Estonia, a country in Northern Europe, borders the Baltic Sea and the Gulf of Finland. Including more than 1,500 islands, its diverse terrain spans rocky beaches, old-growth forests, and many lakes. It is bordered to the north by the Gulf of Finland across from Finland, to the west by the Baltic Sea across from Sweden, to the south by Latvia, and to the east by Lake Peipus and Russia. Oil shale energy, telecommunications, textiles, chemical products, banking, services, food and fishing, timber, shipbuilding, electronics, and transportation are key sectors of the economy in Estonia.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Estonia.
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Estonia, a country in Northern Europe, borders the Baltic Sea and the Gulf of Finland. Including more than 1,500 islands, its diverse terrain spans rocky beaches, old-growth forests, and many lakes. It is bordered to the north by the Gulf of Finland across from Finland, to the west by the Baltic Sea across from Sweden, to the south by Latvia, and to the east by Lake Peipus and Russia. Oil shale energy, telecommunications, textiles, chemical products, banking, services, food and fishing, timber, shipbuilding, electronics, and transportation are key sectors of the economy in Estonia.
*Please note that the official currency is the currency of remuneration when employed through WorkMotion in Estonia.
The national holidays mentioned below are valid for the year 2025.
| January 1 | New Year’s Day | |
| February 24 | Independence Day | |
| April 18 | Good Friday | Movable |
| April 20 | Easter Sunday | Movable |
| May 1 | Spring Day | International Workers' Day |
| June 8 | Pentecost Sunday | Movable - 50 days after easter |
| June 23 | Victory Day | |
| June 24 | Midsummer Day | |
| August 20 | Independence Restoration Day | |
| December 24 | Christmas Eve | |
| December 25 | Christmas Day | |
| December 26 | Boxing Day |
The approximate time for sharing the contract with an employee in Estonia is 5 business days assuming no special requests or changes to our standard employment contract. Any such requests or changes would need to undergo internal and external review, directly leading to a time delay.
NOTE: This number is subject to change and is only an estimation of the Contract Sharing Time. The estimated Contract Sharing Time begins from the moment that WorkMotion has received all required information from both the client and the employee.
The Estonian social protection system is structured around three contributory social security schemes: pension insurance, health insurance, and unemployment insurance. Pension insurance and health insurance are financed from a social tax, while unemployment insurance is funded by unemployment insurance contributions.
Employers operating in Estonia (including non-residents who have a permanent establishment [PE] or employees in Estonia) must pay a social tax at the rate of 33.8%.
| Insurance | Employer Contribution |
| Public Pension | 20% |
| Health Insurance | 13% |
| Unemployment Insurance | 0.8% |
| Total | 33.8% |
The general national standard working limit in Estonia is eight hours per day or 40 hours per week. Employees are entitled to a 30 minute break after six consecutive hours of work. They are also entitled to at least 11 hours of daily rest and 48 hours of weekly rest.
Total working time including overtime must not exceed an average of 48 hours per week over a four-month recording period. Compensation for overtime work is paid at 1.5 times the employee’s wages.
A probationary period must not exceed four months. In the case of the employment contract entered into for a specified term of up to eight months, the probationary period may not be longer than half of the contract term.
Cancellation of Employment Contract during Probation Period
A 15 day notice is required from both parties.
Cancellation of Employment Contract by the Employee
| Cancellation Type | Notice Period |
| Ordinary cancellation (without reason) | 30 days |
| Extraordinary cancellation (for justifiable reasons) | No notice required |
Extraordinary Cancellation of Employment Contract by the Employer
An employer can only terminate an employment contract on an exceptional basis, i.e. the employer must always have a reason for terminating the employment contract. The ordinary cancellation of an employment contract by the employer (without reason) is prohibited by law.
| Years in Employment | Notice Period |
| Less than 1 year | No less than 15 days |
| 1 to 5 years | No less than 30 days |
| 5 to 10 years | No less than 60 days |
| 10 years and above | No less than 90 days |
The general national standard working limit in Estonia is eight hours per day or 40 hours per week. Employees are entitled to a 30 minute break after six consecutive hours of work. They are also entitled to at least 11 hours of daily rest and 48 hours of weekly rest.
Total working time including overtime must not exceed an average of 48 hours per week over a four-month recording period. Compensation for overtime work is paid at 1.5 times the employee’s wages.
A probationary period must not exceed four months. In the case of the employment contract entered into for a specified term of up to eight months, the probationary period may not be longer than half of the contract term.
Cancellation of Employment Contract during Probation Period
A 15 day notice is required from both parties.
Cancellation of Employment Contract by the Employee
| Cancellation Type | Notice Period |
| Ordinary cancellation (without reason) | 30 days |
| Extraordinary cancellation (for justifiable reasons) | No notice required |
Extraordinary Cancellation of Employment Contract by the Employer
An employer can only terminate an employment contract on an exceptional basis, i.e. the employer must always have a reason for terminating the employment contract. The ordinary cancellation of an employment contract by the employer (without reason) is prohibited by law.
| Years in Employment | Notice Period |
| Less than 1 year | No less than 15 days |
| 1 to 5 years | No less than 30 days |
| 5 to 10 years | No less than 60 days |
| 10 years and above | No less than 90 days |
The Estonian social protection system is structured around three contributory social security schemes: pension insurance, health insurance, and unemployment insurance. Pension insurance and health insurance are financed from a social tax, while unemployment insurance is funded by unemployment insurance contributions.
Employers operating in Estonia (including non-residents who have a permanent establishment [PE] or employees in Estonia) must pay a social tax at the rate of 33.8%.
| Insurance | Employer Contribution |
| Public Pension | 20% |
| Health Insurance | 13% |
| Unemployment Insurance | 0.8% |
| Total | 33.8% |
