LABOUR CODE

LABOUR CODE APPROVED BY Law No IX-926 of 4 June 2002 REPUBLIC OF LITHUANIA LABOUR CODE (As last amended on 2 December 2010 – No XI-1203) PART I GENERAL PROVISIONS CHAPTER I LABOUR LAWS AND RELATIONSHIPS REGULATED BY LABOUR LAWS Article 1. Relationships Regulated by the Labour Code of the Republic of Lithuania 1. This Code shall regulate employment relationships connected with the exercise and protection of employment rights and the fulfilment of employment obligations established in this Code and other regulatory acts. 2. The limits of regulation of individual spheres of employment relationships shall be established by this Code, as well as by other laws and Government resolutions in accordance with the limits established by this Code. Article 2. Principles of Legal Regulation of Employment Relationships 1. The regulation of relationships referred to in Article 1 of this Code shall be subject to the following principles: 1) freedom of association; 2) freedom of choice of employment; 3) state aid to persons in realising the right to employment; 4) equality of subjects of labour law irrespective of their gender, sexual orientation, race, nationality, language, origin, citizenship and social status, religion, marital and family status, age, beliefs or views, membership in political parties and public organisations, factors that are not related to the employee's professional qualities; 5) provision of safe and healthy working conditions; 6) fair remuneration for work; 7) prohibition of all forms of forced and compulsory labour; 8) stability of employment relationships; 9) uniformity of labour laws and their differentiation on the basis of working conditions and psychophysical qualities of employees; 10) freedom of collective bargaining for the purpose of reconciliation of interests of employees, employers and the state; 11) liability of the parties to collective agreements for their obligations. 2. The state must support the implementation of employment rights. Employment rights may in exceptional cases be restricted only by law or by a court decision where such restrictions are necessary in order to protect public order, the principles of public morals, as well as the health, life, property, rights and legitimate interests of members of the public. Article 3. Sources of Labour Law 1. The sources of labour law shall comprise the Constitution of the Republic of Lithuania, international treaties to which the Republic of Lithuania is a party, EU legal norms regulating employment relationships, this Code, other laws and regulatory acts consistent with these laws, regulatory provisions of collective agreements. 2. Government resolutions and other regulatory acts may regulate employment relationships only in the cases and to the extent determined by this Code and other laws. Article. 4. Labour Laws and other Regulatory Acts 1. Labour laws shall establish: 1) the scope, tasks and principles of labour law; 2) legal grounds of the employment of the population; 3) rules for concluding and implementing collective agreements, as well as the liability of the parties for their obligations; 4) conditions of remuneration for work in enterprises, establishments and organisations financed from the state and municipal budgets; 5) maximum working time and minimum rest periods; 6) the amount of minimum benefits, guarantees, compensations and the level of other employment rights; 7) basic employee safety and health standards and rules; 8) rights of trade unions and other employees' representatives in the sphere of employment; 9) basic provisions of professional education and in-service training; 10) grounds for ensuring labour discipline; 11) conditions and amount (limits) of material liability; 12) basic provisions of the supervision of and control over compliance with labour laws. 2. The Government, other state and municipal institutions shall have the right to adopt, within their respective competence, regulatory acts on the issues relating to the regulation of employment relationships. The Government may not adopt regulatory acts putting employees in a worse position as compared to that established by this Code and other labour laws. The provisions of regulatory acts of other state and municipal institutions putting employees in a worse position as compared to that established by this Code and other labour laws shall be null and void. 3. Enterprises, establishments and organisations may, within their respective competence and in the manner prescribed by laws, adopt internal (local) regulatory acts establishing working conditions other than those regulated by labour laws and other regulatory acts referred to in paragraphs 1 and 2 of this Article, as well as providing for work, social and household allowances to employees or their groups in addition to those established by laws and other regulatory acts. 4. Tripartite agreements, collective agreements and internal (local) regulatory acts on working conditions putting employees in a worse position as compared to that established by this Code, laws and other regulatory acts shall be null and void. In the cases where this Code and other laws do not directly prohibit subjects of legal employment relationships from establishing, of their own accord and by agreement, mutual rights and obligations, these subjects must observe the principles of equity, reasonableness and fairness. Article 5. Scope of Labour Laws 1. Labour laws and other regulatory acts shall be applied to employment relationships in the territory of the Republic of Lithuania regardless of whether a person is employed in Lithuania or has been posted by his employer abroad. 