Unions: Negotiations on draft employment contract act must be suspended

April 26, 2026

Unions: Negotiations on draft employment contract act must be suspended

15.03.2025

The Trade Unions Confederation (Ametiühingute keskliit), the umbrella organization for unions in Estonia, has called for halting the Employment Contract Act draft, warning that flexible working hours could lead to financial uncertainty, workplace inequality, and long-term health risks for employees.

Speaking to "Aktuaalne kaamera," confederation chair Kaia Vask said: "At first glance, the flexible working hours regulated by the bill may seem beneficial to employees, as it offers the opportunity to balance work and private life, for example, for parents."

"Also included are people with reduced work capacity, who may need a workload that suits their health condition," Vask added.

In reality, the planned arrangement could bring many disadvantages to employees, Vask said.

"If the implementation of flexible working hours is not sufficiently monitored, it may work against employees," she continued.

Vask said that flexible working hour contracts can make an employee's workload and income unpredictable, leading to financial uncertainty and dependence on the employer.

She added that the confederation proposed giving social partners the legal right to negotiate collective agreements to offset potential harm from flexible working arrangements.

Vask also pointed out that while employees have the right to refuse extra hours, employers may favour those who accept them, creating workplace inequality and pressure to work beyond agreed hours.

Vask noted that employees on ten-hour contracts may feel pressured to work extra hours to stay in their employer's favour.

On Thursday, the government's economic cabinet approved a plan to amend the Employment Contract Act to allow flexible working hour contracts, though Vask warned that such flexibility could lead to irregular routines, increased stress, insomnia, and long-term harm to employees' mental and physical health.

The proposed change in legislation would eliminate the requirement for overtime pay at a higher rate, instead compensating additional hours at the regular rate, the confederation said.

The confederation strongly disagrees with this change, urging that the legislative process be halted and that flexible working hours be voluntary, regulated through collective agreements.

The bill is due to be submitted to the cabinet for approval in the coming weeks. Its progress has been halted in the past as well.

 

Source: Toomas Pott/ ERR
Photo: Ken Mürk/ ERR

The Estonian Trade Union Confederation unites 14 trade unions, protecting workers' rights and creating fairer working conditions throughout Estonia.
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