POPULATION
1.9m
CURRENCY
€ (EUR)
CAPITAL CITY
Riga
Latvia, officially the Republic of Latvia, is a country in the Baltic region of Europe. Known for its stunning landscapes, diverse culture, and rich history, Latvia is a popular destination for tourism and cultural exploration. From the bustling streets of Riga to the serene landscapes of Gauja National Park, Latvia offers a wealth of cultural and natural attractions.
Latvia's economy is diverse, with key sectors including manufacturing, services, and agriculture. The country is a major exporter of goods and a popular tourist destination, attracting visitors from around the world with its beautiful cities, historic sites, and world-renowned cuisine.
Disclaimer: This content is for informational purposes only. We do not guarantee the accuracy or completeness of this content. It is not legal advice and shall not be relied on as such.
Latvia's Labor Law mandates the conclusion of employment contracts in writing. They must include information regarding employee and employer identification, start date, place of work, designation, remuneration, working hours, paid leave, notice period, probation, etc. If the employment contract has not been made in writing, the employee has the right to request it in a written form.
An employment contract must be made and signed in duplicate, 1 for each party.
The Labor Law of Latvia mandates employment contracts to be made in writing. All employees have the right to request written contracts if not provided with one. The law also states that if the employee (or the employer) has started to perform the duties contracted for, an agreement in any form other than written has the same legal consequences as an employment contract expressed in writing.
There are no provisions for oral contracts.
The Labor Law of Latvia mandates employment contracts to be made in writing. The law also states that if the employee (or the employer) has started to perform the duties for which they have been contracted, an agreement in any form has the same legal consequences as an employment contract expressed in writing.
There are no provisions for implied contracts.
The standard working hours are 8 hours per day or 40 per week. If the daily working time on any weekday is shorter than the regular daily working time, the length of some other weekday may be extended, but not more than by 1 hour.
For employees working in high-risk jobs, as well as young employees over the age of 15 but under 18, working hours cannot exceed 7 per day or 35 per week. Employees between 13 and 15 years of age may not work for more than 10 hours a week.
A workday is reduced by an hour before public holidays unless a shorter working time has been specified by a collective agreement, working procedure regulations, or an employment contract.
Employment contracts can include a probationary period not exceeding 3 months in duration. Employees under 18 years of age cannot be employed with probation. An employment contract must explicitly state the duration of the probationary period. Without reducing the overall protection level of employees, a probationary period exceeding 3 months but not exceeding 6 months may be agreed upon in a collective agreement concluded with an employee trade union.
In case of termination of a contract during the probationary period, it is not mandatory to give a reason for termination; however, a notice of at least 3 days must be provided. If the employer, when giving a notice of termination of an employment contract during the probationary period, has violated the prohibition of differential treatment, the employee has the right to bring an action to a court within 1 month from the date of the termination notice receipt.
When terminating an employment contract, an employer must give a notice period to employees based on the reason for termination as follows:
The notice must be given in writing and include the reason for termination.
Persons hired for temporary work have the right to 1 day's notice. Fixed-term contracts without a final date can be terminated by giving 2 weeks' notice.
Employees who have been dismissed for lack of occupational competence, temporary disability, liquidation of the business, or reduction in the workforce are entitled to severance pay. Severance benefits are paid as follows, depending on the years of service:
Latvia's labor law provides that an employee's salary cannot be less than the minimum level determined by the government. On October 27, 2022, Latvia's Saeima (parliament) passed a minimum wage increase of EUR 620 (euros) for 2023 and EUR 700 for 2024, based on a 40-hour workweek. Employees who fail to provide the minimum wage are subject to a fine. The law requires wages to be paid 2 times a month unless otherwise agreed upon with the employee, in which case it cannot be paid less than 1 time a month.
The Ministry of Welfare, in collaboration with the Ministry of Finance and the Ministry of Economics, determines the minimum wage.
Employees who work in excess of the standard 40 hours a week are entitled to overtime pay. Overtime is permitted only if the employee and the employer have agreed to it in writing, except when required for urgent work or accidents.
Overtime work cannot exceed 8 hours in 7 days, averaged over 4 months. For urgent needs, overtime work can last up to 6 consecutive days. Overtime work is paid with a premium of 100% over the employee's standard wages (the premium can also be substituted with paid rest).
Employees working on public holidays are entitled to a supplement of at least 100% of the employee's standard wage rate. A collective agreement or an employment contract may specify a higher supplement for overtime work or work on a public holiday. The length of a working day before a public holiday is reduced by 1 hour.