2. Employment relationships which arise when persons are employed on board ships or on board aircraft shall be regulated by labour laws and other regulatory acts of the Republic of Lithuania when these ships are flying the national flag of the Republic of Lithuania or the aircraft is marked with the symbols of Lithuania. Labour laws, other regulatory acts of the Republic of Lithuania shall be applied to persons working on other means of transport if the employers who own these means of transport fall within the jurisdiction of the Republic of Lithuania. 3. Where an employer is a foreign state, the Government or an administrative unit or a unit operating as a diplomatic mission, foreign organisation or person, laws and other  regulatory acts of the Republic of Lithuania shall  apply to employment relationships with residents of the Republic of Lithuania to the extent they do not violate diplomatic immunity. 4. (Repealed). Article 6. Application of Foreign Law 1. Foreign law shall apply to employment relationships where this is provided for by international treaties to which the Republic of Lithuania is a party, laws of the Republic of Lithuania or agreements between the parties to the contract of employment. 2. Foreign law shall not apply where the application thereof is contrary to public order established by the Constitution and other laws of the Republic of Lithuania. In such cases labour laws of the Republic of Lithuania shall be applied. 3. The mandatory provisions of the labour law of the Republic of Lithuania shall be applied regardless of the fact that the parties have chosen to apply foreign law. Article 7. Law Applicable to Employment Relationships of International Character 1. The parties to a contract of employment may choose the law applicable both to the entire contract of employment and to a part thereof. The choice must be explicit or implicit from the conditions of the contract of employment or other circumstances. The choice by the parties of the applicable law shall not invalidate in the sphere of employee protection the mandatory legal provisions of the state whose laws would apply in the absence of an agreement between the parties on the applicable law. 2. In case of failure by the parties to choose the applicable law by an agreement between them, the said law shall be chosen based on the following principles: 1) in case of permanent employment in one state, the labour law of that state shall be applied irrespective of the employee temporarily working in another state; 2) if the employee has no permanent employment in any state, the labour law of the state where the employer has his principal place of business (headquarters) shall be applied; 3) if all the existing circumstances allow to conclude that employment relationships are connected to a greater extent with the state other than the one whose law is applicable according to the principles listed in paragraphs 2(1) and 2(2) of this Article, the labour law of that other state with which these employment relationships are connected to the greatest extent shall be applied. Article 8. International Treaties 1. Where international treaties to which the Republic of Lithuania is a party establish rules other than those laid down by this Code and other labour laws of the Republic of Lithuania, the rules of the international treaties to which the Republic of Lithuania is a party shall be applied. 2. International treaties to which the Republic of Lithuania is a party shall be directly applied to employment relationships, except in cases where international treaties provide that the application thereof requires a special regulatory act of the Republic of Lithuania. Article 9. Analogy of Law and Legislation 1. Where labour law has no direct provision regulating a certain relationship, the provisions of labour law regulating a similar relationship shall apply. 2. Where the analogy of labour regulatory acts cannot be applied, provisions of other branches of law regulating similar relationships shall apply according to the basic principles and spirit of labour laws. 3. Application by analogy of special legal provisions establishing exceptions from the general rules shall not be allowed. 4. Where relationships referred to in Article 1 of this Code are not regulated by labour regulatory acts, and provisions of other branches of law which regulate similar relationships may not be applied to them, the arising disputes shall be settled subject to the principles listed in paragraph 1 of Article 2. Article 10. Principles of Interpretation of Provisions of the Labour Code 1. The provisions of this Code shall be interpreted having regard to the system and structure of the Code in order to ensure the uniformity of the Code and the compatibility of its individual constituent parts. 2. The words and word combinations used in the Code shall be interpreted in their general meaning except for the cases when it can be inferred from the context that the word or combination of words is used in its special – legal, technical or other – meaning. In case of a contradiction between the general and special meaning of a word, the special meaning of the word shall be given priority. 