Latviski English По-русски
Tuesday 26.09.2017 | Name days: Kurts, Knuts, Gundars

Opinion: Estonians are selling their work too cheaply

(No Ratings Yet)

Public relations expert Janek Mäggi writes in Äripäev that Estonians need to ask a better price for their work because this is the only way to increase people’s wealth.

Author: PantherMedia/SCANPIXMäggi says that he remembers back in 2007 that when a waste management company was looking for hire waste truck drivers and offered them the equivalent of 2,000 euros a month, it still could not find anyone interested. Today, waste truck drivers in Estonia only dream about such salaries.

The simple truth is that if you are paid very good wages, even unpleasant jobs including that of transporting waste become tolerable. If you are paid peanuts, even the most pleasant jobs become unpleasant.

Average wages in Estonia are too low, keep purchasing power down and are causing social tension. Salaries are so low because the work is too cheap. Wages and prices are directly linked. Once a hairdresser’s saloon doubles the price, it can pay twice higher salaries. However, the problem is that the owners know that if they increase prices, but keep wages unchanged, they will double their profit.

I hope that the next general elections will be won by the party who can create jobs so that wealth of Estonians continues to grow. Wage growth itself will not be sufficient, because often it comes at the expense of some other sector. The trick is to take money away from foreigners.

We need higher prices to increase our wealth. It’s unfair that price of hairdresser’s services in Tallinn and Helsinki differs twice because Finns are saving money by taking advantage of the fact that skilled and hardworking Estonian hairdressers are selling their services so cheaply.

At present the Estonian state is paying the Opera and Ballet Theatre Estonia 52 euros per every theatre visitor. While most of the audience is Finnish, Estonian actors and artists who only receive a meager salary are miserable, stressed and unhappy.

Our average wealth is 21,000 euros, while the average for Finns is 113,000 euros. To say nothing of Luxembourg, where the average is 215,000 euros, or ten times the Estonian level.

My suggestion is to increase prices as much as possible. If we talk about services, there is plenty of room to grow. After all, we are in the Scandinavian economic zone.

So, demand as much money for your skills and input as possible. If the prices go up, so do wages. Export as much as you can – export markets are much more stable markets than Estonia. Invest your money wisely and don’t consume too much – be greedy and make your wealth grow. Appreciate money and profit: a profit of 1,001 euros is much more than just 1,000 euros.

This is the way to become rich. We all deserve to have at least 50% of the wealth of average Finns.


Leave a reply

  1. Olaf says:

    What a bunch of stupidities.2000 euros for a truck driver we are not in Denmark.Estonia is not in the scandinavian economic zone but in a group of european countries made up others baltics Romania and Bulgaria and then for decades to come .So stop dreaming.

    Thumb up 0 Thumb down 0

To avoid shaking the government, Kučinskis skirts around sensitive citizenship matter

Latvian Prime Minister Māris Kučinskis decided not to risk stability of his government. Because of that, he decided not to into detail about Latvian President Raimonds Vējoņis’ proposal to stop issuing non-citizen status to newborns in Latvia, which is something the National Alliance objects to.

Russia deems UN inquiry in Crimea illegal

Responding to the findings by UN observers that Russia is seriously violating human rights in Crimea, a senior Russian diplomat has noted that their conclusions have no legitimacy as the UN monitoring mission only had powers to assess human rights situation in Ukraine.

Programme: criminal process for Tokyo City envelope wages case commences

Following voiced suspicions regarding payment of envelope wages and tax avoidance at Tokyo City public catering company, Latvian State Revenue Service’s Finance Police has commenced a criminal process, as reported by LTV Aizliegtais paņēmiens programme with reference to unofficial information.

Unified tax account to be created for payments processed by SRS

Latvian Cabinet of Ministers intends to review Finance Ministry’s prepared legislative draft for amendments to the Law on Taxes and Duties. The legislative draft provides for improving the tax administration process and reducing administrative burden, including costs, for taxpayers.

Estonian road carriers fear loss of competitiveness due to fuel excise hikes

Road logistics companies in Estonia dissatisfied with higher fuel duties considerably affecting their competitiveness in the region have turned to the Estonian parliament asking to find solutions to the situation.

Meat products may become 15-20% more expensive in Latvia this year

Pork prices started growing in the second half of last year. The current trend shows that prices will continue growing this year. This means meat product prices may grow 15-20% this year, says meat processing company Forevers chairman Andrejs Ždans.

