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Lithuania

Background information on industrial relations in Lithuania

  • 17 Nov 2011
    Lithuania: Conflict continues over brewery strike ban

    Trade unions representing workers at Lithuania’s biggest brewery, UAB Svyturys-Utenos Alus, have complained to the government and international organisations that a court ban on their planned industrial action restricts the constitutional right to strike. The strike was announced in June 2011 after unions failed to reach an agreement with management on pay. However, the company successfully challenged the strike in the courts where it has been declared illegal.

  • 11 Aug 2011
    Lithuania: Trade unions press for minimum wage increase

    The minimum wage in Lithuania was last increased more than three years ago in January 2008. It is almost the lowest among the 27 members of the EU, currently equal to LTL 800 (€232). Trade unions have wanted to increase it for almost a year, but their demands have been rejected by both government and parliament. Employers’ organisations are also split on the issue. Unions have now approached Lithuanian Members of the European Parliament, ETUC and EESC to ask for their help.

  • 01 Aug 2011
    Lithuania: Lithuania: The representativeness of trade unions and employer associations in the banking sector

    Approximately 1.5% of all employees in Lithuania work in the banking sector and this share has increased slightly since 2000. There are two employer associations in the sector and no trade unions. The sectoral density of employers’ organisations in terms of companies is approximately 30%, but in terms of employees working in the member companies it is more than 60%. However as sectoral employer organisations do not have a partner for social dialogue, collective bargaining does not actually take place in the sector (with the exception of at least one bank, where a collective agreement is signed with the works council).

  • 01 Aug 2011
    Lithuania: Lithuania: EIRO CAR on ‘Helping young workers during the crisis: contributions by social partners and public authorities’

    Since 2008, major debates regarding the labour market situation of youth in Lithuania have been mainly related to extremely high unemployment rates in youth - in the 2nd quarter 2010, youth unemployment rate reached 37%. According to employers and trade unions, the main reason of high youth unemployment lies in their training and skills which do not match the labour market demands. In order to change the existing situation, several measures were drafted and adopted in mid-2010 with a view to improving the situation of young employees in the labour market. Among other measures, young people became a category of persons additionally supported in the labour market and the tax burden was eased for employers who admit young people to work.

  • 21 Jun 2011
    Lithuania: Trade unions finally organise a long-planned rally

    Unions finally organised a mass protest in Lithuania, on 19 March, after a two-year wait. The rally had been repeatedly postponed, partly due to the 2010 National Agreement, which resulted in no demonstrations at all for a year. This was followed by repeated setbacks and delays. At the rally, in Vilnius, unions called for a rise in the minimum wage, the introduction of progressive taxes, greater employment, increased pensions, and a cut in value added tax on basic foodstuffs.

  • 21 Jun 2011
    Lithuania: Changes to trade union law finally approved

    Long-awaited changes to trade union law were agreed by the Lithuanian government at the beginning of March. Attempts to align labour laws with the European Social Charter, and to allow anyone, including students, the unemployed and retired people, to join or set up a union have failed many times due to disagreement between the relevant parties. The Lithuanian parliament is expected to agree the changes, which also aim to promote social dialogue, by autumn at the latest.

  • 15 Jun 2011
    Lithuania: Lithuania: EIRO CAR on ‘SMEs in the crisis: Employment, Industrial Relations and Local Partnership’

    Though development of small and medium business is one of the prioritised policy trends in Lithuania, the situation remains to be unsatisfactory in this area in spite of numerous efforts taken by the Government and social partners to improve it. Employee representation by trade unions and works councils in small (up to 50 employees) enterprises in Lithuania is one of the lowest among all EU countries. Local partnerships are also very rarely set up by social partners in Lithuania.

  • 14 Jun 2011
    Lithuania: Lithuania: Representativeness of the European social partners organisations – Public administration sector

    There are two sectoral trade union organisations in Lithuania’s public administration sector. One of them unites civil servants and the other one represents statutory civil servants. These two organisations represent some 7% of public sector employees. There is no sectoral employer organisation in Lithuania. Consequently, there is no collective bargaining in the sector or sectoral collective agreements. According to trade union representatives, there are about 20 collective agreements signed on enterprise level, but all basic employment conditions for this sector are regulated by public legislation.