3. When determining the actual meaning of the provision, the tasks and objectives of the Code and the provision being interpreted shall be taken into account. Article 11. Implementation of Labour Laws 1. In case of a contradiction between a provision of this Code and provisions of another law or regulatory act, the provision of this Code shall apply. 2. Should there be contradictions between the provisions of labour regulatory acts, the provision which is more beneficial for the employee shall apply. Article 12. Validity of Labour Laws Labour laws and other regulatory acts regulating employment relationships shall have no retroactive effect. CHAPTER II SUBJECTS OF LABOUR LAW Article 13. General Legal Capacity of Natural Persons in Employment Relationships 1. Capacity to have employment rights and obligations (legal capacity in employment relationships) shall be recognised equally to all citizens of the Republic of Lithuania. Foreign nationals and stateless persons, who are permanently residing in the Republic of Lithuania, shall have the same legal capacity in employment relationships in the Republic of Lithuania as its citizens. Exceptions may be provided for by laws. 2. A person shall acquire full legal capacity in employment relationships and capacity to acquire employment rights and undertake employment obligations when he reaches sixteen years of age. Exceptions shall be provided for by this Code and other labour laws. Article 14. General Legal Capacity of Employers in Employment Relationships 1. Employers shall acquire general legal capacity in employment relationships from the moment of their establishment. 2. Employers shall acquire employment rights and undertake employment obligations as well as exercise the above rights and fulfil the above obligations through their bodies and administration. The said bodies shall be formed and act in accordance with laws and the activity documents of employers. Owners of individual (personal) enterprises, farmers and employers-natural persons may exercise employment rights and fulfil employment obligations themselves. Article 15. Employee An employee is a natural person having general legal capacity in employment relationships pursuant to Article 13 of this Code and employed under a contract of employment for remuneration. Article 16. Employer 1. An employer may be an enterprise, establishment, organisation or any other organisational structure irrespective of the form of ownership, legal form, type and nature of activities, which has general legal capacity in employment relationships pursuant to Article 14 of this Code. 2. An employer may also be any natural person. General legal capacity of an employer (natural person) shall be regulated by the Civil Code. Article 17. Staff The staff shall comprise all employees connected with the employer by employment relationships. CHAPTER III REPRESENTATION OF LABOUR LAW SUBJECTS Article 18. Basic Principles of Representation 1. Employees and employers may acquire, change, waive or defend employment rights and obligations through the entities representing them. Employees and employers may be represented both in collective and individual employment relationships. Representation in collective employment relationships shall be regulated by this Code, whereas representation in individual employment relationships shall be regulated by the Civil Code insofar as such regulation is consistent with this Code. 2. Representation in collective employment relationships based on the effective labour laws shall occur without the expression of will of an individual employee provided that such entity or person represents the will of the majority of employees. Joint obligations assumed under such representation shall be binding on all the employees who fall within the scope of such obligations, even though individually they have not given special authorisation to the entity of collective representation. Article 19. Employees' Representatives 1. The rights and interests of employees under employment relationships may be represented and protected by trade unions. Where an enterprise, establishment or organisation has no functioning trade union and where a staff meeting has not transferred the function of employee representation and protection to the trade union of the respective sector of economic activity, the employees shall be represented by the works council elected by secret ballot at a general staff meeting. 2. The interests of both the employees and the employers may not be represented and protected by one and the same person. Article 20. Trade Unions When protecting employment, professional, economic and social rights and interests of the employees, trade unions shall be guided by laws regulating the activities of trade unions, this Code and their respective regulations. Article 21. Works Council 1. The status of works councils and the procedure of their formation shall be established by law. 2. The works council shall have all the rights of the entities of collective representation where an enterprise, establishment or organisation has no functioning trade union and where a staff meeting has not transferred the function of employee representation and protection to the trade union of the respective sector of economic activity (paragraph 1 of Article 19 of the Code). 