You are eligible to receive unemployment insurance benefits if: you have been registered as unemployed; you have submitted an application for unemployment insurance benefits; you have at least 12 months of unemployment insurance period during the three years preceding your registration as unemployed; you have not resigned from your last job of your own volition or agreement between agreement of the parties. The previous salary of the unemployed person is used when calculating the amount of unemployment insurance benefit.
Grants and transport and accommodation benefits are paid to offset the costs associated with participation in labour market services.
You are entitled to receive the unemployment allowance if: you are registered as unemployed; your income for one month is less than 31 times the daily rate of the unemployment allowance; you have been employed for at least 180 days in the year prior to being registered as unemployed or engaged in an activity equal to work. More detailed information about unemployment allowance can be found on the website of the Unemployment Insurance Fund.
What funds are used to finance benefits?
Unemployment allowance is financed from the state budget, while the unemployment insurance benefit is financed from unemployment insurance funds, or from the budget of the Estonian Unemployment Insurance Fund. Unemployment insurance funds are collected from the monthly unemployment insurance contributions made by the employer and the employee. The rate of unemployment insurance premium shall be established annually by the Government of the Republic based on a proposal made by the Supervisory Board of the Estonian Unemployment Insurance Fund.
In the case of redundancy, an employee whose employment relationship with the employer has lasted for at least five years, and an official who has a length of service of at least five years, shall be entitled to redundancy pay.
Insolvency benefit is paid in the event of the employer’s insolvency. Employees are entitled to receive compensation for the partial compensation of unreceived salary, holiday pay, etc.
Last updated: 04.08.2023