Natalie Mets: The economy also depends on young people getting into the workforce

Technological development is increasingly changing how companies operate and the number of workers they need. Young people face the greatest risk from these changes, writes Natalie Mets.
The government wants to make Estonia a leader in artificial intelligence development. Plans are already underway to give AI agents digital identities, open access to government information systems and find ways to use AI to make public services more efficient. All of this is important, but there is another side to AI's development: who gains access to our data, how our rights are protected and what the future of the labor market will look like.
Let's look beyond Estonia. The development of AI agents requires international agreements that set clear limits on their activities, establish accountability and protect people's data and rights. No agent should be allowed to exceed the authority granted to it, and people must always retain the ability to monitor and, if necessary, stop its actions.
Estonia has an opportunity to help shape these rules, but even more importantly, Estonia itself must understand how to adapt to changes in working life and economic security.
In recent weeks, Swedbank, Pipedrive, Coolbet and Telia have all announced major layoffs in Estonia. While not all of these decisions are directly linked to the adoption of AI, employers themselves acknowledge that technological development is increasingly changing how companies operate and what kinds of employees they need, whether we are talking about a translation agency or a ride-sharing platform.
Young people face the greatest risk in this environment. In August, Estonia's unemployment rate among people aged 15–24 stood at 27.1 percent. Entry-level jobs, which are often intended for young workers, are among those most vulnerable to automation because AI is becoming increasingly capable of handling simpler tasks traditionally assigned to people gaining their first work experience. If internships and first-job opportunities disappear, it will become increasingly difficult for young people to compete for more demanding positions as well.
A first job is an important step toward independence and economic security. It builds confidence, teaches responsibility and strengthens faith in future opportunities and in the country itself. If young people do not get the chance to gain experience at the beginning of their working lives, the risk increases that they will fall between the education system and the labor market and become NEETs, young people who are not in education, employment or training.
A clear framework should be established to assess how the adoption of AI affects workers. For major automation projects, employers should evaluate which positions and skills will be affected and discuss early on with employees what retraining and internal mobility opportunities can be offered. This is especially important for digitalization projects supported with public funding.
Retraining must become more accessible and practical. The Unemployment Insurance Fund, vocational schools, universities and employers should work together to provide training that reflects actual labor market demand. Retraining should begin when a company is planning major workplace changes, not only after layoffs have occurred.
We need a first-job program for young people, along with more paid internships and apprenticeships. The state could support companies that give young people with little work experience the chance to acquire real job skills. Such support should help create additional jobs rather than replace existing workers.
Finally, Estonia's economic policy must focus on creating new high-value-added jobs. That requires investment in research and development, technology, manufacturing and the growth of exporting companies. The adoption of technology must go hand in hand with the creation of new products, services and business opportunities.
AI can increase the productivity of Estonian companies and help them compete more effectively internationally. The state's role is to create the conditions for this to happen while ensuring that people's rights, job security and ability to adapt are protected alongside technological progress.
As policymakers debate the identity and authority of AI agents, they should not forget the people whose lives and work will be most affected by this technology. In addition to rules governing AI, Estonia needs a clear labor market and social security strategy for the age of artificial intelligence.
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Editor: Kaupo Meiel, Argo Ideon