3. The works council may not perform functions recognised under laws as the prerogative of trade unions. Article 22. Rights of Employees' Representatives 1. The employees' representatives shall have the following main rights of collective representation: 1) to conclude collective agreements, supervise the implementation thereof; 2) to submit proposals to the employer concerning the organisation of work in the enterprise; 3) to organise and manage strikes and other lawful measures which the employees have the right to take; 4) to submit proposals to state and municipal institutions; 5) to exercise non-governmental supervision of and control over compliance with labour laws; 6) to protect the rights and interests of the employees when the employer takes decisions concerning collective redundancies, the reorganisation of the enterprise, establishment or organisation and other decisions that are likely to have substantial effects on the legal status of the employees; 7) to receive information and have consultations with employers about the current and future activities of the enterprise (structural division), its economic situation and the status of employment relationships, as well as prior to taking decisions that are likely to have substantial effects on the organisation of work in the enterprise and the legal status of the employees; 8) to appeal to the court against decisions and actions of the employer and persons authorised by him if the said decisions and actions are contrary to legal norms and agreements or violate the rights of the represented person. 2. The entities representing the employees shall also carry out other actions representing the interests of the employees in employment relationships as well as complying with laws and not interfering with bona fide relationships between the parties. If the competence of the employees' representatives is not defined by laws, the remit of their competence shall be determined by the staff in the collective agreement. Article 23. Employers' Rights and Obligations Relating to the Employees' Representatives 1. An employer must: 1) respect the rights of the employees' representatives and not interfere with their activities. The activities of the employees' representatives may not be terminated at the employer's will; 2) when making decisions that may affect the legal status of the employees, hold consultations with the employees' representatives and, in cases provided for by laws, obtain their consent; 3) not delay collective bargaining; 4) consider the proposals submitted by the employees' representatives within the term set in this Code or, where no term is set, within one month and give a reasoned  response thereto in writing; 5) provide free of charge the minimum information on work-related issues concerning the activities of the enterprise; 6) provide conditions for the employees' representatives to perform their functions; 7) perform other obligations provided for by collective agreements; 8) ensure other rights of the employees' representatives provided for by laws. 2. Should the employees' representatives infringe the employer's rights, laws or agreements, the employer shall have the right to apply to the court in accordance with the procedure established by laws requesting termination of the activity infringing his rights, laws or agreements. Article 24. Representatives of Employers 1. An employer shall be represented both in collective and individual employment relationships by the manager of an enterprise, establishment or organisation. Employers may also be represented in enterprises by other persons (the administration) under the law or authorisation. The administration shall be comprised of officers who are entitled to give binding directions within their competence to the employees subordinate to them. The officers of the administration shall carry out operational management of an enterprise, establishment and organisation in accordance with laws and founding documents of the respective enterprise, establishment and organisation. 2. The manager of an enterprise, establishment or organisation shall be entitled, within his competence, to delegate part of his powers in the sphere of labour law to a natural or legal person. 3. Employers shall be represented in the social partnership on the national, sectoral (production, services, professional), territorial (municipality, county) level by employers’ organisations (their associations, federations, confederations, etc.). Employers’ organisations shall mean public legal persons operating under the Law on Associations, which represent the rights and interests of their member employers in the social partnership in accordance with their articles of association (statutes). 4. Employers which are enterprises, establishments or organisations financed from the state and municipal budgets, the budget of the State Social Insurance Fund and resources of other funds established by the State shall be represented in the social partnership on the national, sectoral (production, services, professional), territorial (municipality, county) level by the founder of the respective enterprise, establishment and organisation or an institution authorised by it, which has the rights and obligations of an employers’ organisation set forth in this Code. CHAPTER IV TIME LIMITS Article 25. Definition of a Time Limit 1. A time limit set by a labour law, agreement or decision of a labour dispute (conflict) resolution body may be defined by a calendar date or a certain time period.  2. A time limit may also be defined by reference to an event that must inevitably occur. Article 26. Calculation of Time Limits 1. A time limit defined by a certain time period shall start on the day following the calendar day or event that marks the beginning of the time limit. 