Lithuania

• New Year’s Day
• Independence Day
• Restoration of Independence Day
• Easter Sunday
• Easter Monday
• Labour Day
• St. John’s Day
• Anniversary of the Coronation of King Mindaugas
• Assumption Day
• All Saints’ Day
• All Souls’ Day
• Christmas Eve
• Christmas Day
• Second Day of Christmas

Working Hours

Employees can work up to eight hours a day, or 40 hours per week. This can be extended to 48 hours including overtime.

Minimum Wage

EUR 840 per month (based on 12 annual payments).

Employee Tax

Annual income	Tax rate
Up to EUR 101,094	20%
More than EUR 101,094	32%
Social security contribution	Variable rate*

*Rate depends on source and amount of income.

Bonuses

There are no statutory bonus schemes in Lithuania.

Employment contracts must be written in accordance with the model form established by Lithuanian law. The parties must agree on the place of work, job title and responsibilities, and salary.

In addition to indefinite and fixed-term contracts, the following are recognised:

• Project-based employment contract
• Job-sharing employment contract
• Employment contract for several employers
• Apprenticeship employment contract

Annual Leave

Minimum of 28 days’ paid holiday for most workers. Employees who are under 18 or meet certain other criteria may be entitled to up to 58 days’ paid holiday.

Additional paid holiday is granted to employees working in certain hazardous environments, meaning they don’t conform to normal working hours.

Sick Leave

Employees can retain their position for up to 140 consecutive days. If they are unable to work after this period, the contract can be terminated with notice.

Some employees can claim state social insurance benefit when they are unwell.

Parental Leave

• Maternity leave: at least 126 days' paid leave.
• Paternity leave: none.
• Parental leave: available to parents, until the child is three years old.

Termination Process

Employers in Lithuania can terminate a contract, provided they give notice in line with legal requirements.

Employers can dismiss employees without notice on grounds of misconduct and negligence, provided disciplinary sanctions have been imposed at least once in the last year.

Employees can also terminate a contract by giving at least 14 days' notice.

Severance Pay

Employees are entitled to one month's average wage if they have less than one month's service, rising incrementally to six months' average wage after 240 months.

Under a Mauve Group Employer of Record solution, clients and workers can reap the benefits of Mauve’s Global Master Insurance Programme – a market-leading unified corporate insurance programme that connects all Mauve entities to its two preferred providers.

The insurance provides coverage in overseas locations through a combination of the master policy and its linked local policies, where required by law in certain jurisdictions. The policies include:

• Employer’s Liability and Public Liability - £10,000,000 combined limit.
• Professional Indemnity - £5,000,000 limit.
• Worker’s Compensation – Limit is dependent on location of work.

For specific information about statutory and recommended insurances in your chosen country, get in touch with Mauve.