Living and working in Lithuania

18 Octubre 2017

  •   Population: 2.8 million (2017)
  •   Real GDP growth: 2.3% (2016)
  •   Unemployment rate: 7.9% (2016)

Data source: Eurostat

Eurofound provides research, data and analysis on a wide range of social and work-related topics. This information is largely comparative, but also offers country-specific information for each of the 28 EU Member States. Most information is available in English but some has been translated to facilitate access at national level.

Eurofound strives to strengthen the ongoing link between its own work and national policy debates and priorities related to quality of life and work. Increasingly important in this context is the Europe 2020 growth and jobs strategy launched in 2010, which has five headline targets, covering employment through to social inclusion and poverty reduction. The strategy is implemented in the context of the European Semester process – the EU's annual cycle of economic policy guidance and surveillance – which ensures that Member States keep their budgetary and economic policies in line with their EU commitments through, in part, National Reform Programmes. These programmes form the basis for the European Commission's proposals for country-specific recommendations (CSRs) for each Member State.

European Commission: The European Semester
European Commission: The European Semester - EU country-specific recommendations
European Commission: European Semester documents for Lithuania

2015 Eurofound EWCS survey results in Lithuania: 37% of people consider their job affecting their health negatively

The country page gives access to Eurofound's most recent survey data and news, directly related to Lithuania:



Read the highlights for 2017 for working life in Lithuania

Survey results

Ability to choose or change
methods of work

Data source: 2015 EWCS survey

Possibility to accumulate overtime
for days off

Data source: 2013 ECS survey

Recent developments

Eurofound contacts in Lithuania

Correspondents in Lithuania

Correspondents report on topics related to developments in the countries working life and inform Eurofound’s pan-European comparative analysis. Read more

Labour Market Research Institute DRTI of the Lithuanian Social Research Centre LSTC

Eurofound governing board members from Lithuania

Eurofound's Governing Board represents the social partners and national governments of all Member States, as well as the European Commission. Read more

Rita Skrebiškienė​ Ministry of Social Security and Labour

Danukas Arlauskas Lithuanian Business Employer's Federation

Kristina Krupavičienė Lithuanian Trade Union 'Solidarumas' (LPS)

Related content

Other country-specific information may be available in certain areas on demand. Please feel free to contact your country contact at Eurofound for this or any other information at information@eurofound.europa.eu

Living in Lithuania

Quality of life

Quality of life

Overall, the quality of life indicators have experienced positive developments in Lithuania during the years of observation in Eurofound’s European Quality of Life Survey (EQLS). Life satisfaction has increased in Lithuania in recent years, from 5.4 in 2003 to 6.5 in 2016, therefore advancing towards the respective EU28 average of 7.1 (on a scale of 1–10). Similarly, the share of respondents reporting difficulties in making ends meet has decreased from 84% in 2003 to 57% in 2016. However, the share is still higher than the EU28 average of 39% in 2016. In 2016, 69% of respondents in Lithuania were optimistic about their children’s or grandchildren’s future, which was higher than the average of 57% for the EU28 respondents.

  2003200720112016
Life satisfactionMean (1-10)5.46.36.76.5
Taking all things together on a scale of 1 to 10, how happy would you say you are?Mean (1-10)6.57.37.07.0
Optimism about own futureAgree & strongly agree---63%
Optimism about children’s or grandchildren’s futureAgree & strongly agree---69%
Take part in sports or physical exerciseAt least once a week--33%38%
In general, how is your health?Very good-11%11%11%
WHO-5 mental wellbeing indexMean (1-100)-585862
Making ends meetWith some difficulty, difficulty, and great difficulty84%64%68%57%
I feel I am free to decide how to live my lifeStrongly agree--24%28%
I find it difficult to deal with important problems that come up in my lifeAgree & strongly agree---26%
When things go wrong in my life, it generally takes me a long time to get back to normalAgree & strongly agree---28%

Work-life balance

Work-life balance

Based on the EQLS, the perceived work–life balance in Lithuania is relatively close to the EU28 average. In 2016, 53% of respondents in Lithuania have reported coming home too tired from work to do some of the household jobs which need to be done at least several times a month, compared with the EU28 average of 59%. Also, 41% of respondents in Lithuania said they found it difficult to fulfil family responsibilities because of work at least several times a month, compared with the EU28 average of 38%. Regarding the third work–life balance indicator, 21% of respondents said they found it difficult to concentrate at work because of family responsibilities, while the respective EU28 average was 19%.

  2003200720112016
(At least several times a month)   
I have come home from work too tired to do some of the household jobs which need to be doneTotal52%53%43%53%
Men46%54%39%50%
Women58%52%47%56%
      
It has been difficult for me to fulfil my family responsibilities because of the amount of time I spend on the jobTotal37%40%32%41%
Men37%43%31%40%
Women36%36%33%42%
      
I have found it difficult to concentrate at work because of my family responsibilitiesTotal12%15%11%21%
Men11%15%9%19%
Women13%15%13%23%

Quality of society

Quality of society

Perceived tensions between poor and rich people have decreased in Lithuania since 2011, from 60% reporting a lot of tension in 2011 to 51% in 2016. However, this is still significantly higher than the EU average of 29% in 2016. An opposite development can be observed in perceived tensions between different racial and ethnic groups: the share of respondents reporting a lot of tensions has increased continuously since 2003, reaching 20% in 2016. Yet, this share remains much lower than the EU28 average of 41% in 2016.

  2003200720112016
Social exclusion indexMean (1-5)-2.42.42.2
Trust in peopleMean (1-10)5.04.44.74.6
Involvement in unpaid voluntary work% 'at least once a month'--8%5%
Tension between poor and rich people% reporting 'a lot of tension'62%47%60%51%
Tension between different racial and ethnic groups% reporting 'a lot of tension'11%16%16%20%
I feel safe when I walk alone after darkStrongly agree---24%

Quality of public services 

Quality of public services 

Quality ratings for seven public services

Note: scale of 1-10, Source: EQLS 2016.

The perceived quality of many public services has increased in Lithuania in the recent years of observation in the EQLS. For instance, the perceived quality of health services increased from 5.1 in 2003 to 6.3 in 2016, but was still lower than the EU28 average of 6.7 in 2016 (on a scale of 1–10). Similarly, the perceived quality of public transport increased from 6.3 in 2003 to 7.0 in 2016, rising above the EU28 average of 6.6. However, the perceived quality of the state pension system has decreased in Lithuania from 5.0 in 2003 to 3.8 in 2016, which is also lower than the EU28 average of 5.0.

  2003200720112016
Health servicesMean (1-10)5.35.25.26.3
Education systemMean (1-10)6.06.16.06.5
Public transportMean (1-10)6.36.76.27.0
Childcare servicesMean (1-10)-6.66.46.9
Long-term care servicesMean (1-10)--5.56.0
Social housingMean (1-10)--5.54.9
State pension systemMean (1-10)5.04.44.03.8

Working life in Lithuania

About

  • Autor: Inga Blaziene and Rasa Zabarauskaite
  • Institution: Lithuanian Social Research Centre
  • Published on: Viernes, Julio 27, 2018

This profile describes the key characteristics of working life in Lithuania. It aims to complement other EurWORK research by providing the relevant background information on the structures, institutions and relevant regulations regarding working life. This includes indicators, data and regulatory systems on the following aspects: actors and institutions, collective and individual employment relations, health and well-being, pay, working time, skills and training, and equality and non-discrimination at work. The profiles are updated annually.

 

Highlights – Working life in 2017

Highlights – Working life in 2017

Authors: Inga Blaziene and Rasa Mieziene, Lithuanian Social Research Centre
Working paper: Lithuania: Developments in working life 2017

2017 could be deemed as the year in which the increasing role of social dialogue in the policy making process began in Lithuania. Prime Minister Saulius Skvernelis and the Minister of Social Security and Labour, Linas Kukuraitis, as well as number of the members of parliament declared their support for greater visibility and impact of the social dialogue on policy making processes in the country. At the beginning of 2017, the recently elected government and newly formed parliament provided social partners the possibility to review controversial provisions of the new Labour Code adopted by the previous parliament in mid-2016.

Signing of the National agreement on reforms necessary for the country’s economic growth was initiated and discussed by the government, employers and trade unions for almost a year, with the agreement finally signed in October 2017.

In 2017, sectoral collective agreements were signed in the education and healthcare sectors covering (for the first time) wage-related issues.

The main development, affecting working life in Lithuania was the new Labour Code that came into force on 1 July 2017. Although it is too early to evaluate what impact it will have on the country, it is clear that it will affect many areas, including both individual and collective industrial relations.

