Salary advance frightens experts.
Postimees Digest, Monday, September 2
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The Bank of Estonia fears that wages are growing too fast in Estonia in a situation where economic growth remains modest. Average gross salary was up 8.5 percent in the II quarter year-over-year amounting to 976 euros a month. The last time salaries grew this quickly was in early 2008. "Such salary advance is in conflict with very slow economic growth and reduced productivity. Provided economic growth fails to pick up considerable speed in the near future, the wage rally is set to slow down," said central bank economist Orsolya Soosaar. Real earnings are also on the rise for the second year in a row (up 5 percent in QII) and average purchasing power is close to the pre-crisis level. Analysts give as reasons for the rapid salary advance the recent 10 percent minimum wage hike, new salary agreements of medical professionals and teachers and people's willingness to go abroad should employers refuse to hike salaries.
Environment ministry: the railroad cannot endanger the environment.
The Ministry of the Environment finds that while rail traffic is no doubt one of the more sensible and environmentally friendly modes of transport, decision-makers need to keep environmentally valuable areas in mind when laying down the route for the Rail Baltic project. Minister Keit Pentus-Rosimannus writes in her letter to Harju, Rapla and Pärnu county governments that the ministry believes Estonia should rule out routes that could potentially damage the Witches' Well in Tuhala and the Nabala karst area. The minister's letter also urges county governments to keep in mind planned conservation areas and the Natura 2000 ecological network in Estonia. Relevant local governments will hold public discussions regarding the course of the railroad in October. The exact route should be decided by 2015.