- 2016Approved/Agreed
- 2017Implementation
- 2018Implementation
- 2019Implementation
- 2020Approved/Agreed
- 2021Implementation
- 2022Completed
Background
The Employment programme supports the implementation of the Welfare Development Plan 2016-23. Social welfare falls under the administration of the Ministry of Social Affairs. The programme is implemented by the Estonian Unemployment Fund.
The share of adults (aged 25-64) in Estonia without special and vocational education is 27% (2019), i.e., 194 000 people. The most vulnerable adults are those without primary or secondary education. Estonian women aged 25-34 with higher education are the most active group in continuing training. The participation in lifelong learning is lower among men, the elderly and non-Estonians.
Objectives
The objective of the programme is to alleviate labour shortages, prevent unemployment and shorten the duration of unemployment, with a special focus on the long-term unemployed or other vulnerable groups.
Description
The Employment programme includes a package of measures for workers at risk of unemployment. The main target groups are:
- workers with no professional or vocational education;
- those whose skills are outdated;
- workers whose knowledge of Estonian is poor;
- those who are older than 50 years of age;
- workers who cannot continue their present work due to health issues.
The VET and training-related measures include:
- a study allowance scheme to support participation in VET and higher education;
- people at risk of unemployment will be given access to labour market training with a training voucher;
- employers will be compensated by payment of between 50% and 100% of their training costs;
- employers can also apply for a training grant to support their workers in adapting to changes in business processes, technology, or formal qualification requirements.
Since June 2018, the target group of workers eligible for preventive measures has been widened.
The study allowance scheme for those taking up formal studies (including VET) is now available not only to those working under employment contracts, but also to those working under a service contract or authorisation agreement. The target group of the training voucher scheme was also widened by lifting the income threshold up to the national average wage.
In 2018, training vouchers were used by 2 100 individuals in employment who participated in 2 380 training courses, 73% of them for taking up an...
The Employment programme includes a package of measures for workers at risk of unemployment. The main target groups are:
- workers with no professional or vocational education;
- those whose skills are outdated;
- workers whose knowledge of Estonian is poor;
- those who are older than 50 years of age;
- workers who cannot continue their present work due to health issues.
The VET and training-related measures include:
- a study allowance scheme to support participation in VET and higher education;
- people at risk of unemployment will be given access to labour market training with a training voucher;
- employers will be compensated by payment of between 50% and 100% of their training costs;
- employers can also apply for a training grant to support their workers in adapting to changes in business processes, technology, or formal qualification requirements.
Since June 2018, the target group of workers eligible for preventive measures has been widened.
The study allowance scheme for those taking up formal studies (including VET) is now available not only to those working under employment contracts, but also to those working under a service contract or authorisation agreement. The target group of the training voucher scheme was also widened by lifting the income threshold up to the national average wage.
In 2018, training vouchers were used by 2 100 individuals in employment who participated in 2 380 training courses, 73% of them for taking up an Estonian language course and 13% for training in a field where there are labour shortages.
The inflow to the study allowance scheme was 819 individuals, with the most popular field of study being care work. The reimbursement of training costs to employers covered the training of 682 employees, including 435 studying the Estonian language.
The measure was operational and ran as a regular practice.
An employment programme for 2021-23 has been developed and adopted. It regulated the provision of labour market services and the payment of labour market benefits, except unemployment benefits. The overall goal of the programme was to reduce the duration of unemployment, to help people in vulnerable situations to find employment, to alleviate labour shortages and prevent unemployment.
Labour market services have been adapted to the changed labour market situation, such as additional support to prevent people from repeatedly becoming unemployed, coaching for redundant managers, support for employer training and for business start-ups, and changes in counselling services. In order to mitigate the negative effects of the COVID-19 pandemic on the labour market, possibilities for in-service training, retraining and counselling were provided.
In 2021, the employment programme for 2021-23 was being implemented ensuring that labour market services were provided, and labour market benefits were paid. In addition to existing services, the programme provided, for example, follow-up support for people who have had difficulty retaining employment. Compared to the former programme, the conditions for the employer training support, business start-up support, counselling services and labour market training for jobseekers have become more favourable.
In 2022, the Unemployment Insurance Fund undertook a significant role in the integration of Ukrainian refugees into the Estonian labour market. Refugees who have been granted temporary protection were entitled to the same benefits and allowances as Estonian residents, and enjoy the same rights, including the right to study and work. In addition to the regular training offer and language support, professional upskilling courses and Estonian language courses were provided to the refugees.
Bodies responsible
- Ministry of Education and Research
- Ministry of Social Affairs
- Unemployment Insurance Fund
Target groups
Learners
- Young people (15-29 years old)
- Young people not in employment, education or training (NEETs)
- Unemployed and jobseekers
- Persons in employment, including those at risk of unemployment
- Low-skilled/qualified persons
Entities providing VET
- Companies
Thematic categories
Modernising VET offer and delivery
This thematic category looks at what and how individuals learn, how learning content and learning outcomes in initial and continuing VET are defined, adapted and updated. First and foremost, it examines how VET standards, curricula, programmes and training courses are updated and modernised or new ones created. Updated and renewed VET content ensures that learners acquire a balanced mix of competences that address modern demands, and are more closely aligned with the realities of the labour market, including key competences, digital competences and skills for green transition and sustainability, both sector-specific and across sectors. Using learning outcomes as a basis is important to facilitate this modernisation, including modularisation of VET programmes. Updating and developing teaching and learning materials to support the above is also part of the category.