Employees on annual leave are paid their regular wages.
Latvia is a Schengen member, and foreign nationals wishing to enter the country must apply for a Schengen visa. The following visa types are issued depending on the purpose and duration of the visit:
All three types can be issued as individual single-entry, double-entry or multiple-entry visas.
Foreign nationals are allowed to work in Latvia under the following categories of residence permits:
Effective June 13, 2022, Latvia temporarily suspended temporary residence permits to Russian and Belarusian citizens. The limitation on the issuance of temporary residence permits is in force until June 30, 2023.
As of September 2023, Latvian consular posts are now issuing long-stay (D) visas to Russian citizens with Latvian temporary residence permits.
Foreign nationals employed with a specific employer in a particular profession require a work permit and a residence permit for their stay in Latvia. A work permit is issued together with a visa or a temporary residence permit after a Latvian employer has demonstrated a necessity for a specific specialist. A short-term work permit is valid for 6 months, and long-term permits are issued in accordance with the residence permit (up to 4 years for temporary residence and indefinitely for permanent residence).
Foreign nationals who have received a permanent residence permit for certain categories are allowed to work in Latvia without restrictions.
Population 1.9m
Population in total, including all residents regardless of legal status © 2024 - WBG • EUROSTAT
68.8%
Urban Population
92.7%
Internet access
95%
Banking access
100%
Mobile phone access
Population: The World Bank: World Development Indicators: World Bank Group • World Population Prospects, United Nations (UN), uri: https://population.un.org/wpp/, publisher: UN Population Division; Statistical databases and publications from national statistical offices, National Statistical Offices, uri: https://unstats.un.org/home/nso_sites/, publisher: National Statistical Offices; Eurostat: Demographic Statistics, Eurostat (ESTAT), uri: https://ec.europa.eu/eurostat/data/database?node_code=earn_ses_monthly, publisher: Eurostat; Population and Vital Statistics Report (various years), United Nations (UN), uri: https://unstats.un.org, publisher: UN Statistics Division
Urban Population: The World Bank: World Development Indicators: World Bank Group • World Urbanization Prospects, United Nations (UN), uri: https://population.un.org/wup/, publisher: UN Population Division
Internet access: The World Bank: World Development Indicators: World Bank Group • World Telecommunication/ICT Indicators Database, ITU (ITU), uri: https://datahub.itu.int/
Banking access: The World Bank: World Development Indicators: World Bank Group • FINDEX, WBG (WB), uri: https://www.worldbank.org/en/publication/globalfindex
Mobile phone access: The World Bank: World Development Indicators: World Bank Group • World Telecommunication/ICT Indicators Database, ITU (ITU)
Employees in Latvia are entitled to annual paid leave of at least 4 weeks, excluding public holidays. The right to full leave starts after 6 months of continuous work in the first year. Employees who have taken maternity leave can use their annual leave in the same year irrespective of service duration with the employer.
Supplementary annual leave is granted to employees taking care of a child with a disability under 18 years of age or children under 16 (the duration of leave depends on the number of children). Persons who work in jobs associated with special risks are also eligible for supplementary annual leave.
Annual leave can be transferred to the next year under certain circumstances.
Employees who have paid at least 3 monthly contributions within the last 6 months or 6 contributions in the last 24 months are entitled to sickness benefits. Sick leave is paid as follows:
The employee must present a medical certificate to the employer.
Pregnant employees are entitled to 112 days of maternity leave: 56 days before birth and 56 days after birth, each of which can be increased to 70 days in case of any complications. Employers must also provide appropriate leave for medical checkups if it is not possible to undergo such an examination outside of working time. It is prohibited to employ pregnant women in harmful jobs that pose a risk to their or their child's health or to force them to work overtime. A pregnant woman can request to work part-time during the period following childbirth for up to 1 year.
Employees have the right to return to their previous position after maternity leave. Employers are prohibited from giving a notice of termination of an employment contract to women during pregnancy and the period following childbirth for up to 1 year.
Maternity benefits are paid by the State Social Insurance Agency as 80% of the average salary of the employee for 112 days or a maximum of 140 days in case of complications. The benefit must be requested within 6 months from the first day of the maternity leave.
Latvia's labor law grants employees paternity leave of 10 calendar days. This leave must be taken within 2 months from the birth of the child. If a mother has died in childbirth or during the first 42 days following delivery, the father is entitled to a leave of 70 days from the date the child was born. Same-sex couples are also entitled to paternity leave.