2. Time limits calculated in years, months or weeks shall end on the relevant day of the year, month or week. Where a time limit calculated in months ends in the month which does not have an appropriate day, the time limit shall end on the last day of the month. Where it is not possible to determine exactly the starting month of the time limit which is calculated in years or the starting day of the time limit which is calculated in months, the last day of the time limit shall be considered to be, accordingly, the thirtieth day of June or the fifteenth day of the month. 3. A time limit defined by weeks or calendar days shall also cover weekends and holidays. Should the last day of the time limit fall on a non-working day, the next working day thereafter shall be considered as the end of the time limit. Unless otherwise established by laws, a time limit calculated in days shall be calculated in calendar days. 4. If a time limit is set for the performance of a certain action, the action may be performed by 24.00 (midnight) of the last day of the time limit. However, if an action has to be performed in a certain enterprise, establishment or organisation, the time limit shall expire at the hour when appropriate operations are terminated in that enterprise, establishment or organisation. 5. Written applications and notices delivered to the post office, telegraph or any other communications institution by 24.00 (midnight) of the last day of the time limit shall be considered to have been filed on time. Article 27. Limitation of Actions 1. Limitation of actions shall mean a period of time specified by laws within which a person may bring an action in defence of his infringed rights. 2. The general period of limitation for relationships regulated by this Code shall be three years, unless shorter periods of limitation of actions are established for individual claims by this Code or other labour laws. 3. There shall be no limitation of actions regarding employee's claims for defence of his honour and dignity. 4. Labour laws may provide that limitation of actions shall not apply with respect to certain other claims. 5. Unless this Code and other labour laws contain special provisions regarding the application of limitation of actions, the provisions of the Civil Code and the Code of Civil Procedure shall apply to limitation of actions. Article 28. Extinctive Time Limits 1. Labour laws may establish time limits upon the expiry whereof rights and obligations related thereto shall extinguish (extinctive time limits). 2. Extinctive time limits, save for the exceptions set forth in labour laws, may not be suspended, extended or renewed. Article 29. Procedural Time Limits The time limits set in labour laws for out-of-court and judicial proceedings shall be subject to the provisions of the Code of Civil Procedure relating to the application and calculation of these time limits, save for the exceptions set forth in labour laws. Article 30. Length of Service 1. Length of service shall mean a period of time during which a person had employment relationships regulated by this Code, as well as other periods which under regulatory acts or collective agreements may be included in the length of service which is taken into account by labour laws, other regulatory acts and collective agreements with regard to certain employment rights or additional guarantees and privileges. Length of service may be: 1) general, covering all periods of time when a person had legal employment relationships, as well as other periods that may be included in the length of service; 2) special, covering periods of employment in a certain profession, speciality or in a certain office or under certain working conditions, as well as periods that may be included in the special length of service; 3) length of service in a particular enterprise, establishment or organisation which covers the period of employment with the respective employer, as well as periods which may be included in the above length of service. Any change of the owner of the enterprise, establishment or organisation or changes in their subordination, their founders or names, as well as their merger or division by the formation of a new enterprise, establishment or organisation, division by acquisition, or merger by acquisition shall not affect the length of service in the respective enterprise, establishment or organisation; 4) uninterrupted period of service covers the period of employment in one enterprise, establishment, organisation or several enterprises, establishments or organisations if the person is transferred from one place of employment to another by agreement between the employers or on other grounds without interrupting the length of service or provided that the break in employment is within the set time limits. 