Lithuania: New Restrictions for Foreign Workers, Additional Obligations for Employers
July 24, 2024
At a Glance
- Effective July 1, 2024, Lithuania has introduced new restrictions for foreign workers, including:
- Requiring certain foreign nationals to first obtain a temporary residence permit if they want to work;
- Introducing stricter education and work experience requirements as a condition of receiving lower minimum salary thresholds;
- Barring foreign nationals from working for more than four employers at one time; and
- Allowing foreign nationals to change employers only after six months of having a temporary residence permit.
- Several of these reforms will make it harder for businesses to hire foreign workers.
The situation
Effective July 1, 2024, Lithuania has introduced new restrictions for foreign workers.
A closer look
CHANGE | IMPACT |
Temporary residence permit requirement.
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Employers will find it harder to employ certain foreign workers, with new administrative requirements and associated costs, and additional onboarding stages – namely, the sourcing of a temporary residence permit. |
Stricter education and work experience requirements to receive lower minimum salary threshold.
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These reforms will make it harder for employers to afford employing certain foreign workers, reducing the capacity of employers to resolve labor shortages. |
Maximum number of employers. Foreign nationals can now only work for a maximum of four employers at one time; whereas previously they could work for an unlimited number of employers in a multi-employer contract.
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This law seeks to protect foreign nationals working in multi-employer contracts, ensuring employers participating in these contracts take responsibility for the employees. |
Stricter change-of-employer rules.
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Although the more restrictive change-of-employer policy is likely to increase at least short-term retention of talent for employers, it also makes Lithuania less attractive for foreign workers, and may reduce long-term retention of foreign talent. |
EU Blue Card Holders and multiple job functions. EU Blue Card holders can now carry out an additional job function separate from the one for which they were originally hired.
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This will allow EU Blue Card employees to take on additional responsibility without having to change their job roles, giving employers greater flexibility to resolve talent management challenges – especially on an ad hoc or urgent basis. |
Additionally, as part of the July 1, 2024 reforms:
- employers of foreign nationals must also adhere to additional obligations. This includes new rules regarding the employment letter sent to authorities when an assignment starts, as well as new requirements regarding the necessary permits for carrying out any licensed activities, among other requirements;
- employment contracts for locally hired foreign workers must now provide for a full-time working regime (40 hours of work per week); whereas previously this was not required. The requirement that such contracts must be at least six months long continues as previously; and
- the rules around appeals and related suspensions of residence permits are now more restrictive for foreign nationals.
Background
Lithuanian authorities have stated that many of these reforms were necessary amid what it claimed were abuses of migration procedures, including strategic use of appeal pathways, and foreign nationals changing employers almost immediately upon arriving in the country.
Looking ahead
These latest reforms are part of a broader series of policies that seek to protect foreign workers and ensure increased employer responsibility. Fragomen will continue to monitor these policies and report on relevant developments.
This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen or send an email to [email protected].