Lithuanian government saved by Social Democrats, disobeying party’s decision

The current Lithuanian cabinet of ministers has been saved by an unexpected U-turn from social democrat members of parliament, who disobeyed their party’s decision to leave the ruling coalition.

Altum and EIF programme to allocate 15 million euros for businessmen

Altum development finance institution has signed a long-term cooperation agreement with European Investment Fund, which will provide guarantees for businessmen worth EUR 15 million as part of Cosme programme.

Ports will have to install cargo evaporation emission control systems

It is planned that Latvian port terminals engaged in oil products or dangerous chemical substances will have to introduce evaporation emission control systems starting from 1 January 2022, which is provided by Environmental Protection and Regional Development Ministry’s developed amendments to the Law on Pollution.

Poland’s Duda to-and-fro with another justice reform

The President of Poland Andrzej Duda has announced and on the same day withdrawn proposals that would give the President a final say in appointing judges, after it became clear that there would be no parliamentary majority in parliament for the move.

airBaltic ticket prices expected to decline next year

Prices of tickets for flights of Latvian national airBaltic airline may decline somewhat next year, says airBaltic CEO Martin Gauss.

Merkel wishes to regain voters lost to anti-Islam party

German Chancellor Angela Merkel, after her Christian democrats won the Bundestag election with their worst result in 70 years, has expressed a wish to regain the support of voters lost to the anti-Islam right-wing party Alternative für Deutschland.

Does Lembergs lie in court when he denies participation in multiple foreign businesses?

On Monday, 25 September, infamous Ventspils resident Aivars Lembergs, who stands accused of serious crimes, denied his participation in multiple foreign businesses.

WM: the plan to increase family benefits requires additional EUR 12 million

Because of funding deficit, Welfare Ministry offers correcting the size of state benefits for first, second and every following child in a family, Diena wrote with reference to Welfare Minister Jāņis Reirs.

UN: Russia committing grave human rights violations in occupied Crimea

According to a UN human rights reports, Russian authorities in the occupied Crimea have performed serious violations of human rights with forcing its citizenship and prisoner deportation allegedly being among them.

Ministry: Latvia has resettled 65% of the planned number of refugees

In the two years provided for the completion of the established asylum seeker resettlement project, Latvia has resettled 346 out of 531 asylum seekers, explains Interior Affairs Ministry. This means Latvia will not face sanctions for non-compliance with commitments.

70 electric car recharge stations to be built in Latvia

70 electric car recharge stations are planned to be built in Latvia before the middle of 2018, as reported by Road Traffic Safety Directorate representative Rolands Rumba.

Wild animals to be kept away from Rail Baltica by warning sounds, less fences

A study is conducted in Estonia with researchers suggesting that part of the fences planned for the upcoming Rail Baltica railway could be substituted with sonic animal repellers.

Sprūds: Germany can expect very hard compromises coming after elections

Germany can expect heavy compromises after the recent elections, said director of Latvia’s Foreign Policy Institute Andris Sprūds in an interview to 900 seconds programme of LNT.

Making of biomethane fuel to be supported in Estonia

In Estonia, applying for state subsidies for the production of biomethane will open from 2018 and the Baltic country seeks to increase the consumption of the domestically produced and more environmentally friendly fuel.

Rinkēvičs: UN Security Council’s work on preventing mass crimes is ineffective

«Unfortunately, the veto right privilege of countries represented in the UN Security Council is often abused, which results in paralysis of the council’s work,» says Latvian Foreign Affairs Minister Edgars Rinkēvičs.

Statue to Kalashnikov features Nazi gun

From the monument to Russian arms inventor Mikhail Kalashnikov, unveiled in Moscow last week, an image of a German firearm has been cut after it has been depicted by mistake as a variation of the AK-47 gun.

Exporters look at air freight opportunities at Riga airport

Last week, representatives of more than 40 Latvian exporting companies gathered at Riga International Airport to look at air freight opportunities offered by the airport and companies working there.

KNAB launched seven separate corruption cases in healthcare in last three years

Corruption Prevention and Combating Bureau submitted to the prosecutor’s office a total of seven criminal processes regarding corruption in Latvia’s healthcare system in the last three years.

German election ends with record-low win for Merkel’s Christian democrats

Federal parliamentary election has been held in Germany and Christian democrats, led by long-time Chancellor Angela Merkel have won, but anti-immigration Alternative für Deutschland have gained their first seats in the federal parliament.