Looking forward, 2018 will see the reformation of the Tripartite Council of the Republic of Lithuania (LRTT) (which must start operating no later than 1 July), the initiation of the signing of National (inter-sectoral) collective agreement on employee representation and night work (social partners initiated discussions in January), the possible expansion of instrumentation and control practices through the mass establishment of works councils (according to the new Labour Code, the final date of obligatory establishment of works councils in companies with more than 20 employees was the end of February), and the possible amalgamation of some national-level trade unions.

Key figures

Key figures

Comparative figures on working life in Lithuania

 

2012

2017

% (point) change
2012–2017

Lithuania

EU28

Lithuania

EU28

Lithuania

EU28

GDP per capita

10300

25700

12700

27600

23.3%

7.4%

Unemployment rate – total

13.4

10.5

7.1

7.6

-6.3

-2.9

Unemployment rate – women

11.6

10.6

5.7

7.9

-5.9

-2.7

Unemployment rate – men

15.2

10.4

8.6

7.4

-6.6

-3.0

Unemployment rate – youth

26.7

23.3

13.3

16.8

-13.4

-6.5

Employment rate – total

71.8

71.7

75.9

73.4

4.1

1.7

Employment rate – women

70.1

65.5

74.6

67.9

4.5

2.4

Employment rate – men

73.7

77.8

77.4

78.9

3.7

1.1

Employment rate – youth

29.3

42.4

35.0

41.7

5.7

-0.7

                 

Source: Eurostat - Real GDP per capita (chain linked volumes [2010], in EUR) and percentage change 2012-2017 (both based on tsdec100). Unemployment rate by sex and age - annual average, % [une_rt_a]; Employment rate by sex and age - annual average, % [lfsi_emp_a].

Background

Background

Economic and labour market context

Between 2012 and 2017, there was robust growth in GDP (23.3%), while the EU average GDP growth was 7.4% during the same period. Unemployment rates fell substantially during the five years, in particular youth unemployment (down 13.4 percentage points); the 2017 unemployment rate for this category was 13.3%, below the EU average of 16.8%. Total unemployment was 7.1%, compared to the EU average of 7.6%. Employment rates increased in 2012–2017, with the largest increase among young people (5.7 percentage points), in contrast to the EU average decrease of 0.9 percentage points for the same period. Youth employment, at 35%, remained lower than the EU average of 41.7% in 2017.

Legal context

In Lithuania, labour relations (both individual and collective) of workers hired under employment contracts are regulated by the Labour Code of the Republic of Lithuania No XII-2603 (Labour Code). The mentioned legal act was adopted by the Lithuanian Parliament on 14 September 2016 and it came into force on 1 July 2017. The new Labour Code liberalised work regulation and legitimised more flexible relations between employers and employees in Lithuania.

Certain aspects of employment relationships of civil servants (their status, remuneration for work, etc.) are regulated in Lithuania by the Law on the Civil Service No VIII-1316, in force from 8 July 1999.

The procedure of establishing and functioning of trade unions is regulated by the Law on Trade Unions of the Republic of Lithuania, No I-2018, approved on 21 November 1991.

The status of works councils, the procedure for their establishment, and other aspects of their activities are regulated by the new Labour Code, which has replaced the former Law on Works Councils of the Republic of Lithuania. The Law Amending the Law of the Republic of Lithuania on European Works Councils No XI-1507 is also valid in Lithuania.

Industrial relations context

The history of independent Lithuanian trade unions and employers’ organisations is relatively short. Though trade union density during the Soviet period was very high, Lithuanian unions began to play a more substantial role in industrial relations only after the reconstitution of independent Lithuania at the beginning of the 1990s.

During the Soviet period, the government was the only employer and independent employers’ organisations were established only after 1990.

The new Labour Code valid since 1 July 2017 established representativeness criteria for social partners to be represented at the Tripartite Council of the Republic of Lithuania (LRTT). At the beginning of 2018, four trade unions and six employers’ organisations were represented at the LRTT. Trade unions comprise: Lithuanian Trade Union Confederation, Lithuanian Trade Union ‘Solidarumas’, the National Joint Trade Union and the Federation of Lithuanian Trade Unions Sandrauga’ (as the last two confederations do not meet all of the criteria for membership of the Council, (they are not members of any international/European trade union confederation) they share a single seat in the Council (they joined the Council in 2017 only). Employers’ organisations comprise: the Lithuanian Confederation of Industrialists, the Confederation of Lithuanian Employers, the Association of Lithuanian Chambers of Commerce, Industry and Crafts, the Chamber of Agriculture of the Republic of Lithuania, the Investor’s’ Forum and the Lithuanian Business Confederation (the last two joined the Council in 2017 only). These organisations participate regularly at the national-level social dialogue. The dominant level of collective bargaining in Lithuania is company level. Although sectoral level collective bargaining is least developed, in 2017 two sectoral collective agreements were signed in the education and health care sectors covering for the first time wage-related issues.

Actors and institutions

Actors and institutions

Trade unions, employers’ organisations and public institutions play a key role in the governance of the employment relationship, working conditions and industrial relations structures. They are interlocking parts in a multilevel system of governance that includes the European, national, sectoral, regional (provincial or local) and company levels. This section looks into the main actors and institutions and their role in Lithuania.

Public authorities involved in regulating working life

The main authority involved in regulating working life in Lithuania is the Ministry of Social Security and Labour (SADM). The SADM is responsible for labour policy making and organises, coordinates and controls the implementation of the policy.

The State Labour Inspectorate (VDI) supervises occupational safety and health, as well as compliance with laws regulating labour relations, other legislation and legal provisions on collective agreements.

The main national-level social dialogue institution – the LRTT – deals with social, economic and labour problems, and other issues of public relevance. It recommends solutions to the problems while implementing the principle of social partnership.

The Civil Service Department (VTD) ensures compliance with the Law on the Civil Service of the Republic of Lithuania and other legal instruments related thereto in Lithuania.

The new Labour Code introduced a new definition of collective disputes and some new features in their regulation. As of 1 July 2017, labour disputes are divided into two categories: (1) labour disputes (whether individual or collective) about rights; and (2) collective labour disputes about interests (before 1 July 2017, labour disputes in Lithuania were classified into individual labour disputes and collective labour disputes).

There are two bodies for settling disagreements between the employer and employee (that is, labour disputes about rights) – courts and labour disputes commissions (LDC). The latter (LDC) is a mandatory body for pre-trial hearing of individual labour disputes. LDC hearings are based on the tripartitism principle, involving participation of a VDI representative and social partners (that is, representatives of employer and employee organisations) in dispute hearings. The chair of the LDC is appointed by the Chief State Labour Inspector of the Republic of Lithuania and the other two members of the commission are appointed from among representatives of trade unions functioning within the jurisdiction of local VDI offices and of employer organisations.

The resolution system of collective labour disputes about interests covers disputes commissions, mediation and labour arbitration.

The main tripartite OHS institution in Lithuania is the Commission to the LRTT for Occupational Safety and Health.

Representativeness

The new Labour Code valid since 1 July 2017 established representativeness criteria for the social partners to be represented at the Tripartite Council of the Republic of Lithuania (LRTT). The most important of these are membership in international organisations, having members or representatives in different regions/sectors, being active for at least three years, covering at least 0.5% of countries employees for TUs and having at least 3% of salaried employees of the country employed within their companies for employer organisations (for more details, see Art. 185 of the Labour Code).

The representativeness when concluding collective agreements is established by the organisation itself in its incorporation documents. For a trade union/employer organisation to have the right to conclude collective agreements at sectoral or cross-sector level, it has to state that it is a sectoral or national trade union/employer organisation in its by-laws (incorporation documents).

More information on representativeness of the main social partner organisations can be found in Eurofound’s representativeness study of the cross-industry social partners or in Eurofound’s sectoral representativeness studies.

Trade unions

About trade union representation

According to the Law on Trade Unions, natural persons having legal capacity in employment relationships shall have the right to freely join national, sectoral or local (territorial) trade unions and participate in their activities. Membership in a trade union founded at enterprise level or at structural-unit level shall be limited to employees of the enterprise or the structural unit concerned.

Information on trade union membership has been collected by the Lithuanian Statistics Service (STD) since 2006. Trade union membership in Lithuania in general is quite low and during the last decade it has been steadily decreasing. According to Lithuanian Statistics, between 2011 and 2016 the number of trade union members in Lithuania fell from 108.9 to 91.5, with trade union density thus falling from 9.7 % to 7.7 %.

