.
In spring, compensation was paid straight to the employee and the basis of this were the regulations in the Employment Contracts Act, which allowed for a decrease in wages and workload in certain situations.
But these regulations can only be applied for three months in a year. 12 weeks have not passed since the last time, which means it is not possible to apply these restrictions again, Aas explained.
In spring, it was predicted by politicians that unemployment could rise to 100,000 but this has not happened.
"Definitely, in the employment market, the times are not the easiest, but they not the hardest either," Aas said.
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Editor: Roberta Vaino