2. The procedure for calculating the length of service, as specified in paragraphs 1(2), 1(3) and 1(4) of this Article, in enterprises, establishments and organisations financed from the state or municipal budgets shall be laid down by the Government and in other places of employment – by collective agreements. CHAPTER V CONTROL OVER COMPLIANCE WITH LABOUR LAWS Article 31. Bodies Exercising Control over Compliance with Labour Laws Control over compliance with labour laws, other regulatory acts and collective agreements shall be exercised by state and non-state bodies. Article 32. State Control over Compliance with Labour Laws, Collective Agreements and Prevention of Infringements Control over compliance by employers with the regulatory provisions of this Code, labour laws, other regulatory acts and collective agreements shall be exercised  and prevention of infringements of the said acts shall be effected by the State Labour Inspectorate and other institutions, within their competence established by laws. Article 33. Non-state Control over Compliance with Labour Laws, Collective Agreements Non-state control over compliance with labour laws, other regulatory acts, collective agreements shall be exercised by trade unions, inspectorates within their chain of command and other institutions operating in accordance with laws and other regulatory acts. CHAPTER VI EXERCISE AND PROTECTION OF EMPLOYMENT RIGHTS Article 34. Grounds Giving Rise to Employment Rights and Obligations Employment rights and obligations may arise, change or expire: 1) under this Code and other laws, contracts of employment, collective agreements and other arrangements which, though not provided for by laws, are not contrary to them; 2) under court judgements; 3) under administrative acts which result in legal consequences in employment matters; 4) as a result of the damage inflicted; 5) as a result of legal facts. Article 35. Exercise of Employment Rights and Fulfilment of Employment Obligations 1. While exercising their rights and fulfilling their obligations, employers, employees and their representatives must comply with laws, respect the rules of communal life and act in good faith, adhere to the principles of reasonableness, equity and fairness. Abuse of one's right shall be prohibited. 2. Exercise of employment rights and fulfilment of employment obligations must not infringe upon other persons' rights and interests protected by laws. It shall be prohibited to hinder the formation of trade unions by the employees and to interfere with the lawful activities of the unions. Article 36. Protection of Employment Rights 1. Employment rights shall be protected by laws except in cases when the rights are exercised inconsistently with their purpose, public interests, peaceful work, good usages or the principles of public morals. 2. Employment rights shall be protected by the court or any other dispute resolution body in accordance with the procedure established by laws and in one of the following ways: 1) by recognising the said rights; 2) by restoring the situation that existed before the infringement of the right and preventing performance of the acts infringing upon the right; 3) by obligating to perform the obligation in kind; 4) by terminating or modifying the legal relationship; 5) by recovering from the person who has infringed upon the right the pecuniary or non-pecuniary damage or, in the cases prescribed by laws, also penalty charges or late payment interest; 6) in other ways established by laws. 3. By way of exception, only the courts shall have the prerogative to protect employment rights under laws in the following ways: 1) by recognising as invalid the acts adopted by state institutions or individual officers where the said acts are contrary to laws; 2) by not applying the act adopted by a state institution, municipality or individual officer where the said act is contrary to laws. 4. Employment rights shall be protected by trade unions in accordance with the procedure established by laws regulating their activities. 5. In the cases specifically established by labour laws employment rights shall be protected under administrative procedure. 6. A person whose right has been infringed may claim damages unless otherwise established by labour laws. 7. Labour honour and business repute shall be protected pursuant to the Civil Code except in cases where this Code or other laws establish other procedure and ways for protecting labour honour and business repute. Article 37. Protection of Employment Rights by Employees Themselves Employees shall be permitted to protect their employment rights themselves only in the cases established by this Code. Article 38. Liability Liability for any infringement of the rights and obligations established by this Code shall be determined by this Code, laws, other regulatory acts, collective agreements and other arrangements. PART II COLLECTIVE EMPLOYMENT RELATIONSHIPS CHAPTER VII GENERAL PROVISIONS Article 39. Reconciliation of Interests of Subjects of Employment Relationships With the view of embodying social partnership, this Code and other laws shall establish that social partnership may be realised by way of  bargaining and agreements. Article 40. Concept and Principles of Social Partnership 1. Social partnership shall mean the system of interrelationships between representatives of employees and employers and their organisations and, in certain cases specified by this Code and other laws, also state institutions with a view to reconciling the interests of the subjects of employment relationships. 