Low trade union density is highly determined by the absence of social dialogue traditions at company level and some peculiarities of public and private sectors. For example, in the public sector, all the main employment and working conditions, including remuneration issues, are rather strictly regulated by the national legislation, therefore in the public sector usually there is too little room for manoeuvre for collective bargaining – this impedes rise in trade union membership in the sector. The Lithuanian economic structure also contributes to low trade union density. There is a high prevalence of companies with up to 50 employees accounting for more than 95% of the total number of entities operating in Lithuania and employing about 50% of the total number of workers of the country. As a rule, the smallest companies have the least developed industrial relations.

Trade union membership and trade union density

 

2010

2011

2012

2013

2014

2015

2016

Source

Trade union density in terms of active employees

10.1

9.7

9.0

8.4

8.1

7.9

7.7

Authors’ calculations based on Lithuanian Statistics data

Trade union membership in 1000s

112.6

108.9

102.3

95.3

94.2

92.0

n/a

Lithuanian Statistics data on membership organisations

Main trade union confederations and federations

At the beginning of 2018, four trade union organisations were represented at the LRTT. They participate regularly in national-level discussions/negotiations at the LRTT and also – some of them – in sectoral level bargaining. Most trade unions also participate in the dominant company-level collective bargaining.

Main trade union confederations and federations

Long name

Abbreviation

Members

Involved in collective bargaining

Lithuanian Trade Union Confederation

LPSK

27 sectoral TUs (2017)

50,000 members (1 February 2016)

Yes

National Joint Trade Union RJPS

4 sectoral TUs (2017)

n.a

Yes
Federation of Lithuanian Trade Unions ‘Sandrauga’ LPSF ‘Sandrauga’

8 sectoral and 8 regional TUs (2018)

10,000 members (2018)

Yes

Lithuanian Trade Union ‘Solidarumas’

LPS ‘Solidarumas’

19 sectoral and 21 regional TUs (2017)

10,500 members (2017)

Yes

In the past 20 years, the main trade union organisations appear to have been transformed from competing and confronting organisations into closely cooperating ones, acting on a coordinated basis. In recent years, there have been no fundamental changes in the background and general setting in which the trade unions operate.

Employers’ organisations

About employers’ representation

Employers have the right to join organisations that represent their interests in compliance with the principle of the freedom of association.

Information on employers’ organisations density has been collected by the STD since 2006. According to the STD, their density during 2006–2016 was rather stable – around 20% of companies operating in Lithuania were members of such organisations; this share started decreasing in recent years only – in 2016 it was close to 15.7% compared to 20.4% in 2013.

Main employers’ organisations

At the beginning of 2018, six employers’ organisations were represented at the LRTT. They participate regularly in national-level negotiations at the LRTT and some of them also participate in sectoral level bargaining.

Main employers’ organisations and confederations

Long name

Abbreviation

Members

Year

Involved in collective bargaining

Lithuanian Confederation of Industrialists

LPK

50 sectoral, 7 regional associations and 31 direct member companies.

Over 2,700 member companies in total 

2017

No

Lithuanian Business Employers’ Confederation

LDK

1,800 member companies

2017

No

Association of Lithuanian Chambers of Commerce, Industry and Crafts LPPARA 5 regional          associations 2017 No
Chamber of Agriculture of the Republic of Lithuania LZUR 45 regional and sectoral associations 2017 No
Investor’s’ Forum IF

56 member

companies

2017 No
Lithuanian Business Confederation ICC Lietuva 177 member companies 2017 No

Tripartite and bipartite bodies and concertation

There are several tripartite councils and commissions in Lithuania. Most are specialised and operate at national level, while some are also active at regional level. The main tripartite organisation, the LRTT, was established in 1995 following the agreement on trilateral partnership between the Lithuanian Government (LRV), the trade unions and the employer organisations in accordance with the provisions of the International Labour Organization (ILO) in its Tripartite Consultation (International Labour Standards) Convention (Convention No. 144) of 1976. According to the parity principle, the LRTT consists of 21 members, including seven representatives each from the trade unions, employer organisations and LRV. Several councils and commissions, dealing with particular areas of social and working life, function under the LRTT (in 2010 the number of committees/commissions was increased significantly); some might be bipartite committees/commissions (for instance, Bipartite Commission of Civil Servants).

According to the law, legislative drafts that are submitted to the government on relevant labour, social and economic issues should be agreed in advance with the LRTT. During 2012–2015, the main issues discussed at the LRTT were related to the new Labour Code, liberalisation of labour relations, the minimum monthly wage, and legislation regulating industrial relations, as well as current social and economic issues.

There are also other tripartite councils and commissions operating in some state institutions. As a rule they deal with the particular areas (for instance, education, labour market policy) or issues (for instance, European Social Fund, migration) that the institutions are responsible for.

Similar types of tripartite committees/commissions also function at regional level – there are tripartite councils of the regions, and various local level public institutions have tripartite committees/commissions.

Main tripartite and bipartite bodies

Name

Type

Level

Issues covered

Tripartite Council of the Republic of Lithuania

tripartite

national

labour market and social guarantees related issues

Tripartite Council of the Lithuanian Labour Exchange

tripartite

national

labour market and employment issues

Tripartite Councils of the Local Labour Exchanges

tripartite

regional

labour market and employment issues

Tripartite Council of the State Social Insurance Fund Board

tripartite

national

state social insurance issues

Occupational Health and Safety Commission under the LRTT

tripartite

national

OHS issues

Workplace-level employee representation

According to the Labour Code in force since 1 July 2017, workers’ representatives consist of trade unions, works councils or trustees. A company-level trade union can be set up where it has at least 20 employees as founders or where its founders account for at least 10% of the total employees of the company, provided this is equivalent to three or more employees. 

Since 1 July 2017, an employer is required to initiate the formation of a works council when the average number of employees in the company is 20 or more. A works council shall not be set up in a unionised company where more than one third of the total employees of the company are members of the trade union. According to the Labour Code, in the company with less than 20 employees a workers’ trustee should be elected.

Regulation, composition and competences of the bodies

 

Regulation

Composition

Competences of the body

Involved in company level collective bargaining?

Thresholds/rules when they need to be/can be set up

Trade union

(Profesinė sąjunga)

Law

Trade union members

Yes

A company-level trade union can be set up where it has at least 20 employees as founders or its founders account for at least 10% of the total employees of the company, provided this is equivalent to three or more employees.

Works council

(Darbo taryba)

Law

Employees of the company

No

Since 1 July 2017, an employer is required to initiate the formation of a work council when the average number of employees in the company is 20 or more. A works council shall not be set up in a unionised company where more than one third of the total employees of the company are members of the trade union. According to the Labour Code, in a company with less than 20 employees a workers’ trustee should be elected.

Employee representation at establishment level

In the figure, we see a comparison between Lithuania and European Union for the people with 'Establishment size : All' when asked 'Official structure of employee representation present at establishment'. For the 'Yes' answer, Lithuania's score is higher than the European Union score. For the 'No' answer, Lithuania's score is lower than the European Union score. The National comparisons visualisation presents a comparative overview for the values of all answers between two selected countries.


Source: ECS 2013. Private sector establishments with more than 10 employees. Eurofound data visualisation.

Note: The above figures seem too optimistic for Lithuania. According to Lithuanian legislation, a workers’ representative with specific responsibility for the safety and health of workers has to be present in every undertaking in Lithuania. Therefore, it is possible that when answering the above question respondents are referring to the ‘workers’ representative with specific responsibility for the safety and health of workers’, not ‘employee representative’.

Collective bargaining

Collective bargaining

The central concern of employment relations is the collective governance of work and employment. This section looks into collective bargaining in Lithuania.

Bargaining system

Collective bargaining takes place mostly at the company level (with the exception of a few sectors). Despite the efforts of the social partners to increase the importance of sectoral-level collective bargaining, the practice still does not have wide acceptance. At the end of 2017, two sectoral collective agreements were signed in the education and health care sectors covering for the first time wage-related issues. However, wage bargaining still mainly takes place at company level. National-level social dialogue has played a relatively important role for a number of years. However, the social partners’ discussions at the LRTT cannot be considered real collective bargaining.

Wage bargaining coverage

According to the ECS 2013, almost 20% of employees are covered by collective wage bargaining in Lithuania (in private sector companies with establishments >10 employees). There are no national data/surveys on collective (wage) bargaining coverage in Lithuania. According to expert evaluations, the overall collective (wage) bargaining coverage in Lithuania might be less than 15–20%.

