EMCC European Monitoring Centre on Change



Geographic Location

Country: Estonia
Region: Põhja-Eesti; Eesti


Sector: Transportation / storage
Transportation and storage
50.10 - Sea and coastal passenger water transport
Number Employed: 1851
Group: Tallink

Employment Effects

Announcement Date: 02-09-2020
Planned Job Reductions min: 1000
Planned Job Reductions max: 1000
Type of Restructuring: Internal restructuring
Employment Effect Start: 13-12-2020
Foreseen End Date: 17-01-2021
Direct Dismissals: 1000

Additional Information

Hansaliin, an Estonian company in Tallink Group, announced the dismissals of 1,000 employees as of mid-December 2020. Hansaliin is part of the Tallink Group, which operates in water transport sector in Estonia, Latvia, Finland and Sweden. The whole Tallink Group and its companies have suffered due to the containment measures related to the COVID-19 pandemic (e.g. closure of borders, no tourism). Hansaliin is responsible for providing service personnel to the ships. As the water transport is barely functional currently, there is no need for the service stuff on the ships. 

As there are still negotiations ongoing with the trade union, the final number of the layoffs may change. Estonian Seamen's Independent Union - the trade union oganising the employees of the companies in Tallink Group (including the employees of Hansaliin) - has expressed their dissatisfaction with the number of employees that the company plans to dismiss. They also point to the fact, that to be able to cope with the COVID-19 impacts, the trade union agreed to freeze the wage increase which was supposed to happen in 2020, but was postponed to 2022. The condition for freezing the wage increase was that there would be no redundancies, and if redundancies would take place, the consent to postpone the wage agreement will become null and void. The trade union is ready to turn to the national conciliator if needed,that is if the company wants to dismiss some employees and not guarantee the initial wage increase for others.