Minimum wage in Estonia

What is the minimum wage and since when does it apply?

Under the regulation in force, the minimum hourly wage is 5.67 euros and the minimum monthly wage for full-time work is 946 euros (Töötasu alammäära kehtestamine § 1) [1]. The regulation entered into force on 1 April 2026 (Töötasu alammäära kehtestamine § 3) [2].

The Government of the Republic sets, by regulation, the minimum wage corresponding to a specific unit of time (TLS § 29 lg 5) [3]. In doing so, it follows the collective agreement concluded between the central federation of employers and the central federation of trade unions (TLS § 29 lg 5¹) [3]. Under the Collective Agreements Act (kollektiivlepingu seadus, KLS), the central federation of employees and the central federation of employers may agree on a national minimum wage as an extended collective agreement, which applies to all employees and employers (KLS § 4⁶ lg 1) [5].

The minimum is set for wages, and the employee's tax liability, that is the taxes and payments withheld from wages under the law, is deducted from the agreed wage; wages are paid in money (TLS § 29 lg 3) [3]. So it is the wage before taxes and payments are withheld that is compared with the minimum.

May an employer pay less than the minimum wage?

No. „Vabariigi Valitsuse kehtestatud alammäärast madalamat töötasu ei või töötajale maksta.“ [3] (translation: an employee may not be paid a wage lower than the minimum set by the Government of the Republic; TLS § 29 lg 6). A lower amount written into the employment contract does not change this: an agreement that deviates from the law to the detriment of the employee is void, unless the law itself allows such an agreement (TLS § 2) [6].

The employer must pay wages for the work on the agreed terms and at the agreed time (TLS § 28 lg 2 p 2) [7]. Wages are paid once a month, unless a shorter period has been agreed (TLS § 33 lg 1) [8]. If other benefits have been agreed in addition to wages, the employee is entitled to demand them too (TLS § 29 lg 4) [3].

What about part-time work?

The monthly minimum of 946 euros is set for full-time work (Töötasu alammäära kehtestamine § 1) [1]. Full-time work is presumed to be 40 hours within a seven-day period, unless the parties have agreed on shorter working time, that is part-time work (TLS § 43 lg 1) [4]; it is also presumed that the employee works 8 hours a day (TLS § 43 lg 2) [4].

The regulation sets no monthly amount for part-time work, but the minimum hourly wage is 5.67 euros (Töötasu alammäära kehtestamine § 1) [1]. So with part-time work, make sure that the pay does not fall below the minimum hourly wage.

The written employment contract must state, among other things, the agreed wage, how it is calculated and the payday, as well as the working time (TLS § 5 lg 1 p 5 and 7) [9] – these let you check whether your pay meets the minimum.

How are overtime, night work and work on public holidays paid?

• Overtime. The employer compensates overtime with time off equal to the overtime worked, unless compensation in money has been agreed (TLS § 44 lg 6) [10]. When overtime is compensated in money, the employer pays 1.5 times the wage (TLS § 44 lg 7) [10].
• Night work. If working time falls at night (from 22.00 to 6.00), the employer pays 1.25 times the wage, unless it has been agreed that the wage includes pay for night work (TLS § 45 lg 1) [11].
• Public holidays. If working time falls on a public holiday, the employer pays 2 times the wage (TLS § 45 lg 2) [11]. The parties may instead agree on additional time off (TLS § 45 lg 3) [11].