Collective wage bargaining coverage of employees at different levels

Level

 

Source

All levels

19%

2013 – ECS

All, excluding national level

18%

2013 – ECS

All levels

26%

2010 – SES

Sources: Eurofound, European Company Survey 2013 (ECS), private sector companies with establishments >10 employees (NACE B-S) – multiple answers possible; Eurostat, Structure of Earnings survey, companies >10 employees (NACE B-S), single answer: more than 50% of employees covered by such an agreement.

Bargaining levels

Working time in Lithuania is set in national legislation (particularly in the Labour Code); at company level, some working time flexibility arrangements (e.g. start/end time of the working day, extra holiday days) might be agreed. At the national level, the social partners at the Tripartite Council of the Republic of Lithuania discuss all amendments to the Labour Code, including provisions regarding working time (for example, overtime work).

Wages in the private sector are mainly set at company (or even individual) level. However, at national level, the social partners at the Tripartite Council of the Republic of Lithuania have to agree on the minimum wage. In the public sector wages are set mainly by legislation.

Levels of collective bargaining 2017

 

National level (Intersectoral)

Sectoral level

Company level

 

Wages

Working time

Wages

Working time

Wages

Working time

Principal or dominant level

       

X

 

Important but not dominant level

           

Existing level

X

X

X

 

 

X

Articulation

Articulation does not exist in Lithuania.

Timing of the bargaining rounds

There is no particular time for collective bargaining in Lithuania – at all levels it takes place when required. Usually company level collective agreements are signed for two years period.

Coordination

There are no known cases of coordination of collective bargaining, either vertically or horizontally, in Lithuania.

Extension mechanisms

According to the Labour Code, valid since 1 July 2017, the scope of individual provisions of national (cross-sectoral), territorial and sectoral (production, services, profession) collective agreements may be compulsorily extended by an order of the Minister for Social Security and Labour to bind all the employers of the appropriate territory or sector if such a request has been submitted in writing by both parties to the collective agreement. The request must specify the following: the name of the collective agreement whose scope is to be extended; the scope of extension (whether the entire collective agreement or only separate provisions thereof are to be extended); the grounds for extending the scope of the collective agreement; the projected number of employees to whom the extended collective agreement will apply. The Minister for Social Security and Labour must take a decision regarding the extension of the scope of the collective agreement within 60 calendar days of receiving the request. Although the provision above was in force in the versions of the Labour Code both before and after 1 July 2017, it has never been applied in practice.

Derogation mechanisms

According to the Labour Code, ‘tripartite agreements, collective agreements and internal (local) regulatory acts on working conditions putting employees in a worse position as compared to that established by the Labour Code, laws and other regulatory acts shall be null and void’. Also the Labour Code stipulates that ‘the parties may not establish working conditions, which are less favourable to the employee than those provided by the Labour Code, laws, other regulatory acts and the collective agreement’.

Expiry of collective agreements

In case of a fixed-term collective agreement, it simply ends upon expiry (however, where the original agreement expires during collective bargaining and the bargaining is clearly likely to end with the conclusion of a new collective agreement, then the case law of the Supreme Court of Lithuania states that the original collective agreement shall automatically remain valid until the signing of the new agreement. If collective bargaining fails, the parties may simply resolve the dispute-related issue and continue to follow the original collective agreement if it is still valid. However, practice shows that employers usually use the opportunity to terminate the valid collective agreement unilaterally.

Peace clauses

In accordance with the Labour Code, it is prohibited to call a strike during the term of validity of the collective agreement if this agreement is complied with, that is if the employer complies with the agreement. In this context, the term collective agreement is understood in its broad sense and the view is taken that strikes are prohibited not only when the collective agreement of the company is complied with, but also when the employer, being a member of the employers’ organisation which has signed a sectoral, territorial or national collective agreement, performs the obligations set out in this collective agreement. 

Other aspects of working life addressed in collective agreements

The national level social partners at the Tripartite Council of the Republic of Lithuania have widely discussed the possibility of making labour legislation more flexible for number of years. The main focus of the flexibility discussion is job security and working time flexibility.

In 2017, two sectoral collective agreements signed in the education and health care sectors covered for the first time wage-related issues at sectoral level.

At the company level, traditionally, significant attention is paid to OHS and training issues, wages (especially – in private sector), working time flexibility (including work-life balance), and workers representation rights.

Industrial action and disputes

Industrial action and disputes

Legal aspects

As of 1 July 2017, labour disputes in Lithuania are divided into two categories: (1) labour disputes (whether individual or collective) over rights; and (2) collective labour disputes over interests (before 1 July 2017, labour disputes in Lithuania were classified into individual labour disputes and collective labour disputes).

According to the Labour Code:
A strike is a suspension of employees’ work organised by a trade union or their organisation in order to resolve a CLD over interests or ensure the performance of the decision adopted in the process of the dispute resolution. In terms of duration, a strike may be a warning strike, which may not be longer than two hours, or a real strike action.

From 1 July 2017, the right to take a decision to call a strike is given only to the trade union or trade unions’ organisation; the decision to call a strike at company level requires approval by at least one-fourth of the total members of the trade union. Calling a strike in a sector (of production, services, profession) requires a relevant decision from the representative body. The employer or employer organisation and its individual members must be given a written notice at least three working days before the beginning of a warning strike or at least five working days before the beginning of a real strike. When a strike is declared, only the demands which were heard by the labour disputes commission, labour arbitration or in the mediation process may be put forward.

Industrial action developments 2012–2016

 

2012

2013

2014

2015

2016

Working days lost per 1000 employees

n.a

n.a

1.6

n.a

33.4

Number of strikes (warning strikes)

6 (187)

0

33 (45)

0 (296)

242 (0)

Number of employees participated in the strikes (warning strikes), persons

121 (5,437)

0

693 (898)

0 (7,126)

6,295 (0)

Total working days lost during strikes (warning strikes)

1,260 (1,820)

0

1,418 (296)

0 (2,428)

35,646 (0)

Length of a strike (warning strikes) per employee, days

10.41 (0.33)

0

2.05 (0.33)

0 (0.34)

5.66 (0)

Source: Strikes. Database of Lithuanian Statistics Department, www.stat.gov.lt

Dispute resolution mechanisms

Collective dispute resolution mechanisms

As written above from 1 July 2017, labour disputes in Lithuania are divided into two categories: (1) labour disputes (whether individual or collective) over rights; and (2) collective labour disputes over interests.

Collective (as well as individual) labour disputes over rights are examined by the Labour Disputes Commission and the courts. Commercial arbitration tribunals may also deal with labour disputes. The body dealing with CLD over rights is entitled to impose a fine of up to €3,000 on a party which is in violation of the provisions of labour law or agreements between the parties. The fine is imposed in favour of the other party. According to the new Labour Code, disputes over dismissal and removal from work, as well as disputes over property and non-property damages, shall fall within the field of competence of the Labour Disputes Commission.

According to the new Labour Code, CLD over interests should be at the first instance resolved before a commission for CLD over interests formed by both parties (Dispute Commission). The Dispute Commission has ten calendar days to resolve the CLD over interests unless otherwise provided by consensus of the Dispute Commission. The work of the Dispute Commission ends with one of the following decisions adopted by mutual consent:

1. To pronounce the CLD over interests resolved in the event of entering into a collective agreement or reaching another agreement on the matter of the CLD over interests;

2. To pronounce the CLD over interests unresolved;

3. To resolve the CLD over interests by engaging a mediator;

4. To transfer the CLD over interests to labour arbitration.

Individual dispute resolution mechanisms

As written above, individual labour disputes over rights are examined by the Labour Disputes Commission and the courts.

Use of alternative dispute resolution mechanisms

Use of dispute resolution mechanisms

 

2012

2013

2014

2015

2016

2017

Number of appeals submitted to Labour Disputes Commission

n.a.

5,302

5,323

5,358

5,574

n.a.

Source: State Labour Inspectorate, www.vdi.lt

Individual employment relations

Individual employment relations

Individual employment relations are the relationship between the individual worker and their employer. This relationship is shaped by legal regulation and by the outcomes of social partner negotiations over the terms and conditions governing the employment relationship. This section looks into the start and termination of the employment relationship and entitlements and obligations in Lithuania.

Start and termination of the employment relationship

Requirements regarding an employment contract

According to the Labour Code, in Lithuania a person shall acquire full legal capacity in employment relationships when he/she reaches the age of 16 years. However, certain work activities may be performed by minors who are 14 years old. Basic requirements regarding the recruitment of minors have been set out in the Labour Code; the Law of the Republic of Lithuania on Health and Safety at Work No IX-1672; and the Schedule approving the procedure for recruitment, work and vocational training of persons under eighteen years of age and conditions of children employment, approved by Government Resolution No 518.

