For the last 12 years, doctors, nurses and caregivers' salaries have been negotiated by collective agreements.

Last year, the minimum hourly rate for healthcare workers rose by 20 percent, and by 10 percent this year. It was supposed to rise by another 10 percent in 2025, but instead, a four-year wage freeze was put forward.

Health professionals did not agree with this. Now they came out with a compromise proposal.

"We would be willing to agree to an hourly wage increase next year that would at least cover inflation, which means we are essentially not asking for a pay raise but rather ensuring that real wages do not decline. According to current forecasts, this is 3.5–4 percent," said Katrin Rehemaa, secretary general of the Estonian Medical Association.

This would cost the Health Insurance Fund (Tervisekassa) between €35-45 million, which is not allocated in next year's budget.

"The Health Insurance Fund's budget will already be significantly in deficit in the coming years. A 1 percent wage increase in the healthcare system amounts to nearly €11 million," said Pille Banhard, a member of the agency's board.

The availability of healthcare services will decrease next year as a result of budget cuts.

"Obviously, this means that something will have to be cut somewhere. Most likely, this will result in reduced access to healthcare services, meaning that waiting times for scheduled treatments are very likely to increase," said Banhard.

Doctors warn they will leave the public healthcare system or look for work abroad if their salaries are not raised. This situation arose in the past when there were no collective agreements.

"Each year, approximately 100–150 doctors, along with other healthcare workers, have left Estonia. We certainly do not want to see this situation repeated. If this agreement is not reached now, it is no longer a question of money but a matter of a fundamental political decision," said Rehemaa.

Health Minister Riina Sikkut (SDE) said the government has not discussed the issue.

"During the budget negotiations, we did not discuss the issue of healthcare workers' wages because this is not decided by the government. However, I firmly believe that healthcare workers' wages should continue to grow in the future, just as they have in the past," she told "Aktuaalne kaamera."

Sikkut added that cutbacks do not mean freezing salaries in any sector.

"When we talk about labor costs, it is possible to reduce the number of positions to allow for wage increases for existing employees. As far as I know, most institutions have approached it this way, meaning that no across-the-board wage freeze has been decided or implemented," the minister said.

The parties to the labor dispute will meet at the national conciliator in mid-January. By then, it will be clear how big this year's inflation was, and the health fund will prepare an inventory with proposals to cover the salary increase.

--

Follow ERR News on Facebook and Twitter and never miss an update!