According to the plan, all employment contracts may in the future stipulate only ten working hours per week, with the option to increase this to forty hours by mutual agreement. Instead of providing flexibility, using on-call wage contracts means that employees would no longer have predictable or stable workloads and pay.

Trade unions have repeatedly pointed out the risk that such contracts could become employers' preferred alternative to existing part-time employment contracts. If an employee does not have a fixed workload that defines when overtime begins, the employer is no longer obligated to pay extra for overtime. On-call wage contracts create a one-sided advantage for employers and place the entire burden of uncertainty on employees. The proposed changes are not in line with the purpose of the Employment Contracts Act, which is to protect the employee as the more vulnerable party in the employment relationship.

Notably, the amendment was originally planned for specific target groups, such as schoolchildren and university students, people with reduced work capacity and pensioners — those who may indeed have an interest in more flexible work arrangements. However, the government has now unexpectedly decided — without negotiating with labor market stakeholders — to extend on-call wage contracts to all employees.

This is especially dangerous for those who have taken or are planning to take out a mortgage and whose household's financial well-being depends on their wages. Without income stability, it is impossible to plan a personal or family budget.

Fundamental changes to labor law must always be thoroughly negotiated and mutually agreed upon by labor market stakeholders — namely trade unions and employers. That is not the case now, but the government is pushing ahead at full speed.

Trade unions have called for the suspension of the bill's proceedings and a return to the negotiating table. We delivered the same message to the minister of economic affairs on behalf of the Social Democrats while we were still part of the coalition. No government should force through decisions that undermine workers' sense of security.

From 2019 to 2022, I served as minister of social affairs and later as minister of health and labor. In managing labor policy, I always adhered to the principle that significant changes should only be made in cooperation with labor market stakeholders. For example, the pilot project for flexible work schedules in retail was only implemented because it was clearly and honestly agreed upon by all parties — employers, trade unions and the state.

Similarly, during the emergency situation caused by the COVID-19 pandemic, we launched a wage compensation measure in cooperation with trade unions and employers. Through this, 137,000 employees across more than 17,000 companies received support from the Unemployment Insurance Fund, preventing widespread layoffs.

The Social Democrats reject the shortsighted policy of replacing social dialogue with unilateral government decisions. When the balance of the labor market is disrupted, mutual trust, labor peace and the willingness to cooperate break down. Ultimately, it is the employees who suffer the most — they don't need hollow slogans but the assurance that their work is valued and fairly compensated.

The government lacks both the mandate and the agreement with labor market partners to adopt radical changes to labor law. We call on the government to withdraw the draft amendment to the Employment Contracts Act and to restore meaningful tripartite dialogue.

Estonia is considering amendments to its Employment Contracts Act aimed at increasing labor market flexibility. A key proposal involves introducing flexible working hour contracts, allowing employees to work variable hours with compensation at their regular rate, rather than the higher overtime rate currently mandated. This change has raised concerns among trade unions, who argue that it could lead to irregular work routines, increased stress, and potential health issues for employees. They are calling for a suspension of the legislative process to allow for negotiations with social partners to address these issues. ​

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