OREANDA-NEWS. February 17, 2011. The Estonian economy is growing for the fifth quarter in a row. The recovery has also been reflected in employment, which posted a growth of 2.2%, year-on-year, in the fourth quarter of 2010, reported the press-centre of Eesti Pank.

The decline in employment, which lasted for nearly two years, ended in the second quarter of 2010, when employment increased by 0.9% on the first quarter. At the time it was not possible to say whether it was the start of a recovery in employment or merely a seasonal change. However, the labour market continued to stabilise in the next quarters as well and the recovery in employment went on.

The unemployment rate decreased gradually throughout 2010, reaching the same level (13.6%) in the fourth quarter of 2010 than a year and half earlier. A large share of the decline in unemployment was reflected in an increase in employment. The number of people looking for work did not go up, but decreased by 300 relative to the same period a year ago.

Although export and manufacturing growth rates posted unprecedented records at the end of 2010, employment did not immediately start soaring. For instance, in manufacturing, it grew by 14,600. The last time manufacturing had such employment level was three years ago. New orders are currently still met by increasing working hours and productivity, but with economic growth continuing, employment should also keep growing.