In a recent analysis, Swedbank's chief economist Tõnu Mertsina stated that the labor market in Estonia could see improvements this year, despite a slight decrease in employment numbers in 2022. While the number of employed individuals fell by 5,500 or 0.8%, there was still a notable increase of approximately 43,000 workers compared to 2021, largely attributable to an influx of Ukrainian immigrants since 2022. Mertsina emphasized that Estonia's employment levels remain well above the EU average and higher than in neighboring countries like Latvia and Lithuania.

Mertsina pointed out that while the employment rate has seen some decline recently, it is still considered high relative to other European nations. He noted that high employment rates and investments support productivity; however, Estonia's productivity levels still lag behind leading EU countries. As the economy continues to recover, the expectation is that new job creation will occur alongside a decrease in unemployment figures.

Moreover, as Estonia's economic growth picks up, it holds the potential for new job opportunities. The emphasis on improving the labor market reflects a broader economic strategy aimed at sustaining growth and enhancing productivity further, which could help in maintaining competitiveness within the EU. This anticipated improvement in the labor market could serve as a boost for Estonia's overall economic health, benefiting both businesses and workers alike.