According to the Labour Code, an employer shall ensure that an employee is allowed to work only upon signing an employment contract. When concluding an employment contract, the employer must introduce the person being employed against his signature to the conditions of his potential work, acts regulating his work, which are in force at the workplace, requirements of OHS. Unless otherwise agreed by the parties, the employee must commence his work on the next day following the conclusion of the employment contract.

In every employment contract, the parties must agree on the essential conditions of the contract: the employee’s functions and place of work, as well as on the conditions of remuneration for work.

Dismissal and termination procedures

According to the Labour Code effective since 1 July 2017, an employment contract (EC) expires: (1) when the EC is terminated by agreement between the parties; (2) when the EC is terminated on the initiative of one of the parties; (3) when the EC is terminated at the employer’s will; (4) when the EC is terminated without the parties’ will; (5) upon the death of one party (natural person) to the EC; (6) in accordance with the procedure established by the Minister for Social Security and Labour of the Republic of Lithuania when the location of the employer (natural person) or employer’s representatives cannot be determined; (7) on other grounds laid down by the Labour Code and other laws.

Comparing to the previously valid Labour Code, the new Labour Code provides for more possibilities for employers to dismiss employees, including a quick termination of employment by giving 3 days’ notice and lower severance pays.

The new Code also introduced shorter notices of termination when there is no fault on the part of employees. The revised notice period is one month or two weeks when employment was for less than one year (instead of two months provided for in the earlier version of the Code). These periods of notice are twice as long for employees who will be entitled to the statutory retirement pension within a period of five years and thrice as long for employees with a child under 14 or a disabled child under 18, also for disabled employees and those who will be entitled to the statutory retirement pension within a period of two years.

Severance pays are reduced as follows. Upon termination of the contract of employment at the employee’s initiative for substantial reasons (illness or disability of the employee, attainment of the old-age pension age, long-term inactivity of the company or non-payment of salary for two consecutive months), the employee will be paid a severance pay of his/her 2 average wages or 1 average wage when employment continues for less than one year (instead of 2 average wages in the earlier version of the Code). When employment is terminated at the employer’s initiative without the fault of an employee, the employee will be paid a severance pay of his/her 2 average wages, irrespective of his/her length of service within the company, or 0.5 average wage when employment was for a period of less than one year. These pays are considerably below the amounts set in the old Labour Code where they varied from 1 to 6 average wages depending on the employee’s length of service.

Furthermore, according to the new Labour Code, an employer may dismiss an employee without indication of any reason by giving 3 days’ notice and paying a severance pay of at least 6 average wages. There are certain limitations applicable in this case that a contract of employment cannot be terminated on the ground of employee’s participation in proceedings against an employer accused of a violation of law or on discriminatory grounds and/or with employees who are on pregnancy, maternity, paternity or child care leave.

See also further information on:

Parental, maternity and paternity leave

According to the data of Statistics Lithuania, in 2016, 20.3 thousand persons were on maternity/paternity leave until the child reaches 1 year of age (8% of them were men), 21.2 thousand – from 1 year of age until the child reaches 2 years of age (34% of them were men). In 2016, 16.3 thousand men, or about a half of fathers to whom a child was born in the said year, made use of paternity leave (until the child is 1 month of age) (in 2015 this number was 14.9 thousand men).

Statutory leave arrangements

Maternity leave

Maximum duration

70 calendar days before childbirth and 56 calendar days after childbirth (in the event of complicated childbirth or birth of two or more children – 70 calendar days).

Reimbursement

The amount of maternity allowance (MA) in Lithuania is 100% of the allowance beneficiary’s reimbursed remuneration. The amount of reimbursed remuneration is calculated on the basis of the person’s insured income earned during twelve consecutive calendar months before the calendar month preceding the month in which the right to such allowance was acquired.

The minimum monthly maternity allowance may not be less than six basic social insurance benefits (BSI) valid in the quarter preceding the date of becoming entitled to the allowance. In 1Q 2018, BSI in Lithuania amounts to €38 and the minimum maternity allowance is €228 per month.

There is no ceiling applied to maternity allowance which makes 100% of the reimbursed remuneration.

Who pays?

State Social Insurance Fund (Valstybinis socialinio draudimo fondas, VSDF)

Legal basis

Law on Sickness and Maternity Social Insurance No IX-110 of 21 December 2000

Parental leave

Maximum duration

Parental leave is granted until the child reaches three years of age.

A maternity (paternity) allowance is paid for the period of a childcare leave after the end of a maternity leave until the child is one or two years old.

Reimbursement

The amount of a maternity (paternity) allowance from the end of a maternity leave until the child turns one year old is 100% of the allowance beneficiary’s reimbursed remuneration, if the insured person chooses to receive this allowance until the child turns one year old.

In this case, the amount of the allowance may not be higher than 2 AW valid in the quarter preceding the date of becoming entitled to the allowance. In 1Q 2018, the maximum monthly maternity (paternity) allowance is €1,685.40 (when the insured person chooses to receive this allowance until the child turns one year old).

The minimum monthly maternity (paternity) allowance may not be less than six basic social insurance benefits (BSI) valid in the quarter preceding the date of becoming entitled to the allowance. In 1Q 2018, BSI in Lithuania amounts to €38 and the minimum allowance is €228.

If the insured person chooses to receive a maternity (paternity) allowance until the child turns two years old, the amount of the said allowance from the end of a maternity leave until the child turns one year old is 70% of the allowance beneficiary’s reimbursed remuneration and until the child turns two years old – 40% of the allowance beneficiary’s reimbursed remuneration). In 2018 QI, maximum maternity (paternity) allowance was €1,179.78 per month  in the first year and €674.16 in the second year (.

If the insured person chooses to receive a maternity (paternity) allowance until the child turns two years old, the second year fathers/mothers may work while in receipt of allowance without any reduction thereof.

Who pays?

State Social Insurance Fund

Legal basis

Law on Sickness and Maternity Social Insurance No IX-110 of 21 December 2000

Paternity leave

Maximum duration

In Lithuania, men are entitled to paternity leave for the period from the date of the birth of a child until the child is one month old.

Reimbursement

The amount of a paternity allowance in Lithuania is 100% of the allowance beneficiary’s reimbursed remuneration.

The minimum monthly paternity allowance may not be less than six basic social insurance benefits (BSI) valid in the quarter preceding the date of becoming entitled to the allowance. In 1Q 2018, BSI in Lithuania amounts to €38 and the minimum allowance is €228.

The amount of the allowance may not be higher than two AW valid in the quarter preceding the date of becoming entitled to the allowance. In 1Q 2018, this amount is €1,685.40 per month

Who pays?

State Social Insurance Fund

Legal basis

Law on Sickness and Maternity Social Insurance No IX-110 of 21 December 2000

Sick leave

In Lithuania, sickness allowances shall be granted in accordance with Article 5 (2) of the Law on Sickness and Maternity Social Insurance No IX-110  of 21 December 2000. Pursuant to Article 14 of this Law, the amount of sick pay (sickness allowance) for the first two calendar days of sick leave is paid by the employer and shall not be less than 80% and not more than 100% of the employee’s average salary. After the first two days, the employee is entitled to the sickness allowance paid by the State Social Insurance Fund (VSDF). In compliance with Law No XII-1329  of 13 November 2014 Amending Article 14 of Law on Sickness and Maternity Social Insurance (valid as of 1 January 2015), the amount of a sickness allowance paid with the VSDF resources from the third day shall make up 80% of the reimbursed remuneration of the allowance beneficiary. In 1Q 2018, the amount of sickness allowance for one day may not be less than €6.02 and more than €80.26 (when the allowance is 100% of the reimbursed remuneration) or €64.21(when the allowance makes 80% of the reimbursed remuneration).
A sickness allowance payable per month may not be less than 15% of the country’s AW (valid in the quarter preceding the month when temporary incapacity for work was established).  
In the event of sickness or trauma, the sickness allowance is payable until the recovery of capacity for work or until the day of establishment of the level of capacity for work, or until the first day of participation in a vocational rehabilitation programme. In the event of dismissal from work, the sickness allowance is payable not longer than 5 calendar days of sickness following thereafter.
In accordance the Labour Code No XII-2603 it shall be prohibited to give notice of the termination of an employment contract and to dismiss from work an employee during a period of temporary incapacity for work, or during leave. If the employee becomes temporarily incapable for work or takes statutory leave during the period of notice, the expiry of the period of notice shall be postponed until the end of the temporary incapacity for work or leave (Article 64).


