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Lauri Laats: the big wage gap shows that we have two Estonias

Exceeding the average salary of 2,000 euros may seem satisfying at first glance, but when you examine the statistics, you have to understand that due to the inaction of the Reform Party government, to inequality in Estonia is getting worse and worse, says Lauri. Laats, chairman of the Riigikogu Center Party group.

“The wage gap between the counties clearly shows that we have two Estonias,” says the representative of the Center Party. “If the average wage in Tallinn is 2,339 euros, then in Valgamaa, Hiiumaa and Saaremaa there is e just over 1,500 euros. Unfortunately, the wage gap is increasing and if the current trends continue, the time will not be far away when there will be a worker. in Tallinn earns twice as much as a resident of the suburbs.”

According to Lauri Laats, the increase of wages in conditions of economic recession means a forced movement for entrepreneurs, which significantly weakens competitiveness and inevitably leads to the cessation of the activities of several entrepreneurs. “The tax increases planned by the current government will make difficult choices for this other Estonia, which is already in a worse competitive position compared to Harju and Tartu County. The Center Party has always believed in the need to reduce regional inequality, and the salary chart clearly shows what will happen if it is not dealt with appropriately,” he said.

According to Lauri Laats, it is necessary to start working on the creation of regional differences as an urgent matter, so that it would be reasonable to do business in regions other than Harju and Tartumaa. “This is exactly what is expected of socialists in government, not to mention how raising the minimum wage is a magic wand to solve all our problems. This is a very short view of economic policy in the style of “if wages don’t rise, we pass a law to raise them”. “Estonia’s economy has been in decline for nine quarters in a row, which means that the situation in the export sector is poor and consumer confidence is very low,” said Lauri Laats.

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