Latvia Employment Contracts
In Latvia, employment contracts must be presented to employees in writing. An indefinite contract is the standard, with fixed-term contracts admitted only in certain conditions.
National legislation and the Labor Code govern employment conditions, benefits, and health and safety regulations in Latvia, and must be adhered to. However, this may according to the industry and sector, and it is best to confirm with the Labor Inspectorate on what regulation applies.
Labor law in Latvia is based on both employer and employee protection. The employment relationship and its terms are hierarchically determined by the Constitution, international treaties, the local labor law, collective bargaining and agreements, employment rules and business practices, with the individual contract being last in the order.
To be fully aware of what you can and cannot apply to your employment practices in Latvia, it is important for the employer to know the existing labor laws and employee entitlements, as well as collaborate with the appropriate local employment organizations.
Employment Contracts in Latvia
In Latvia, there are two main types of employment contracts that can used:
Open-ended employment contract – the standard type of employment contract in Latvia, which is used for indefinite employment.
Fixed-term employment contract – this contract type is used in cases of seasonal work, work where contract length must be specified, replacement of an absent employee, casual work not performed in the company, emergency work, and special industries, amongst other specific occasions.
A fixed-term contract cannot exceed 5 years.
All employee contracts, irrespective of type, should contain the following conditions:
- the place of work
- the employee’s specific occupation and its corresponding functions
- the salary
- the probation periods
- the working hours
- the required notice periods
- the conditions of the collective agreement or work procedure regulations that apply to the employment relationship
- the start date and duration of the employment relationship (for fixed-term contracts only)