2. Social partnership shall be based on the following principles: 1) free collective bargaining; 2) voluntary and independent assumption of responsibilities binding the parties; 3) inviolability of the existing legal system; 4) actual fulfilment of responsibilities; 5) provision of objective information; 6) mutual control and accountability; 7) equality of parties, goodwill and respect for legitimate mutual interests. Article 41. Parties of Social Partnership Representatives of employees and employers and their organisations shall be considered to be parties of social partnership – social partners. In case of a tripartite social partnership the Government and municipal institutions shall participate in the partnership on an equal basis with representatives of employees and employers and their organisations. Article 42. Levels of Social Partnership 1. Social partnership may be developed on the following levels: 1) national; 2) sector (production, services, professional); 3) territorial (municipality, county); 4) enterprises, establishments or organisations and their structural divisions. Article 43. Forms of Social Partnership Social partnership shall be implemented: 1) through participation in the activities of bipartite or tripartite councils (commissions, committees); 2) through the exercise by employees’ representatives of information and consultation rights and other rights of participation in the employer's decision-making processes; 3) by conducting collective bargaining and concluding collective agreements. Article 44. System of Social Partnership The system of social partnership shall be comprised of: 1) the Tripartite Council of the Republic of Lithuania; 2) other tripartite and bipartite councils (commissions, committees) formed in accordance with the procedure established by laws or collective agreements. Article 45. Tripartite Council of the Republic of Lithuania 1. By agreement between social partners, the Tripartite Council of the Republic of Lithuania (hereinafter – Tripartite Council) shall be formed from the equal number of members enjoying equal rights: representatives of central (national) trade unions, employers' organisations and the Government. 2. The functions, rights, procedure of formation, organisation of work of the Tripartite Council shall be established in the Regulations of the Tripartite Council. The Regulations shall be approved by the parties specified in paragraph 1 of this Article. The Regulations of the Tripartite Council shall be amended and supplemented in accordance with the same procedure. The Regulations of the Tripartite Council, amendments and supplements thereto shall come into force in the manner specified therein. 3. The Regulations of the Tripartite Council, amendments and supplements thereto shall be published in "Valstybės žinios" (Official gazette). 4. Representatives of trade unions, employers' organisations and the Government shall furnish the Tripartite Council with the necessary information on the issues under consideration. 5. The Tripartite Council may conclude trilateral agreements on employment relationships and associated social and economic conditions, also on the regulation of mutual relationships between the parties to the agreement. 6. The Tripartite Council's agreements shall be published in "Valstybės žinios" by orders of the Prime Minister and come into force in the manner prescribed for the Government resolutions. Article 46. Other Trilateral and Bilateral Councils (Commissions, Committees) 1. Other trilateral or bilateral councils (commissions, committees) may be established in accordance with the procedure prescribed by laws or collective  agreements for addressing and resolving the issues of work, employment, employee safety and health and social policy implementation on the ground of trilateral and bilateral co-operation based on equal rights. 2. The procedure for the formation of such trilateral or bilateral councils (commissions, committees) and their functions shall be established in the regulations of the relevant councils (commissions, committees). In the cases established by laws these regulations shall be approved by the subjects specified by laws or the subjects of collective agreements. Article 47. Information and Consultation 1. The employees’ representatives shall have the right to information and consultation. Information shall mean the transfer of information (data) to the employees’ representatives for the purpose of introducing them to the substance of the matter. Consultation shall mean the exchange of views and the establishment and development of dialogue between the employees’ representatives and the employer. 2. The employer must regularly, at least once a year, inform the employees' representatives and hold consultations with them about the current and future activities of the enterprise (structural division), its economic situation and the status of employment relationships. 3. Prior to taking a decision on collective redundancies, the employer must inform the employees’ representatives and hold consultations with them. Information must cover the reasons for the projected redundancies, the total number of employees and the number of employees to be made redundant by category, the period over which employment contracts are to be terminated, the criteria for the selection of employees to be made redundant, the conditions for the termination of employment contracts and other relevant information. Consultations must be held with a view to avoiding collective redundancies or reducing the number thereof, or mitigating the consequences of such redundancies. 4. Prior to taking a decision on the reorganisation of the enterprise and other decisions that are likely to have substantial effects on the organisation of work in the enterprise and the legal status of the employees, the employer must inform the employees’ representatives and hold consultations with them about the reasons for such a decision, the legal, economic and social implications for the employees, as well as about any measures envisaged to avoid or mitigate the expected consequences. 