NE Estonia based spa hotel notifies of potential layoff of 172 staff

TALLINN – The Noorus SPA hotel based in the northeastern Estonian resort town of Narva-Joesuu has announced the possible layoff of 172 employees, citing the huge increase in energy prices. 

Lauri Kool, communications adviser at the Estonian Unemployment Insurance Fund, told BNS that the information has been forwarded to the East-Viru County department of the Unemployment Insurance Fund, whose officials will meet with the employees to talk about what the Unemployment Insurance Fund can do, what are the job offers in the region and how the people who have received the redundancy notice should proceed.

The Unemployment Insurance Fund must be notified if an institution is planning a collective redundancy. After the initial notification, consultations and negotiations will take place, during which the number of the people to be laid off may change. 

Dmitri Antonov, member of the management board of Noorus SPA, told the Russian-language news portal of public broadcaster ERR that the reason for the decision to make workers redundant was the sharp increase in the price of electricity and heat. 

Antonov did not rule out, however, that the company could still review its plans if aid is received from the government and the economic situation improves.