Employers: All hands needed in Estonia, including foreign labor

The government wants to bring more foreign labor to Estonia, but the opposition calls the plan irresponsible. Employers say only specialists adding value would come.
Currently, a little more than 6 percent of people in Estonia are unemployed — over 40,000 are registered jobseekers. Including those who have given up looking for work, the number rises above 60,000.
"To ignore the labor shortage, you'd have to be truly blind. Today's employment rate is one of the highest in Estonia's history, even though we've been through several years of economic recession. We must certainly address unemployment and I'm particularly concerned about two groups. The first is young people under 25, where unemployment is among the highest in the European Union — 25 percent. Figuring out how to get young people into the labor market or into work is one of our greatest challenges," said Hando Sutter, executive manager of the Estonian Employers' Confederation, on ETV's "Esimene stuudio" talk show, adding that people with reduced work capacity are another area of concern.
"All hands are needed in the labor market and we cannot leave anyone aside. We are looking under every stone for solutions. Another important point is that this year will likely bring a third sad record in a row — the lowest number of births in Estonia in the past 100 years. In the 1970s, around 25,000 children were born annually; this year, I think the figure will be closer to 9,000. That's a two-and-a-half-fold drop," Sutter said.
Opposition parties, however, fear that bringing in workers from third countries could lead to the replacement of the Estonian people.
"When we talk about labor migration, we must remember that for Estonia as well, most labor movement takes place within the EU. We're really talking about attracting talent. We are competing with labor markets in all neighboring countries. Just two days ago I was at my colleagues' annual conference in Denmark, and believe it or not, they were also talking about attracting talent to Denmark from within the EU. We must see this more as an opportunity than a threat. If we can bring in the expertise we need, that will create more work here in Estonia, and not just any work — but valuable work. That's why it must be seen as an opportunity," explained the head of the Employers' Confederation.
Still, people ask why there is a need to bring workers from outside the EU. Sutter explained that in fact, EU citizens make up the larger share of labor migration.
"Across the EU, we are missing millions of people in certain professions each year. Consider that Estonia's quota is just 0.1 percent of the population — about 1,300 people. What is currently being discussed in the Riigikogu would raise that to 3,600, but only if the economy is growing rapidly. Under normal circumstances, it would remain 0.1 percent, with exceptions made only for fields that are demonstrably the most labor-deficient. These are very specific sectors, with clear criteria. It is a limited activity — not mass migration," Sutter stressed.
He pointed in particular to professions where there is a severe shortage in Estonia.
"For example, engineering is currently in very high deficit. If a business wants to invest in a smart manufacturing plant employing 200 people and 10 of those positions are highly specialized engineering roles, then if the company can bring those 10 engineers to Estonia, the other 190 hires will be local. That's how it works in real life," he explained.
The opposition fears such a system would open the door to all kinds of workers from third countries, but Sutter emphasized that the discussion is about filling only those positions where Estonia lacks labor. Moreover, these would not be low-wage workers, but experts and specialists earning at least 0.8 of Estonia's average salary.
"I struggle to understand my fellow citizens in one respect: how xenophobia has grown so strong. We ourselves move around the world and we always expect to be well received wherever we go. And in fact, many Estonians have already worked abroad for shorter or longer periods. I've also worked abroad and was well received, evaluated for my results and knowledge, not judged for not being local or for not speaking the local language," Sutter said.
According to him, labor migration to Estonia would involve people arriving with their own skills and preparation, paying taxes and creating value.
"We shouldn't see this as entirely negative. And our conditions for bringing people to Estonia are already among the most conservative. As a comparison, Lithuania last year brought in 30,000 workers from third countries. I'm not suggesting we copy that directly, but it's a useful reference point," the employers' confederation head noted.
"The draft law already includes restrictions and I think it represents a compromise between fears and opportunities. Employers wanted more and I admit this is just a small first step in the right direction. But it is a compromise that I believe can also gain approval in the Riigikogu," Sutter added.
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Editor: Marcus Turovski, Johanna Alvin










