TALLINN - On Nov. 8, the Estonian Confederation of Trade Unions forwarded to all political parties represented in Riigikogu its political proposals for the next five years, reports National Broadcasting. Among the proposals was the suggestion to implement a progressive income tax in Estonia.
More specifically, the Estonian Confederation of Trade Unions, in its proposals on taxation policy, promotes the idea that the government that would take office after the March 2011 Riigikogu elections would restore the company income tax and increase the progressive nature of individual income tax by lowering low-income employee tax rates and increase high-earning individuals’ income tax rates.
The organization feels that taxes imposed on capital and property should be extended, with exceptions for imposing taxes on a persons’ principal place of residence.
The trade unions also feel that three-party negotiations should be launched in January 2011 on supplementing and amending the Labor Contract Act, providing for more efficient protection of persons who are pregnant, parents of small children, employees’ representatives, etc.
Trade unions estimate that the national minimum pay ought to be raised so that it would enable a person to sustain oneself. This increase should be to 60 percent of average pay levels.