Probation, Termination & Notice Periods in Lithuania (2025 Guide, Updated for 2026)

Probation, termination & notice periods in Lithuania are governed primarily by the Lithuanian Labour Code. These rules are strict and procedural, and non-compliance can lead to reinstatement, compensation, and legal disputes. For employers operating in Vilnius, Kaunas, and Klaipėda, understanding the correct legal basis for termination is essential. For foreigners, expats, and professionals, knowing your rights helps you protect your position and act on time.

This article explains how probation works, how employment can be legally terminated, and which notice periods apply in Lithuania in 2026.

Legal Background in Lithuania

Lithuania does not follow an “at-will” employment model. Employment relationships are protected by mandatory legal rules, regardless of what is written in internal policies. Termination is only lawful if it is based on a valid legal ground and follows the correct procedure.

Probation under Lithuanian law

• A probation period is not automatic and must be explicitly agreed in the employment contract.
• In most cases, probation may last up to 3 months.
• In limited situations, probation may be extended, but never beyond 6 months.
• If a fixed-term contract is shorter than 6 months, the probation period must be reduced proportionally.
• During probation, employment may be terminated with a short notice period, provided the termination is properly documented.

Termination principles

Lithuanian law distinguishes between termination:

• by mutual agreement,
• by employee resignation,
• by employer initiative without employee fault,
• by employer initiative due to employee fault,
• at the employer’s will (special legal ground).

Each ground has different notice periods, documentation requirements, and severance rules.

Notice periods

• Standard employer termination without employee fault requires 1 month’s written notice.
• If employment lasted less than 1 year, notice may be 2 weeks.
• Notice periods may be doubled or tripled for protected employees, including:
  • employees close to retirement age,
  • employees raising young children,
  • pregnant employees,
  • employees with disabilities.

Step-by-Step Legal Process

Step 1: Select the correct legal ground

Before issuing any notice, the employer must identify the lawful basis for termination. Common options include:

1. Probation failure.
2. Redundancy or reorganisation.
3. Performance-related termination.
4. Misconduct.
5. Termination at the employer’s will.
6. Mutual agreement.

Using the wrong legal basis is one of the most common causes of disputes.

Step 2: Check employee protections

Certain employees benefit from enhanced protection. Employers must verify whether the employee belongs to a protected category that affects notice periods or termination conditions.

Step 3: Calculate the notice period

• Standard notice: 1 month.
• Employment under 1 year: 2 weeks.
• Extended notice applies for protected employees.
• Termination at the employer’s will requires 3 working days’ notice, but involves mandatory severance.

Step 4: Issue written notice

Termination must be communicated in writing. The notice should clearly state:

• the legal ground for termination,
• factual reasons,
• notice start and end dates,
• final working day,
• severance and settlement details.

Step 5: Prepare supporting documentation

Employers should maintain a clear evidence file, such as:

• probation evaluations,
• performance targets and reviews,
• restructuring decisions,
• warnings or disciplinary records,
• redundancy selection criteria.

Step 6: Final settlement

On termination, the employee is entitled to:

• outstanding salary,
• compensation for unused annual leave,
• severance pay, if applicable.

Step 7: Dispute resolution

Employment disputes are typically reviewed by the Labour Disputes Commission. Deadlines are strict:

• usually 3 months from the date the violation became known,
• 1 month for disputes relating to unlawful dismissal.

Key Legal Requirements & Documents

Probation-related documents

• Employment contract with probation clause.
• Probation assessment records.
• Written termination notice.
• Proof of proportional probation for short fixed-term contracts.

Termination documents

• Written termination notice.
• Legal basis justification.
• Notice period calculation.
• Employer decision documents.
• Final settlement calculations.

Employer’s will termination

• Written notice confirming 3 working days.
• Proof of severance equal to at least 6 months’ average salary.

Common Legal Mistakes to Avoid

• Using probation without including it in the employment contract.
• Applying a full probation period to very short fixed-term contracts.
• Ignoring extended notice rules for protected employees.
• Issuing vague or incomplete termination notices.
• Choosing an inappropriate legal ground for convenience.
• Missing dispute deadlines.

Frequently Asked Questions (FAQ)

What is the maximum probation period in Lithuania?
In most cases, probation may not exceed 3 months. In exceptional cases, it may be extended up to 6 months.

Can an employer terminate employment during probation easily?
Termination during probation is simpler, but it must still be lawful, documented, and compliant with notice requirements.

What is the standard notice period in Lithuania?
Generally, 1 month. If employment lasted less than 1 year, 2 weeks may apply.

Who is entitled to longer notice periods?
Employees close to retirement, parents of young children, pregnant employees, and employees with disabilities may receive extended notice.

What is termination at the employer’s will?
It allows termination with 3 working days’ notice but requires severance of at least 6 months’ average salary.

How long do I have to challenge a dismissal?
Usually 1 month for dismissal-related disputes and up to 3 months for other employment violations.

Conclusion

Probation, termination & notice periods in Lithuania are highly regulated and procedural. Employers must carefully select the correct legal basis, calculate notice periods accurately, and maintain proper documentation. Employees should be aware of their rights and act promptly if a termination appears unlawful. Understanding these rules is essential for compliant and predictable employment relationships in Lithuania.