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Training grant upon changing circumstances

Prindi

Lisatud 21.03.2017 | Uuendatud 10.02.2021

A training grant due to changing circumstances can be applied for by a legal person governed by private law, a self-employed person as an employer, or a local government authority, if the employees’ skills need improving due to the restructuring of the company, implementation of new technology, or an update in qualification requirements.

The total volume of the employee’s training plan must be at least 50 academic hours in total for the duration of up to one year. The total volume of the training programme may include auditory and practical lessons and independent work. The application for each training must be submitted via the online platform of the Unemployment Insurance Fund prior to the start of training. The application for each training is submitted separately.

The Unemployment Insurance Fund supports training programmes that help the employees adjust to changes taking place in the company (the scope of training fields is not limited). In the event of a renewal of qualification requirements, the Unemployment Insurance Fund supports the training of employees if the changes are due to external circumstances, for example, the requirements for working in the position have recently changed or are changing, or the professional standard is being updated. The training grant is meant for employees who could lose their jobs due to the restructuring of the company or updates to qualification requirements.

In order to obtain the grant, the company is required to have paid the employer’s unemployment insurance premium for at least two years during the three-year period prior to submitting the application. The employment contract of the employee (for whom the grant is being applied) must be without a term or remain valid for at least six months after submission of the application.

When applying for a training grant due to changing circumstances, it is important to give a clear and detailed description of the work organisation in the company and the changes resulting in the need for training.

The training grant reimburses the employer for the training costs and, at the request of the employer, covers the allowance for the hours the employee attended the training in the amount of minimum hourly wage valid at the time of the training allowance decision. It is also possible to reimburse travel expenses of an employee participating in a training programme if it takes place abroad. We will compensate up to 80% of the total costs, but no more than EUR 2500 per employee.

The training grant is de minimis aid (DMA). If the maximum DMA amount has been reached, the training grant will be paid as a state aid block exemption and in the amount of up to 50%, but no more than EUR 2500 per each employee listed in the employer’s application.

A total of up to EUR 2500 in training support is paid to an employer for the training of the same employee over a period of three years across all of the support options (recruitment of employees, changes in the company, development of Estonian language skills and ICT skills). If the employer has received training grants before, the amount per employee may be lower.

If approved, the training grant is paid on the basis of an expense report, which must be presented with copies of the relevant cost statements and the certificate or attestation issued to the employee upon the completion of the training programme. The invoice for the training programme must be issued to the employer and all expenses pertaining to training of employees shall be paid at first by the employer.

In you should have any questions, please write to koolitustoetus [ä] tootukassa [dot] ee

Examples:

  • A manufacturing company introduces a new production line and needs to retrain its employees.
  • A manufacturing company introduces TIG welding technology and the welders need training to perform high-quality work in that specific field.
  • A construction company wants to provide construction of heating systems as a new service, and employees need training in the construction of gas installations.
  • An enterprise enters a foreign market and its employees need to improve their English skills.

 

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