Law Firm ALTERNA’s partner and attorney-at-law Annika Vait explained in her recent blog post, who has the preferential right of keeping the job in case of lay-off.

In case of lay-off pursuant to Section 89(1) of the Employment Contracts Act, the employer shall keep in mind a specific preferential right of keeping the job. The law foresees that upon cancellation of an employment contract due to lay-off, the employees’ representative and an employee who is raising a child under three years of age have the preferential right of keeping their job.

At the same time, there is also one exception to this rule: the preferential right of keeping the job does not apply when the activities of employer are cessated, when the employer declares bankruptcy or when the employer’s bankruptcy proceedings are terminated by abatement (Section 89(2) of the Employment Contracts Act).

In case of lay-off the employer shall also take into account the principle of equal treatment established in Section 89(4) of the Employment Contracts Act.


See the blog post on Addenda’s home page here:


Questions related to this post can be discussed with Annika by e-mail on or by calling +372 680 6850.