EMCC European Monitoring Centre on Change

Employment mediation service by Unemployment Insurance Fund

Estonia
Phase: Management
Тип:
  • Advice
  • Matching/Networking
  • Support of companies' growth
Last modified: 17 July, 2020
Име (на собств. език):

Töötukassa töövahendusteenus

Име на английски:

Employment mediation service by Unemployment Insurance Fund

Coverage/Eligibility

Employment mediation is available to all employers who access the Estonian Unemployment Insurance Fund (EUIF) in order to find new employees. Employment mediation is available to all persons who are registered as unemployed or are seeking employment through the EUIF.

Main characteristics

Employment mediation is free of charge for employers. Employers can publish their job offer on the website of the Unemployment Insurance Fund for all interested parties to see. Alternatively, they can ask the Unemployment Insurance Fund to select appropriate candidates, according to specific job requirements. In the latter case, the Unemployment Insurance Fund can either motivate suitable employees to apply for the job being offered, or it can forward the contact details of suitable persons to potential new employers. The service also includes 'work trial', if needed. This gives the employer an opportunity to check that the candidate is suitable for the position before signing an employment contract with them. The duration of the trial is one day and both the employer, as well as the potential employee must be clients of the EUIF. No monetary support for the work trial is paid either to the unemployed person or the employer. The employer can, but is not obliged to, pay a salary for the work trial. 

Funding

  • National funds

Involved actors

National government
Funding
Public employment services
Estonian Unemployment Insurance Fund (EUIF) implements the employment mediation and placement service

Effectiveness

The most recent study conducted in 2014 showed that the number of vacant jobs mediated by the EUIF decreased in the period from 2011 to 2013. The EUIF offered 48,476 vacancies to the unemployed in 2013, which was 3.8% less than in 2012 and 4.6% less than in 2011. The number of unemployed persons also decreased during that time: in 2013 the number of unemployed was 8.3% less than in 2012 and 22.9% less than in 2011.

The placement rate or the percentage of all the registered unemployed persons, placed by the EUIF, has increased over the years. The total percentage of placed unemployed persons was 40.5% in 2011, 45.5% in 2012 and reached 48.7% in 2013. Improving placement rate may be an indication that the EUIF has become more efficient in placing registered unemployed persons. The number of placed unemployed may be also underestimated as not all  unemployed would notify the EUIF of finding a job.

Strengths

All persons registered with the Unemployment Insurance Fund can benefit from the job mediation service.

Weaknesses

Not many employers see the EUIF as a potential source of suitable staff, indicating that employers should be more informed of this opportunity. Recent surveys among the clients of the EUIF indicated that just 36% of all employers who are clients used the job mediation service in 2017 and 38% in 2019. The share has been rather stable before - between 29-31% since 2012, it was lower in 2010 (23%) and 2011 (27%). In 2019, 51% of employers were satisfied with the service. 

Examples

No information available.
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