The thematic category continues to focus on strengthening high-quality and inclusive apprenticeships and work-based learning in real-life work environments and in line with the European framework for quality and effective apprenticeships. It looks at expanding apprenticeship to continuing vocational training and at developing VET programmes at EQF levels 5-8 for better permeability and lifelong learning and to support the need for higher vocational skills.
This thematic category also focuses on VET delivery through a mix of open, digital and participative learning environments, including workplaces conducive to learning, which are flexible, more adaptable to the ways individuals learn, and provide more access and outreach to various groups of learners, diversifying modes of learning and exploiting the potential of digital learning solutions and blended learning to complement face-to-face learning.
Centres of vocational excellence that connect VET to innovation and skill ecosystems and facilitate stronger cooperation with business and research also fall into this category.
This thematic sub-category refers to acquisition of key competences and basic skills for all, from an early age and throughout their life, including those acquired as part of qualifications and curricula. Key competences include knowledge, skills and attitudes needed by all for personal fulfilment and development, employability and lifelong learning, social inclusion, active citizenship and sustainable awareness. Key competences include literacy; multilingual; science, technology, engineering and mathematical (STEM); digital; personal, social and learning to learn; active citizenship, entrepreneurship, cultural awareness and expression (Council of the European Union, 2018).
Supporting lifelong learning culture and increasing participation
Lifelong learning refers to all learning (formal, non-formal or informal) taking place at all stages in life and resulting in an improvement or update in knowledge, skills, competences and attitudes or in participation in society from a personal, civic, cultural, social or employment-related perspective (Erasmus+, Glossary of terms, https://erasmus-plus.ec.europa.eu/programme-guide/part-d/glossary-common-terms). A systemic approach to CVET is crucial to ensure adaptability to evolving demands.
This broad thematic category looks at ways of creating opportunities and ensuring access to re-skilling and upskilling pathways, allowing individuals to progress smoothly in their learning throughout their lives with better permeability between general and vocational education and training, and better integration and compatibility between initial and continuing VET and with higher education. Individuals should be supported in acquiring and updating their skills and competences and navigating easily through education and training systems. Strategies and campaigns that promote VET and LLL as an attractive and high-quality pathway, providing quality lifelong guidance and tailored support to design learning and career paths, and various incentives (financial and non-financial) to attract and support participation in VET and LLL fall into this thematic category as well.
This thematic category also includes many initiatives on making VET inclusive and ensuring equal education and training opportunities for various groups of learners, regardless of their personal and economic background and place of residence – especially those at risk of disadvantage or exclusion, such as persons with disabilities, the low-skilled and low-qualified, minorities, migrants, refugees and others.
This thematic sub-category refers to all kinds of incentives that encourage learners to take part in VET and lifelong learning; VET providers to improve, broaden and update their offer; companies to provide places for apprenticeship and work-based learning, and to stimulate and support learning of their employees. It also includes measures addressing specific challenges of small and medium-sized enterprises (SMEs) willing to create work-based learning opportunities in different sectors. Incentives can be financial (e.g. grants, allowances, tax incentives, levy/grant mechanisms, vouchers, training credits, individual learning accounts) and non-financial (e.g. information/advice on funding opportunities, technical support, mentoring).
This thematic sub-category refers to providing the possibility for individuals who are already in the labour market/in employment to reskill and/or acquire higher levels of skills, and to ensuring targeted information resources on the benefits of CVET and lifelong learning. It also covers the availability of CVET programmes adaptable to labour market, sectoral or individual up- and reskilling needs. The sub-category includes working with respective stakeholders to develop digital learning solutions supporting access to CVET opportunities and awarding CVET credentials and certificates.
This thematic sub-category refers to making VET pathways and programmes inclusive and accessible for all. It concerns measures and targeted actions to increase access and participation in VET and lifelong learning for learners from all vulnerable groups, and to support their school/training-to-work transitions. It includes measures to prevent early leaving from education and training. The thematic sub-category covers measures promoting gender balance in traditionally ‘male’ and ‘female’ professions and addressing gender-related and other stereotypes. The vulnerable groups are, but not limited to: persons with disabilities; the low-qualified/-skilled; minorities; persons of migrant background, including refugees; people with fewer opportunities due to their geographical location and/or their socioeconomically disadvantaged circumstances.
European priorities in VET
VET Recommendation
- VET promoting equality of opportunities
Subsystem
Further reading
Country
Type of development
Cedefop, & ReferNet. (2025). Employment programmes 2017-20 and 2021-23: Estonia. In Cedefop, & ReferNet. (2025). Timeline of VET policies in Europe (2024 update) [Online tool].
https://www.cedefop.europa.eu/hu/tools/timeline-vet-policies-europe/search/28171