What the law says

• „Kehtestada tunnitasu alammääraks 5,67 eurot ja kuutasu alammääraks täistööajaga töötamise korral 946 eurot.“ [1] (translation: the minimum hourly wage is set at 5.67 euros and the minimum monthly wage for full-time work at 946 euros; Töötasu alammäära kehtestamine § 1) – these are the minimums in force now.
• „Määrus jõustub 1. aprillil 2026. a.“ [2] (translation: the regulation enters into force on 1 April 2026; Töötasu alammäära kehtestamine § 3) – the amounts above apply from that day.
• „Vabariigi Valitsus kehtestab määrusega kindlale ajaühikule vastava töötasu alammäära.“ [3] (translation: the Government of the Republic sets by regulation the minimum wage corresponding to a specific unit of time; TLS § 29 lg 5) – the amount is not in the Act itself but in a Government regulation.
• „Vabariigi Valitsuse kehtestatud alammäärast madalamat töötasu ei või töötajale maksta.“ [3] (translation: an employee may not be paid a wage lower than the minimum set by the Government of the Republic; TLS § 29 lg 6) – this ban applies whatever the employment contract says.
• „Töötasu nõude esitamise tähtaeg on kolm aastat arvates töötasu sissenõutavaks muutumisest.“ [3] (translation: the limitation period for a wage claim is three years from the time the wage became due; TLS § 29 lg 9) – unpaid wages can be claimed within three years.

What to do

1. Check the agreed wage and working time in your employment contract (TLS § 5 lg 1 p 5 and 7) [9], and whether you work full-time or part-time (TLS § 43 lg 1) [4].
2. Compare your wage with the minimum: 946 euros a month for full-time work, and 5.67 euros for each hour (Töötasu alammäära kehtestamine § 1) [1].
3. Ask the employer for information on the wages calculated, paid or payable to you – the employer must provide it at the employee's request (TLS § 28 lg 2 p 12) [7].
4. If your wage is below the minimum, ask the employer to pay the difference; a lower wage may not be paid even if it is written into the contract (TLS § 29 lg 6; TLS § 2) [3] [6].
5. If the employer does not pay, you can apply to the labour dispute committee (töövaidluskomisjon), an out-of-court body for labour disputes at the Labour Inspectorate (Tööinspektsioon) under the Labour Dispute Resolution Act (töövaidluse lahendamise seadus, TvLS) (TvLS § 4 lg 1) [12], or to a court. Applying to the labour dispute committee is free of state fees (riigilõivuvaba) (TvLS § 15) [13]. The claim must be filed within three years of the wage becoming due (TLS § 29 lg 9) [3].

Frequently asked questions

Is the minimum wage a gross or a net amount?

Gross. The employee's tax liability, that is the taxes and payments withheld from wages under the law, is deducted from the agreed wage (TLS § 29 lg 3) [3], and a wage below the minimum may not be paid (TLS § 29 lg 6) [3] – the wage before deductions is what is compared with the minimum.

Can an employee agree to a wage below the minimum?

No. An employee may not be paid less than the minimum wage (TLS § 29 lg 6) [3], and an agreement that deviates from the law to the employee's detriment is void (TLS § 2) [6].

Can income at the level of the minimum wage be seized?

Income is not seized if it does not exceed the minimum wage prescribed for one month, or the corresponding part of weekly or daily income, under the Code of Enforcement Procedure (täitemenetluse seadustik, TMS) (TMS § 132 lg 1) [14]. There are exceptions, however. If enforcement against the debtor's other assets has not satisfied or is not expected to satisfy the claim in full, up to 20 per cent of such income, after deducting the estimated subsistence minimum published by Statistics Estonia, may be seized per month; income below the subsistence minimum is not seized (TMS § 132 lg 1²) [14]. When periodic child maintenance is enforced, up to half of income at the minimum wage level may be seized under the same condition (TMS § 132 lg 1¹) [14].

What if there is no written employment contract?

If a person does work that, in the circumstances, can be expected only for pay, it is presumed to be an employment contract (TLS § 1 lg 2) [15]. According to the Supreme Court, the employer bears the risk of not concluding a written contract; if the amount of the wage cannot be proved, the wage is the one set in the collective agreement or, failing that, the pay usually paid for similar work (RK 2-18-6908/47; TLS § 29 lg 2) [16] [3].

How long can unpaid wages be claimed?

The limitation period for a wage claim is three years from the time the wage became due (TLS § 29 lg 9) [3]. According to the Supreme Court, the same three-year period applies to a claim for late-payment interest (viivis) calculated on wages (RK 2-19-9129/80) [17].