töölepingu

Töölepingu, or an employment contract, is in Estonia a formal agreement between an employer and an employee that regulates the terms of work. It creates a legal relationship in which the employee agrees to perform assigned duties and the employer agrees to provide compensation and working conditions.

Contracts can be open-ended or fixed-term, and may include a probationary period. A fixed-term contract ends automatically at its stated date, while an open-ended contract continues until termination. A probation period, when used, defines a trial phase during which either party may terminate with a shortened notice period according to the contract and applicable law.

Typical content includes the parties’ identities, start date, place of work, job title and duties, working time and location, remuneration, holiday entitlements, and notice requirements. Many agreements also cover confidentiality, data protection, intellectual property, and restrictions after termination. The contract may specify additional terms such as non-compete clauses or forms of disciplinary action, provided these comply with law and fairness standards.

Formation and modification of the contract generally require mutual agreement, and terms are governed by minimum standards set by law. The contract binds both the employer and the employee, who also has duties such as performing work faithfully and adhering to workplace rules.

Termination can occur by notice from either party or immediately for serious cause, in accordance with applicable law. Upon termination, employees may receive owed wages, accrued holidays, and other statutory protections under labor law. The employment contract, together with relevant statutes, aims to provide predictable working conditions and mechanisms for resolving disputes.