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Regional support for creating jobs


Lisatud 09.07.2020 | Uuendatud 14.07.2021

The objective of regional support for creating jobs is to facilitate the creation of jobs and the employment of unemployed persons in areas with high unemployment.

Support is paid to employers who employ at least five unemployed persons in two consecutive calendar months who

  • have been registered as unemployed in Ida-Viru, Põlva, Valga or Võru County and
  • have not been employed in the last six months or have been temporarily engaged in an activity specified in clauses 6 (5) 3)-5) of the Labour Market Services and Benefits Act for less than 30 days in total.

OR (the following terms concern only people who were employed by a company operating in oil shale mining sector)

  • have been registered as unemployed in Ida-Viru, Põlva, Valga or Võru County and
  • before being registered as unemployed, was employed by a company operating in Ida-Viru County that is engaged in the activities specified in clause 6 (5) 3), 4) or 41) of the Labour Market Services and Benefits Act and has a valid oil shale mining permit, or in a company belonging to the same group that processes oil shale, or repairs and maintains production equipment (especially Eesti Energia AS, Viru Keemia Grupp AS, Kiviõli Keemiatööstuse OÜ, Osaühing VKG Kaevandused, VKG OIL AS, OÜ VIRU RMT, Enefit Kaevandused AS, Enefit Energiatootmine AS Enefit Solutions AS, KKT Oil OÜ, VKG Energia OÜ).
    Unemployed persons belonging to the target group cannot be recruited with support by companies that meet the above-mentioned description.

A registered unemployed person who is studying full-time or is in full-time vocational training, including a person on academic leave, can also be employed with support.

Support is paid if

  • the job is located in Ida-Viru, Põlva, Valga or Võru County and
  • the wages paid for the job per calendar month are at least 1.5 times the minimum wage established on the basis of subsection 29 (5) of the Employment Contracts Act and in force at the time of the person’s commencement of work with support.

After five unemployed persons have been employed, support is also paid for any additional unemployed persons employed who comply with the conditions for receiving support.

Regional support for creating jobs may be applied for by legal persons governed by private law.

Regional support for creating jobs is paid if the employer and the unemployed person enter into an employment contract for an unspecified term or a term of at least six months. The employer is partially compensated with the support payment for the wage costs of the employee. We compensate the employer for wage costs representing 50% of the monthly wages of the employee (no more than double the minimum wage) for no more than 12 months (for employment contracts entered into for a specified term, for half of the term of the employment contract but no longer than 12 months).

The estimated monthly salary (gross) in the wage subsidy application is binding in the case of wage subsidy and the subsidy amount is 50% of this amount. If the salary might change during the wage subsidy period, for example after the probationary period, please enter the maximum possible salary in the expected monthly salary row.

Support is not paid for persons whose employment contract has been cancelled in the last 12 months by the employer applying for support in accordance with § 89 of the Employment Contracts Act or whose employment is supported by a wage subsidy under other services.

To facilitate the development of the employee’s skills and increase their employability on the labour market, we compensate the employer for costs of up to 2500 euros incurred in the provision of professional training to the employee within two months of the employee’s employment.

Support for regional job creation is co-financed from the European Social Fund of the European Union based on Order No 222 ‘Provision of labour market services to ensure better opportunities for participation in employment’ of the Minister of Health and Labour of 4 December 2014 and, from 1 January 2022, based on Order No 78 ‘Provision of labour market services to mitigate the effects of the COVID-19 crisis’ of the Minister of Health and Labour of 5 July 2021 until 31 December 2023.

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