A total of 68 proposals were submitted concerning the simplification of occupational health and safety regulations, of which the government endorsed 25. The remaining proposals are still being reviewed by the relevant ministry.

Minister of Economic Affairs and Industry Erkki Keldo (Reform) emphasized at a government press conference that workplace safety is an important field where rules are designed to protect both employees and employers. He noted that the proposed changes would not jeopardize employee welfare or health but would instead eliminate outdated requirements.

Prime Minister Kristen Michal (Reform) gave an example, explaining that in the future, sole proprietors would no longer be required to prepare risk assessments and safety manuals for themselves. "That kind of requirement doesn't make much sense, so we're addressing it," he said.

"There were quite a few absurdities," the prime minister added, citing the current obligation for businesses to inspect the condition of their ladders every month. "In general, the policy is shifting toward maintaining and inspecting all work equipment consistently, but not requiring monthly ladder checks."

Keldo noted that while some workplace safety requirements stem from EU directives and therefore cannot be abolished, processes can still be simplified. For example, the government will provide an instructional safety video as an alternative to a risk assessment for office workers, explaining potential hazards and how to mitigate them.

"Microenterprises will also no longer be required to submit risk assessments to the Labor Inspectorate," Keldo added.

The government also decided to simplify home loan refinancing by removing the requirement to visit a notary when transferring a mortgage from one bank to another.

"This will certainly promote healthy competition among banks. Of course, this competition shouldn't lead to reckless overbidding — which is quite rare in Estonia anyway — but it will give people the opportunity to seek and secure more favorable home loans," the prime minister said.

According to Michal, the change would mean a savings of €200 to €300 when refinancing a home loan of €150,000.

Additionally, the government approved a proposal to abolish the alcohol registry. Minister of Regional Affairs and Agriculture Hendrik Terras (Eesti 200) explained that the registry has imposed years of costs and time burdens on businesses, who no longer will have to apply for separate permits or conduct laboratory tests for each product. He noted that in 2023, businesses could have saved up to €5.1 million in testing costs alone.

Terras added that eliminating the registry will allow businesses to bring new products to market more easily and at lower cost.

Employers: First decisions cause for optimism

According to Hando Sutter, head of the Estonian Employers' Confederation, the approval of the initial proposals is a welcome development. "It's very good that concrete decisions have been made and that several issues important to the business community are now in progress," he told ERR.

Sutter noted that the alcohol registry, for example, was a relic from the past that had lost its original purpose.

He also pointed out that many of the changes in the field of occupational health and safety were based on input from the Employers' Confederation. "Taken together, these steps represent real progress," he said.

"There are two issues not included in today's decisions but currently in preparation," Sutter continued. "One concerns simplifying planning procedures, which the council is still discussing and plans to propose to the government. The other involves streamlining reporting requirements, for which we would like to refine our input a bit further."

"For a single government cabinet meeting, quite a lot was decided today. Considering all the matters the government has to deal with, the fact that so many concrete decisions were made to cut bureaucracy is encouraging," he said. "Another important point is that the content of these decisions is specific enough that there's no room to backslide during implementation, even if someone were inclined to. I think this gives reason to hope the changes will be enforced as the government has decided."

Sutter emphasized that the Council on Efficiency and Economic Growth has agreed that cutting bureaucracy will not be delayed because of the council's work. "We meet regularly and have agreed to convene during the summer if necessary. Of the 500 proposals submitted, the council's role is to sift through them and prepare the next packages for the government cabinet to consider."

While the council reviews regulations from a business perspective, Sutter noted that some changes — such as simplifying home loan refinancing — will benefit many people.

"In that sense, we're looking at things from the viewpoint of the whole society, focusing on efficiency and common sense. Of course, we also need to explain the reasons behind these changes to different stakeholders. For instance, the simplification of labor regulations, where trade unions have been quite vocal — we must explain why this is important and why unions should support the initiative and move with the times. That's also part of our role: when we forward proposals to the cabinet, we must explain why they are good ideas," he said.

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