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TRINITI recommends further actions due to the new Labour Code of Lithuania

If your company employs less than 20 individuals

Modifications of the employment contract

Upon adoption of a new Labour Code, the modification of the employment contract shall be:

  • mandatory, if it is deemed to be in prejudice to the imperative requirements (e.g., place of employment inaccurately specified, wages for the qualified work are too low, etc.),
  • recommended, where the employer wishes to use the possibilities offered by the Labour Code and the employee does not object (e.g., there are more types of possible employment contracts to choose from, wider possibilities to conclude an open-ended employment contract, it is possible to agree on compensation of expenses for a longer training period, etc.), or where it is intended to adequately adjust the references to the Articles of the Labour Code.
Non-competition agreement

The conditions of such mandatory agreement have been determined (e.g. the longest validity term is 2 years following expiration of the employment contract, it can be concluded only with employees possessing specialised knowledge or skills, compensation must be at least 40 % of the average wages reported at the moment of expiration of the employment contract, etc.).

Non-disclosure agreement

It may be concluded with all employees who have access to confidential information. It is necessary to compile a list of confidential information, which shall not include publicly accessible data that cannot be treated as confidential according to law or their purpose, or for the protection of which the employer fails to take reasonable measures. It is also mandatory to determine the validity terms of the agreement and the employer’s duties related to the measures available for the protection of the information. Penalty charges for committed violations may be established. Validity period – 1 month following termination of an employment relationship, however the parties may agree on a longer period.

Remote working

Remote jobs may be assigned only upon a request of an employee or upon an agreement between the parties, therefore it is recommended to prepare the request and agreement templates. The working place requirements (if any), the working means provided for the performance of the work, the procedure of the provision thereof and the rules for the use of working means must also be established in writing, and the employer’s division, department or a responsible person to whom the employee shall report for the work performed in the procedure set forth by the employer shall be indicated.

Employment procedure and termination of the employment contract

Upon conclusion of an employment contract, the employer shall provide a notification to an employee about the employment conditions. Upon termination of an employment contract, the employer shall take a decision on termination of the contract or declare expiration of validity thereof. Moreover, the dismissal grounds must be reviewed and entries on termination of the employment contract must be made according to the new Labour Code and its Articles.

Various notifications, replies and statements

The employer is tasked with a number of duties related to the provision of written documents. For this reason, it is advised to prepare templates, which may be used in order to save time (e.g., statements and reasoned replies to employees, assessment of the work results, results improvement plan, dismissal warning for a repeated violation of the employment duties).

Full financial liability agreement – no longer possible

Procedure for the use of communication technologies, and monitoring and control of employees at the place of work

ADDITIONALLY: if your company employs 20-49 individuals:

  1. Initiation of the works councils (establishment of an election commission);
  2. Remuneration system.

ADDITIONALLY: if your company employs more than 50 individuals:

  1. Policy of equal opportunities;
  2. Rules for protection of personal data of employees.

Based on employer’s needs:

  1. Internal work regulations or modifications thereof;
  2. Staff regulations;
  3. Other