Retirement age

In compliance with the Law of the Republic of Lithuania on State Social Insurance Pensions (No I-549) and the Law of the Republic of Lithuania Amending Articles 21, 25, 33, 56, 57, and 67 of the Law on State Social Insurance Pensions (No XI-1436), the retirement age for both men and women in Lithuania is 65 years with effect from 28 June 2011. The retirement age has been increasing annually from 1 January 2012 by four months per year for women and by two months per year for men and this will continue until the statutory retirement age of 65 years, as established in the aforementioned law, is reached.

Pay

Pay

Pay: For workers, the reward for work and main source of income; for employers, a cost of production and focus of bargaining and legislation. This section looks into minimum wage setting in Lithuania and guides the reader to further material on collective wage bargaining.

During the last five years gross average monthly earnings in Lithuania have been steadily increasing. During 2011–2016, average monthly earnings in Lithuania increased by almost one third (from €592.9 to €774.0). According to Statistics Lithuania, the average monthly earnings of men and women were €840.9 and €709.7 respectively. The gender pay gap increased by 2.9 percentage points: from 11.5% in 2011 to 14.4% in 2016.

Analysis of average monthly earnings by economic activities shows that persons paid at the highest rate in 2016 were employed in financial and insurance activities (€1,424.3) and information and communication (€1,313.3); and the lowest salaries were in accommodation and food service activities (€522.2) and arts, entertainment and recreation (€637.0). In Lithuania, the gross earnings (monthly) of part-time employees constituted around 37% of the earnings of all employees,

Average monthly earnings (gross) in Lithuania (Eur)

 

2011

2016

Total economy (including individual enterprises) – all NACE activities

592.5

774.0

Agriculture, forestry and fishing (A)

475.0

674.3

Mining and quarrying (B)

728.4

947.3

Manufacturing (C)

578.7

800.5

Electricity, gas, steam and air conditioning supply (D)

840.2

1000.0

Water supply; sewerage, waste management and remediation activities (E)

642.1

793.2

Construction (F)

533.5

715.5

Wholesale and retail trade; repair of motor vehicles and motorcycles (G)

512.6

711.3

Transportation and storage (H)

558.7

732.0

Accommodation and food service activities (I)

329.9

522.2

Information and communication (J)

947.3

1,313.3

Financial and insurance activities (K)

1,127.5

1,424.3

Real estate activities (L)

540.7

702.4

Professional, scientific and technical activities (M)

742.3

974.4

Administrative and support service activities (N)

490.0

660.4

Public administration and defence; compulsory social security (O)

775.6

946.0

Education (P)

585.3

686.9

Human health and social work activities (Q)

616.6

765.1

Arts, entertainment and recreation (R)

465.7

637.0

Other service activities (S)

475.8

657.9

 

2011

2016

 

Men

Women

Men

Women

Total economy (including individual enterprises) – all NACE activities

637.0

551.2

840.9

709.7

Source: Lithuanian Statistics Department

Minimum wages

Lithuania is a country with a statutory minimum wage. According to Article 141 of the Labour Code, the minimum hourly pay and the minimum monthly wage in Lithuania is determined by the LRV on the recommendation of the LRTT. From 1 July 2016, in compliance with Resolution No 644 of 22 June 2016 on the minimum wage, the minimum monthly wage set by the LRV in Lithuania is €380 and the minimum hourly pay is €2.32. As of 1 January 2018, the minimum wage in Lithuania was increased to €400 and the minimum hourly pay to €2.45. This decision was approved by Resolution No 814 on the minimum wage of 11 October 2017.

In 2017, the amount of minimum monthly wage (i.e. €380) has not changed; in 2016, the amount of minimum monthly wage in Lithuania was changed twice. It should also be noted that in Lithuania the minimum monthly wage is not differentiated for different groups of workers.

Minimum wage in Lithuania in 2013–2018

Period

01/01/2013 –

30/09/2014

01/10/2014 –

30/06/2015

01/07/2015 –

31/12/2015

01/01/2016 –

30/06/2016

01/07/2016 –

31/12/2017 12 31

From 01/01/2018

Amount

LTL 1000.00

(€289.00)

€300.00

€325.00

€350.00

€380.00

€400.00

Source: Lithuanian Statistics Department

For more information regarding the level and development of minimum wages, please see:

Collectively agreed pay outcomes

For more detailed information on the most recent outcomes in terms of collectively agreed pay, please see:

Working time

Working time

Working time: ‘Any period during which the worker is working, at the employer’s disposal and carrying out his activities or duties, in accordance with national laws and/or practice’ (Directive 2003/88/EC). This section briefly summarises regulation and issues regarding working time, overtime, part-time work as well as working time flexibility in Lithuania.

Working time regulation

Basic provisions regulating working time in Lithuania are established in the Labour Code No XII-2603 (Chapter VIII, Section 1). In accordance with the Labour Code (Article 112), the length of a working week in Lithuania is 40 hours, unless shorter working hours are statutorily established by labour laws or part-time work is agreed by the parties.. Average working time, including overtime but excluding agreement on additional work, cannot exceed 48 hours within each period of seven consecutive days. Maximum of working time (overtime and additional job included) cannot exceed 12 hours per day and 60 hours per week. It is prohibited to work more than six days during seven consecutive days.

Where employee works under the cumulative working time regime, maximum working time within each period of seven consecutive days may not exceed 52 hours. This limit does not apply for work which is performed under the agreement on additional work or for standby duty. Summary working time regime can be introduced if there is business necessity and after liaising with employee representatives.

Maximum working time requirements may vary from those laid down by the Labour Code in transport, postal, and agricultural undertakings, energy, health care and social care establishments, as well as in some other sectors of economic activities. The peculiarities of working time and rest periods are established by the Government of the Republic of Lithuania or specified in collective agreements.

For more detailed information on working time (including annual leave, statutory and collectively agreed working time), please consult:

Overtime regulation

Provisions regulating overtime in Lithuania are established in the Labour Code No XII-2603 (Chapter VIII, Section 1). In accordance with the Labour Code (Article 119), in Lithuania, an employer may assign overtime work only subject to an employee’s consent and/or in the following exceptional cases:

(1) when performance of unexpected works is needed for the public or to prevent accidents or dangers;

(2) when it is necessary to finish work or to eliminate a breakdown which may otherwise result in many workers having to interrupt their work or if materials/products may get spoiled or work equipment may break down;

(3) when it is provided for in the collective agreement.

According to the Labour Code, employee’s overtime work must not exceed eight hours in seven consecutive calendar days, unless an employee gives written consent to work up to 12 overtime hours per week. Maximum overtime may not exceed 180 hours per year, unless longer term is established under collective agreement.

In accordance with the Labour Code (Article 144), the overtime pay shall be at least one and a half times the hourly pay/monthly wages established for the employee. The overtime pay during public holiday shall be at least two and a half times the hourly pay/monthly wages established for the employee. For overtime during the night, the pay shall be at least double the rate of the hourly pay/monthly wages established for the employee.

Part time work

In Lithuania, part-time work is regulated by the Labour Code (Article 146). According to the Labour Code, part-time work may be established:

  • by agreement between the employee and the employer;
  • at the request of the employee due to his health status according to a declaration from a health care institution;
  • at the request of a pregnant woman or a woman who has recently given birth;
  • at the request of an employee under eighteen years of age;
  • at the request of a disabled person according to a declaration issued by the Disability and Working Capacity Assessment Office under the SADM;
  • at the request of an employee taking care of a sick family member attested by a note from a health care institution.

The Labour Code specifies that unless otherwise indicated in the contract of a health care institution, part-time work may, by agreement, be established by decreasing the number of working days per week or shortening a working day (shift), or doing both.

Part-time employment accounts for quite a small proportion of work in Lithuania. In 2017, part-time employees constituted around 7.4% of total employees (EU28 average in 2017 = 18.7 %).

Persons employed part time in Lithuania and EU28 (% of total employment)

 

2012

2013

2014

2015

2016

2017

Total (EU 28)

18.6

19.0

19.0

19.0

18.9

18.7

Total (Lithuania)

8.8

8.2

8.5

7.6

7.1

7.4

Women (EU 28)

31.4

31.8

31.7

31.5

31.4

31.1

Women (Lithuania)

10.6

10.1

10.6

9.7

8.7

9.2

Men (EU 28)

7.7

8.1

8.2

8.2

8.2

8.1

Men (Lithuania)

6.9

6.2

6.3

5.4

5.3

5.5

Source: Eurostat Labour Force Survey [lfsi_pt_a] – Persons employed part-time (20 to 64 years of age) – total and by sex.

