Resigning health fund chief will not receive severance pay

Outgoing Estonian Health Insurance Fund (EHIF) director Rain Laane is not entitled to severance pay under his contract, and the Ministry of Social Affairs confirmed that Minister of Social Affairs Karmen Joller (Reform) does not intend to propose any.
Last Friday, Rain Laane announced his decision to step down as director of EHIF, adding that he would submit his resignation to the fund's supervisory board at its next regular meeting on August 22.
Last week, Minister of Social Affairs Karmen Joller, as EHIF supervisory board chair, was unable to say whether severance pay would be stipulated for Laane.
By Tuesday, the ministry confirmed to ERR that Joller doesn not intend to propose that the board pay Laane any compensation.
"The contract of the Health Insurance Board's management board chair does not provide for severance pay if the departure is voluntary," added ministry communications adviser Neeme Raidvere.
Laane's decision to step down came in response to sharp public scrutiny over EHIF's latest annual summer retreat, which, despite the fund's difficult financial situation, was held at the Castle Spa Wagenküll, located in Taagepera Castle in Southern Estonia.
The late July retreat cost a total of €84,000 plus additional fringe benefit tax.
Laane will remain in office until August 31 to ensure a smooth handover of the health fund's leadership to its acting director.
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Editor: Karin Koppel, Aili Vahtla










