Engagement Guide
Lithuania

In Lithuania, fixed-term contracts may be used for temporary roles or specific projects, with a maximum duration of 2 years for successive contracts in the same position. The total period may extend up to 5 years when job functions change or when replacing a temporarily absent Worker. A fixed-term contract ends automatically on the agreed date or earlier by mutual agreement and converts to an indefinite contract if the engagement continues past the expiry date. A probationary period of up to 3 months is permitted, during which termination may occur with 3 days’ notice and no severance if unsuitability is established. Since fixed-term contracts may only be used in certain cases, that can limit its availability. Normallly, if a fixed-term contract is ended early, the worker must be compensated for the remaining term unless a specific lawful reason for termination applies. Those include things such as a disciplinary dismissal under Article 58 of the Labour Code (no compensation for remaining term and termination can be immediate) or termination for objective reasons under Article 57 (requires notice and statutory severance rather than the remainder of the agreement).

In Lithuania, indefinite contracts have no fixed end date and remain in effect until terminated by either party. Termination requires written notice, with the length depending on the Worker's tenure. Two weeks notice is required for less than one year of service and one month for over one year. Terminations may occur for performance-related or organizational reasons, but additional protections apply to certain groups, including pregnant employees and those nearing retirement. Workers are entitled to severance pay upon termination, calculated based on their length of service: half a month’s average wage for less than one year, two months’ salary for one to two years, and five to six months’ salary for over two years of service.

Fixed-term contracts in Lithuania may be extended, but strict limits apply to prevent continuous renewals. The total duration of successive fixed-term contracts for the same position cannot exceed two years, after which the contract automatically converts to indefinite. Exceptions apply for temporary vacancies or changes in job duties, allowing extensions up to five years for different roles

Indefinitely.

Workers must receive two weeks’ notice if they have less than one year of service and one month’s notice if they have more than one year. The notice period doubles for workers within five years of retirement, those raising a child under 14, caring for a child with a disability under 18, or employees with disabilities.

Workers are entitled to severance pay based on their length of service: half a month’s wage for less than one year, two months’ salary for one to two years, and five to six months’ salary for over two years of service. Workers dismissed due to redundancy receive additional severance: 77.58% of one month’s average salary for 5–10 years of service, two months for 10–20 years, and three months for over 20 years. All accrued and unused annual leave must also be paid upon termination.

Workers must be told their reason for termination.

No.

In Lithuania, Workers are provided a range of statutory benefits including a minimum of 20 days’ paid annual leave for full-time employees and paid public holidays. The state pension system, unemployment insurance and health-insurance contributions are mandatory. Maternity leave is available (typically 126 calendar days) and paternity leave is also required. For sick leave, the Worker is paid the first two days; thereafter benefits are paid by the state social insurance fund.A "13th-month bonus" is frequently paid as a year-end bonus, though it is not a legal requirement.