As in the EU28, women in Lithuania work part time more often compared to men, although the share of women working part time in 2017 in Lithuania – 9.2% – is well below the EU average for the same year (31.1%).

Involuntary part-time

Involuntary part-time workers can be defined as those working part time because they could not find a full-time job.

Persons employed in involuntary part time in Lithuania and EU28 (% of total employment)

 

2012

2013

2014

2015

2016

2017

Total (EU 28)

28.4

30.0

30.4

29.9

28.5

27.1

Total (Lithuania)

33.2

33.3

31.5

32.1

31.7

31.0

Women (EU 28)

24.9

26.4

26.8

26.2

25.0

23.7

Women (Lithuania)

33.7

33.1

30.6

34.9

31.4

31.2

Men (EU 28)

41.0

42.4

42.7

42.5

40.1

38.7

Men (Lithuania)

32.3

33.8

33.0

26.8

32.3

30.8

Source: Eurostat Labour Force Survey [lfsa_eppgai]- involuntary part-time employment as a percentage of the total part-time employment, by sex and age (20 to 64 years of age)

In Lithuania, in 2017 total involuntary part-time employment constituted 31% (EU28 – 27.1%). During 2012–2017, the share of involuntary part-timers in Lithuania slightly decreased. This indicator for women and men remained quite stable in Lithuania over the entire period from 2012 to 2017, standing at 30.8% for men and 31.2% for women in 2017.

Night work

In Lithuania, night work is regulated by the Labour Code (Article 117). According to the Labour Code, night time is defined as calendar time from 22.00 to 06.00. A night worker is an employee who:

1) works at night for at least three hours per working day (shift); or

2) works at night for at least one quarter of their working hours in a year.

Normally, a night worker should not work more than an average of eight hours per working day (shift) during a three-month accounting period unless a longer period is agreed in a collective agreement concluded at a higher level than that with the employer.

The night work pay shall be at least one and a half times the hourly pay/monthly wages established for the employee.

Shift work

There is no special definition of shift work in Lithuania. However, the employer in applying shift work has to strictly adhere to the Labour Code regulation on work and rest time (Chapter VIII). What is of relevance for shift work are the articles on summary recording of working time (Art. 115), working time mode (Art. 113), requirements regarding maximum working time (Art. 114) and minimum rest time (Art. 122), the working time mode of on-call work (Art. 118) and others.

Weekend work

Weekend work in Lithuania is treated as working on rest days. According to the Labour Code (Article 124), a rest day is a day free from work according to the working time regime. Labour Code regulates that Sunday shall be a general rest day. An employer may assign work on a rest day only with the consent of the employee, except in the case of summary recording of working time and in the cases set out in the CA. Work on a rest day which has not been provided for in the work (shift) schedule shall be paid at the double rate at least of the employee's wage. Overtime work on a rest day which has not been provided for in the work (shift) schedule shall be paid at the double rate at least of the employee's wage.

Rest and breaks

Provisions regulating rest time in Lithuania are established in the Chapter VIII of Labour Code (Section 2) Article 122. According to the aforementioned Article, a rest period is defined as time free from work. Employees shall be granted a break to rest and to eat not later than after five working hours. Unless a split regime is agreed by the parties, the break may not be shorter than thirty minutes and not longer than two hours.

The duration of uninterrupted rest between working days (shifts) may not be shorter than 11 consecutive hours. The duration of uninterrupted rest may not be shorter than 35 hours in a period of seven consecutive working days. For employees whose working day (shift) is longer than 12 hours (but no longer than 24 hours), the duration of uninterrupted rest may not be shorter than 24 hours.

The length, beginning and end of breaks, as well as other conditions are stipulated in the provisions of labour law and work (shift) schedules. Employees who cannot be granted a break to rest and to eat due to technical production conditions should be given the conditions to eat during their working time.

Employees working outdoors, under conditions involving professional risk and/or carrying out strenuous or mentally demanding work shall be granted special breaks whose length per day (shift) and the conditions of granting them shall be established by the Government of the Republic of Lithuania.

Working time flexibility

In accordance with Article 113 of the Labour Code, an employer may set a flexible working schedule for the employees. Employees working flexible schedules must be at the workplace during the fixed hours of a working day (shift) and may work the rest of the time of the working day (shift) before or after those hours. The fixed hours of the working day (shift) are determined by the employer. Such working hours may be changed upon giving the employee at least two working days’ notice. If so agreed with the employer, the fixed hours not worked during a working day (shift) may be carried over to another working day without prejudice to the requirements applicable to the maximum work time and the minimum rest time. (Article 116).

Do you have fixed start and finishing time in your work?

In the figure, we see a comparison between Lithuania and European Union for the workers with 'Age : All' when asked 'Do you have fixed starting and finishing times in your work?'. For the 'No' answer, Lithuania's score is lower than the European Union score. For the 'Yes' answer, Lithuania's score is higher than the European Union score. Data is based on question 39d from the sixth European Working Conditions Survey (2015).The National comparisons visualisation presents a comparative overview for the values of all answers between two selected countries.

Health and well-being

Health and well-being

Maintaining health and well-being should be a high priority for workers and employers alike. Health is an asset closely associated with a person’s quality of life and longevity, as well as their ability to work. A healthy economy depends on a healthy workforce: organisations can experience loss of productivity through the ill-health of their workers. This section looks into psychosocial risks and health and safety in Lithuania.

Health and safety at work

In Lithuania, the requirements of occupational safety and health are regulated by Law No IX-1672 of the Republic of Lithuania on Safety and Health at Work, as approved on 1 July 2003. The Law sets out the rights and obligations of employees and employers, the institutional system to ensure occupational safety and health, and establishes special provisions for the protection of individual groups of employees (pregnant employees, employees who have recently given birth, breast-feeding employees, employees under eighteen years of age, disabled employees). The law also regulates the general provisions of the procedure for assessing occupational risks and investigating accidents at work and occupational diseases.

Accidents per 1000 employees and % change from previous year

 

2011

2012

2013

2014

2015

Percentage change on previous year

17.9

6.9

8.4

4.1

6.1

Per 1,000 employees

1.9

2.0

2.2

2.2

2.4

Source: Eurostat, [hsw_mi01] and [lfsa_eegaed]

The number of accidents at work has been quite significantly growing in Lithuania since 2011. The highest growth y-o-y (17.9%) was reported in 2011. In 2015, the rate of accidents at work in Lithuania per 1,000 workers was 2.4.

According to the Lithuanian Statistics (Survey on accidents at work and occupational diseases), the total number of accidents at work (kai darbuotojas negali dirbti daugiau nei tris dienas ir mirtini nelaimingi atsitikimai darbe) was 3,332 in 2015. This shows a 4.9% increase compared to 2014 and a 24.5% increase compared to 2011.

Psychosocial risks

The Labour Court and Law on Safety and Health at Work of the Republic of Lithuania No IX-1672 determine the duty of the employer to ensure safety and health of workers at work in all aspects related to work. It is a general obligation for employers to carry out a risk assessment also for psychosocial factors. The main legal instrument regulating the assessment of psychosocial risks in Lithuania is the General Regulations on the Assessment of Professional Risk, approved by Order No A1-457/V-961 of 25 October 2012 of the Minister for Social Security and Labour of the Republic of Lithuania and the Minister for Health of the Republic of Lithuania.

According to the European Working Conditions Survey, in 2015, 43.0% of employees reported working to tight deadlines at least a quarter of the time; 31.0% said they worked more than 10 hours once or more per month; and 4.0% said they had been subjected to discrimination at work over the past 12 months.

Work intensity: Do you have enough time to get the job done?

In the figure, we see a comparison between Lithuania and European Union for the workers with 'Age : All' when asked 'Do you have enough time to get the job done?'. For the 'Always or most of the time' answer, Lithuania's score is higher than the European Union score. For the 'Rarely or never' answer, Lithuania's score is lower than the European Union score. For the 'Sometimes' answer, Lithuania's score is lower than the European Union score. Data is based on question 61g from the sixth European Working Conditions Survey (2015).The National comparisons visualisation presents a comparative overview for the values of all answers between two selected countries.


Source: Eurofound’s European Working Conditions Survey 2015.

 

Skills, learning and employability

Skills, learning and employability

 

Skills are the passport to employment; the better skilled an individual, the more employable they are. Good skills also tend to secure better-quality jobs and better earnings. This section briefly summarises the Lithuanian system for ensuring skills and employability and looks into the extent of training.

