The bill aims to replace the current unemployment support with a new basic unemployment insurance benefit.

The bill is expected to take effect in 2026 and under its terms, in order to qualify for the basic unemployment insurance benefit a person must have worked for at least six months within a three-year period, and is able to leave their job voluntarily.

This means that a full month. would count even if the person worked for just one day in that month, so an individual could receive nearly €400 per month for half a year by working just six days over a six-month period, if the bill enters into force.

Director of the Unemployment Insurance Fund (Töötukassa) Meelis Paavel said that people who contribute less to the system would find it easier to access benefits, which would potentially place those with stable jobs at a disadvantage.

He said: "The main issue we are highlighting is whether it is ultimately fair if the total contribution over the period when benefits are possible to get is a little over three euros, while the insurance coverage received is almost €2,300.

Ulla Saar, deputy secretary general for employment at the Ministry of Economic Affairs and Communications, said that should a future trend emerge which would indicate the misuse of that benefit, legislation would be amended accordingly.

At present, there is no cause for concern, she said.

"The current unemployment insurance benefit scheme could be similarly exploited, but we don't see evidence of that happening from the data," Saar said.

"This raise the question why that should happen now, with the basic unemployment insurance benefit," Saar went on.

Saar added that the planned new benefit scheme's rationale is to make the system more comprehensible and fairer, given the current system does not allow all unemployed individuals who have paid unemployment insurance contributions to claim benefits.

"What we want to achieve via this bill is a better weighting between the contributions made by the insure person and the security they can receive," she said.

Paavel conversely was skeptical that the new benefit would extend to many people not already covered. For instance, individuals in atypical employment relationships would not get the opportunity to receive the benefit under the terms of the bill as it is, he said.

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