The benefits for paternity leave are paid by the State Social Insurance Agency as 80% of the average salary of the applicant. The benefit must be requested within 6 months from the 1st day of the leave.
The social security insurance scheme in Latvia covers benefits for retirement pensions. The legal retirement age is 64 years and 3 months, increasing by 3 months every year till it reaches 65 years in 2025. The insured person must make social insurance contributions for at least 20 years to be eligible for a pension.
The monthly retirement pension is calculated based on the insured's accumulated pension capital, average salary, insurance period, and average life expectancy.
Latvia also provides a state social security old-age allowance of EUR 109 per month to residents who stay in Latvia permanently and are not eligible to receive the state pension.
The State Social Insurance Agency provides survivors pension to children, siblings, and grandchildren under 18 years, as a percentage of the old-age pension the deceased received or would have been entitled to receive, ranging from 50% to 90%. The minimum monthly pension is EUR 136 (euros) for children under 6 years of age and EUR 163 for children 7 or above. A deceased person's spouse is eligible for benefits if the deceased received an old-age, invalidity, or work record related pension and died after January 1, 2019. The spouse is entitled to 50% of the pension received by the deceased person.
If an insured employee dies due to a work-related accident or occupational disease, their survivors receive insurance indemnity, calculated based on the deceased person's average monthly insurance contribution salary. A funeral allowance is also paid.
Latvia also provides State social security allowance to permanent residents under 18 in case of the loss of a supporter. The benefit is paid as a minimum monthly pension of EUR 136 for children under 6 years of age and EUR 163 for children 7 or above.
Insured persons are entitled to a disability pension if they have not reached the retirement age and have been assessed with a disability. The pension amount depends on the type of disability and average insurance contribution salary, contribution period, and years left for retirement. The minimum amount of invalidity pension is granted if the person has not been subject to invalidity insurance for 5 years before becoming eligible for this benefit.
In case of disability caused by a work-related accident or occupational disease, employees are entitled to indemnity for loss of ability to work, depending on the type and degree of disability.
Latvia provides state social security disability allowance to disabled persons over 18 years of age who reside in Latvia permanently and are not eligible for state pensions.
It is prohibited to employ children under 15 years of age in permanent work in Latvia. Children above 13 years of age can work outside of school hours doing light work that is not harmful to their safety, health, morals, and development, with written consent from their parents. Young employees cannot be hired under a probationary period.
Persons under 18 years of age can be hired only after a prior medical examination, repeated annually until they reach 18. It is prohibited to employ minors under 18 in work associated with increased risk to their safety, health, morals, and development.
Remuneration for employees under 18 cannot be less than the minimum wage. They cannot be employed for more than 5 days a week. Employees between 13 and 15 years of age cannot work more than 10 hours a week, and the working hours for those above 15 and under 18 may not exceed 7 per day or 35 per week. They are entitled to a daily rest of 14 consecutive hours. It is prohibited to employ persons under 18 in overtime work and between 8:00 p.m. to 6:00 a.m.
Unemployment 6.7%
Share of the labor force that is unemployed, but available for and seeking employment © 2024 - WBG • ILO
60.6%
Labor force population share
49.6%
Female share of labor force
75%
Healthcare access
Unemployment: The World Bank: World Development Indicators: World Bank Group • ILO Modelled Estimates database (ILOEST), ILO (ILO), uri: https://ilostat.ilo.org/data/bulk/, publisher: ILOSTAT, type: external database, date accessed: January 07, 2025.
Labor force (total): The World Bank: World Development Indicators: World Bank Group • ILO (ILO), type: estimates based on external database; United Nations (UN), publisher: UN Population Division; Staff estimates, WBG (WB)
Labor force population share: The World Bank: World Development Indicators: World Bank Group • ILO Modelled Estimates database (ILOEST), ILO (ILO), uri: https://ilostat.ilo.org/data/bulk/, publisher: ILOSTAT, type: external database, date accessed: January 07, 2025
Female share of labor force: The World Bank: World Development Indicators: World Bank Group • ILO (ILO), type: estimates based on external database; United Nations (UN), publisher: UN Population Division; Staff estimates, WBG (WB)
Healthcare access: The World Bank: World Development Indicators: World Bank Group • GHO, WHO (WHO), uri: https://www.who.int/data/gho/data/themes/topics/service-coverage
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