Government proposes reintroduction of salary support scheme

Unemployment Insurance Fund (Töötukassa) office in Tallinn.
Unemployment Insurance Fund (Töötukassa) office in Tallinn. Source: Aili Vahtla/ERR

Minister of Public Administration Jaak Aab (Center) said the government will propose the reintroduction of wage support for areas hit by the latest round of restrictions.

Speaking at Thursday's press conference, Aab said: "We've agreed to make a proposal to the Unemployment Insurance Fund's council to weigh wage support in some form in sectors that have either suffered or will suffer a severe blow due to restrictions."

The minister said the scheme would take the new restrictions and those introduced on Monday (February 22) into account. Additional support will also be weighed for education, hobby education and culture.

"This includes numerous details, however - we have yet to have this serious discussion," the minister said.

Minister of Health and Labor Tanel Kiik (Center) said: "With all these restrictions we're establishing, we naturally want to prevent an extensive increase in unemployment."

While the growth in unemployment has been slower than initially forecast, the number of unemployed people is still rising.

"All new restrictions undoubtedly mean problems for businesses, the economy and the society," the minister said. The council of the Unemployment Insurance Fund is to discuss the matter on Friday, according to Kiik.

Prime Minister Kaja Kallas said: "The general principle is that the sectors that are about to be fully closed as a result of these restrictions should be provided with a measure."

She added that the labor market support, which has proven an efficient approach, should be linked to specific conditions.

The government will make the proposal to the Unemployment Insurance Fund.

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Editor: Helen Wright

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