Lithuania to implement Labour Code amendments in November 2026

Significant amendments to the Lithuanian Labour Code are set to take effect on November 1, 2026, impacting both employers and employees across various sectors, including remote work, working hours, and collective relations.

One major change involves Article 59, which regulates the termination of employment contracts at the employer's discretion. Under the new rules, employers must provide a justified reason for such terminations. While the requirement to provide three days' notice and pay severance (at least six times the average wage) remains, the legal clarity is intended to reduce disputes and ensure the right is used responsibly.

Additionally, the rules for calculating timeframes regarding employee misconduct are changing. When deciding on termination due to a breach of duties, employers must consider the severity of the violation, the consequences, the circumstances, the employee's fault, and their previous conduct to ensure the disciplinary action is proportionate. Šarūnas Orlavičius, Chancellor of the State Labour Inspectorate, advises both parties to evaluate how these comprehensive changes will affect their specific working relationships.