National system for ensuring skills and employability

In Lithuania, the main institution implementing skills development policy is the Ministry of Education and Science (SMM). The SMM shapes national policies in the area of education and qualifications and is responsible for the organisation, coordination and control of the implementation of the policy. The SMM is assisted by the SADM, which coordinates, analyses and evaluates the implementation of labour market and employment support policies (including vocational education and training of the unemployed), and by the Ministry of the Economy (UM), which organises prognostic studies of the labour market’s HR demand, generalises findings of current and perspective analyses of skills supply and demand on the labour market, and formulates conclusions and recommendations to the LRV and other public authorities/agencies.

Two main forecasting instruments Lithuania measure and assess labour market needs for labour and skills. The forecasting tools developed by the LLE help to compile a national forecast, job opportunity barometer and occupations map; this is supplemented by the qualifications (skills) map developed by the Research and Higher Education Monitoring and Analysis Centre (MOSTA).

On the national level the Lithuanian Vocational Education Council has been established to advise national education authorities on solving strategic VET issues. It consists in equal parts of representatives of State governance (SMM, UM and SADM) and municipal institutions and organisations representing employers’ and employees’ interests.

Another national level advisory institution is the Central Professional Committee (CPC). It coordinates strategic issues pertaining to development of the qualifications system. Its main roles are: to establish priority sectors for the qualifications system; discuss and suggest decisions regarding the qualifications system’s structure; advise on ensuring correspondence between qualifications and labour market needs; accredit competence assessment institutions. The committee members are representatives of State and municipality level governance, VET providers, social partners.

The main advisory bodies in designing VET provision are sectoral professional committees (SPC). 17 SPCs have been established in Lithuania. Members of SPCs represent employers, education and training providers, trade unions, and public organisations in specific sectors. The main roles of these committees are: to advise on sectoral qualifications and competences needed to acquire them; to set priorities for developing qualifications standards; and to endorse standards and analyse consistency of training programmes with the requirements prescribed in the standards.

The main measure designed to adapt HE/VET to the labour market needs is the inclusion of employers and associated business entities into the development of training/study programmes, programme implementation and assessment of graduates’ competences.

Training

In Lithuania, the SMM is the main national public institution responsible for training regulation and development. The Qualification and Vocational Education and Training Development Centre (KPMPC) also contributes to the implementation of the aforementioned activities. The KPMPC is an institution implementing the national VET development policy in Lithuania. The main functions of the KPMPC include the development of professional and VET standards, performance of prognostic studies of the demand for qualifications and adult education surveys, formation of the qualifications system and the assessment of formal VET programmes.

According to the 2013 European Company Survey, the largest share of employees in Lithuania receives none or less than 20% paid time off for training. According to the ECS data, the proportion of employees receiving paid time off for training is related not to the existence of workplace employee representation, but to the establishment size. For example the largest proportion of employees receiving paid time off for training in Lithuania was reported in the largest (250+) enterprises with no employee representation at establishment level – in such enterprises 62% of employees receive between 20% and 80% paid time off in the establishment. The smallest proportion of employees receiving paid time off for training is in the smallest enterprises (with 10–49 employees), both with and without employee representation at establishment or company.

Training: Have you had any on the job training in the past year?

In the figure, we see a comparison between Lithuania and European Union for the workers with 'Age : All' when asked 'Have you had on-the-job training in the last 12 months?'. For the 'No' answer, Lithuania's score is higher than the European Union score. For the 'Yes' answer, Lithuania's score is lower than the European Union score. Data is based on question 65c from the sixth European Working Conditions Survey (2015).The National comparisons visualisation presents a comparative overview for the values of all answers between two selected countries.

Source: Eurofound’s European Working Conditions Survey 2015.

Work organisation

Work organisation

Work organisation underpins economic and business development and has important consequences for productivity, innovation and working conditions. Eurofound research finds that some types of work organisation are associated with a better quality of work and employment. Therefore, developing or introducing different forms of work organisation are of particular interest because of the expected effects on productivity, efficiency and competitiveness of companies, as well as on workers’ working conditions. Ongoing research by Eurofound, based on EurWORK, the European Working Conditions Survey and the European Company Survey, monitors developments in work organisation.

More information on:

For Lithuania, the European Company Survey 2013 shows that between 2010 and 2013 51% of establishments with 10 or more employees reported changes in the use of technology, 54% introduced changes in ways to coordinate and allocate the work to workers, and 32% saw changes in their working time arrangements.

There have been no major studies conducted in Lithuania on the topic of work organisation since 2014.

Research was conducted in Lithuania in 2014 with a focus on organisational culture in Lithuanian and foreign capital organisations. A total of 123 Klaipeda-based employees were interviewed (60 employees from Lithuanian capital companies and 63 – from foreign capital companies). Findings have shown that both Lithuanian capital companies and foreign capital companies have very similar sets of values (for instance, promoting novelties, promoting creativity, etc.) However, foreign capital companies place greater emphasis than Lithuanian capital companies on employees’ improvement and qualification development (40.7% vs. 24.4%) and on team work (44.7% vs. 28.5%).

A study on the Trends and Challenges in Public Sector Innovation in Europe was carried out in 2012 to identify the main patterns and characteristics of public sector innovation (PSI) in the European Union. The study results revealed that in Lithuania, improvement of organisation of public administration by promoting quality and performance management systems is an important aspect of PSI (for instance, ISO, Common Assessment Framework (CAF), European Foundation for Quality Management (EFQM), and Balanced Scorecard). According to the study, the existence of a strong leader and qualified staff were key drivers of institutions leading public sector innovations in Lithuania.

Work organisation: Are you able to choose or change your methods of work?

In the figure, we see a comparison between Lithuania and European Union for the workers with 'Age : All' when asked 'Are you able to choose or change your methods of work?'. For the 'No' answer, Lithuania's score is higher than the European Union score. For the 'Yes' answer, Lithuania's score is lower than the European Union score. Data is based on question 54b from the sixth European Working Conditions Survey (2015).The National comparisons visualisation presents a comparative overview for the values of all answers between two selected countries.


Source: Eurofound’s European Working Conditions Survey 2015.

Equality and non-discrimination at work

Equality and non-discrimination at work

The main legal acts ensuring equality and non-discrimination at work in Lithuania are the Law of the Republic of Lithuania on Equal Treatment (LET) No IX-1826 and the Law of the Republic of Lithuania on Equal Opportunities for Women and Men (LEOWM) No VIII-947.

The Law on Equal Treatment enshrines the equality of persons and prohibition against restrictions on human rights or extensions of privileges on the grounds of gender, race, nationality, language, origin, social status, belief, convictions or views. The LEOWM establishes general principles for ensuring equal rights between women and men and bans any form of discrimination with regard to gender.

The body responsible for ensuring the principle of equal opportunities in Lithuania is the Office of Equal Opportunities Ombudsperson (LGKT). The LGKT monitors and controls the implementation of the above laws by national and municipal authorities and agencies, education, research, study and other institutions, and employers.

Equal pay and gender pay gap

The equal pay for equal work principal in Lithuania is enshrined in Article 7 of the LET and Article 5 of the LEOWM, laying down that the same work or the work of equivalent value shall be equally paid for. In Lithuania, the implementation of the LEOWM is monitored and supervised by the Equal Opportunities Ombudsperson. Each natural and legal person shall have the right to file a complaint with the Equal Opportunities Ombudsperson concerning the violation of equal rights.

According to Eurostat figures, the gender pay gap (GPG) in unadjusted form in Lithuania was 14.2% in 2015. Compared to 2014, GPG increased by 0.9 percentage points (from 13.3% to 14.2%). In Lithuania, GPG indicators peaked in 2007 and 2008, reaching 22.6% and 21.6%, respectively. According to Statistics Lithuania, in 2016 GPG in Lithuania (including individual enterprises) was 14.4%.

Quota regulations

In Lithuania, there is no legal obligation for specific quotas in place, nor is there a quota for companies to employ certain (disadvantaged) groups of workers.

Bibliography

Bibliography

Cedefop (2013), Vocational education and training in Lithuania, Publications Office of the European Union, Luxembourg.

Estep (2016), Evaluation of results, efficiency and impact of the 2007–2013 measure to facilitate social dialogue in Lithuania: Summary of the final report, Ministry of Finance of the Republic of Lithuania, Vilnius.

Inno Policy Trendchart (2012), Trends and challenges in public sector Innovation in Europe: Thematic Report 2012, European Commission, Enterprise and Industry Directorate-General, Brussels.

Paužuolienė J., Docienė V., Vaitiekus A. (2014), ‘Organisational culture research in Lithuanian and foreign capital organisations in Klaipeda’, Regional Formation and Development Studies, Vol. 2, No. 13, pp. 96–106.

Statistics Lithuania, www.stat.gov.lt.

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