Koondamisega

Koondamisega is an Estonian term used to refer to actions related to layoffs or redundancies in the context of work. Practically, it denotes the process by which an employer terminates one or more employment contracts due to organizational, economic, or production-related reasons. The concept covers both individual dismissals and collective redundancies, the latter occurring when a larger portion of the workforce is affected by structural changes or the closure of a part of the business.

Legal framework and scope: Koondamine is regulated by Estonian employment law, including provisions in the Labour Code and the Employment Contracts Act. The employer must follow applicable procedures designed to protect employees’ rights, such as informing and consulting with employee representatives or trade unions where they exist, establishing criteria for selecting who will be laid off, and providing written notice of the planned dismissals and their reasons. In addition, where severance or compensation is provided by contract or collective agreement, those obligations must be observed. In cases of collective redundancies, there are enhanced duties to inform and consult with employee representatives and, where relevant, the Unemployment Insurance Fund, to mitigate the impact and explore alternatives.

Outcomes and remedies: Employees who are laid off may be entitled to unemployment benefits through the national system and may seek appropriate remedies if the process is improperly conducted. Koondamisega remains a central concept in corporate restructurings, bankruptcy procedures, and strategic reorganizations, reflecting the legal and social considerations surrounding workplace reductions.