Employer and trade union groups in Estonia have begun talks on raising the minimum wage, ERR reports. Under an agreement signed in 2022, the minimum wage was to rise to 50% of the average wage by 2027. The monthly minimum wage would thus increase by about EUR 100 to just under EUR 1,000 in 2026. Kai Realo, deputy chairwoman of the Estonian Employers’ Confederation (ETK), insisted that it would be “cynical” to adhere to the agreement amid the country’s protracted economic downturn, warning that doing so could lead to job losses in small business. Instead, the minimum wage growth should match the growth of other income, she argued. Estonia’s Minister of Economic Affairs and Industry, Erkki Keldo, said that the minimum wage should not grow significantly faster than productivity. Meanwhile, Kaia Vask, chairwoman of the Estonian Trade Union Confederation (EAKL), noted that tax hikes had made the situation “very difficult.” Also, economic forecasts in 2024 had not held up in 2025, she pointed out.
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