  • 11 May 2011
    Lithuania: Lithuania: The representativeness of trade unions and employer associations in the commerce sector

    Lithuania’s commerce sector has expanded considerably in recent years and accounts for over 17% of total employment in the country. Of these workers 57% are women. Three sectoral trade unions and one employer organisation operate in the commerce sector. However, sectoral collective bargaining does not take place in the sector. Some enterprise-level collective agreements are signed but they cover only a small proportion of commerce sector employees.

  • 29 Apr 2011
    Lithuania: Social partners discuss how to raise minimum wage

    Negotiations to raise the monthly minimum wage in Lithuania have been going on for nearly six months. The social partners have agreed it should be increased to LTL 900 (€261) from July 2011, with a further rise from January 2012. However, they cannot finalise the deal because they cannot agree over how much of the wage should be untaxed. The last rise was in January 2008. Studies have shown that, in the EU, Lithuania’s minimum rate is higher only than that of Romania and Bulgaria.

  • 21 Apr 2011
    Lithuania: Representativeness study of the European social partner organisations: Education sector – Lithuania

    The aim of this representativeness study is to identify the respective national and supranational actors (i.e. trade unions and employer organisations) in the field of industrial relations in the education sector in Lithuania. In order to determine their relative importance in the sector’s industrial relations, this study will, in particular, focus on their representational quality as well as on their role in collective bargaining.

  • 14 Feb 2011
    Lithuania: Lithuania: Industrial Relations in the Health Care Sector

    In Lithuania, health care services are mainly provided by budgetary institutions which funding depends on the decisions made by the State. Similarly, two trade unions and one employer organisation functioning in the sector mainly represent public-sector employees and employers . The primary focus of these organisations is to negotiate with the government of the country, namely, with the Ministry of Health, in pursuit of the main objective – improvement of working conditions and wage increase in particular.

  • 11 Feb 2011
    Lithuania: Employers and government promote incentives to work

    The financial crisis has led to increased unemployment, growing numbers of illegal workers and a higher proportion of workers on the minimum wage in Lithuania. However, there is concern that the current system of social benefits does not encourage people to join the labour market. In November 2010, the Lithuanian Confederation of Industrialists broadly backed the recommendations made by a government working group set up by the Prime Minister to promote incentives to work.

  • 28 Jan 2011
    Lithuania: Social partners discuss renewal of national agreement

    The national agreement, signed between the Lithuanian government and social partners in October 2009, expired at the end of 2010. The social partners feel the agreement is crucial to the development of relations between them and the government, even though it has not been fully implemented. Suggestions for a new agreement include calls for more involvement of the social partners, proposals to combat the shadow economy and for reforms in education, health and social security.

  • 19 Jan 2011
    Lithuania: The effect of the Information and Consultation Directive on Industrial Relations in Lithuania five years after its transposition

    In Lithuania, there are no statistics on the incidence of information and consultation bodies at undertaking- and/or establishment-level. There also is no research or systematic information on the implementation of information and consultation procedures in Lithuanian undertakings. Information and consultation procedures are defined in the Labour Code as compulsory procedures in cases provided for by the law rather than as information and consultation bodies. The Labour Code stipulates that under ordinary circumstances an employer must inform and consult employee representatives, i.e., trade unions or works councils. In case of restructuring of the undertaking, making decisions on collective redundancies or other decisions that may affect the labour organisation or the legal position of employees, when there are no employee representatives in the undertaking, an employer must inform employees in person or at the general meeting of employees. Unfortunately, information and consultation procedures are actually absent in practice in undertakings without functioning trade unions or works councils (or in some 70% of Lithuanian undertakings). If information and consultation procedures are held, they exclusively depend on the understanding and the good will of the employers.

  • 11 Jan 2011
    Lithuania: Lithuania: EIRO Annual Review – 2009

    With a view to coping with the consequences of the economic and financial crisis, in 2009 the Government of the Republic of Lithuania pursued a strict fiscal policy. In order to introduce unpopular measures and to ensure social peace, the Government initiated signing of a national agreement where, together with representatives of employers and employees, agreed to look for solutions that would be satisfactory for all the parties during the crisis.

Page last updated: 17 May, 2012