5. Other cases, conditions and procedure of information and consultation shall be established by laws, collective agreements and agreements between the employer and the employees’ representatives. 6. In the case of information provision, the employer must provide the employees and their representatives with information in writing in a timely manner free of charge and shall be responsible for the correctness of such information. Upon submitting a written obligation not to reveal any commercial/industrial or professional secret, the employees or their representatives shall have the right of access to information which constitutes a commercial/industrial or professional secret but is necessary for the performance of their duties. The employees and their representatives, irrespective of where they are and regardless of the termination of employment relationships or powers of representation, shall be prohibited from using for any other purpose or disclosing to the third persons any information which has been communicated to them as a commercial/industrial or professional secret. Access to State, official secrets and liability for the disclosure or unlawful use thereof shall be regulated by special laws. 7. Consultations concerning the information (data) communicated by the employer and the opinion expressed by the employees' representatives must be held in a timely manner, enabling employees' representatives to meet the competent decision-making representatives of the employer and obtain reasoned responses. Consultations must be held with a view to reaching a decision satisfactory to both the parties. The results of consultations shall be recorded in the minutes. 8. The employer may refuse in writing to provide any information which constitutes a commercial/industrial or professional secret, or to undertake consultation with the employees' representatives when the nature of that information or consultation is such that, according to objective criteria, it would seriously harm the functioning of the undertaking concerned or would be prejudicial to it. The employees' representative, disagreeing with the decision of the employer, may, within one month, apply to the court. After the court’s ruling that the refusal to provide information or undertake consultation is unjustified, the employer in question shall be obligated to provide such information or undertake consultation within a reasonable period of time. 9. The specific features of information and consultation procedures in Community-scale undertakings, Community-scale groups of undertakings, European companies and European cooperative societies shall be established by special laws. 10. In the absence of employees' representatives in the undertaking, in the cases specified in paragraphs 3 and 4 of this Article, the employer must inform the employees in advance directly or at a general staff meeting about the date of the execution of decisions taken, the reasons for such decisions, their legal, economic and social implications, as well as about any measures envisaged in respect of employees. Article 48. Collective Bargaining 1. The subjects of collective employment relationships and their representatives shall reconcile their interests and settle disputes by way of negotiations. The party willing to negotiate shall present itself to the other party in the negotiations. The presentation shall be effected in writing and specify the reasons for negotiations. The party seeking negotiations must present clearly formulated demands or proposals. 2. The parties shall agree on the opening and procedure of the negotiations. In case of failure by the parties to reach an agreement on the above issue, the negotiations must be conducted within two weeks from the day the other party received the presentation for negotiations. 3. Collective bargaining must be conducted in good faith and without delay. 4. Parties to the collective agreement and their representatives shall have the right to demand from the other party to submit information on all issues relating to the negotiations. Information must be presented within one month from the day it was requested, unless otherwise agreed by the parties or their representatives. 5. The party which is bound to submit information shall have the right to demand the other party not to disclose the submitted information on other grounds. Disclosure of confidential information shall make the other party liable under laws. 6. The parties shall consult on the received information, the satisfaction of the submitted demands and their settlement procedure, the progress of negotiations and other issues. 7. Unless otherwise decided by the parties, the negotiations shall be deemed completed upon the signing of a collective agreement, drawing up of a protocol of disagreement or upon delivery by one of the parties to the other of a written notification of its withdrawal from the negotiations. Article 49. Types of Collective Agreements Collective agreements may be concluded on the following levels: 1) state (national) level; 2) sectoral (production, services, professional) or territorial (municipality, county) level; 3) enterprise (establishment, organisation) level or on the level of its structural division. CHAPTER VIII NATIONAL, SECTORAL AND TERRITORIAL COLLECTIVE AGREEMENT Article 50. Contents of a National, Sectoral and Territorial Collective Agreement 1. A national, sectoral and territorial collective agreement shall be an agreement concluded in writing between trade union organisations (association, federation, centre, etc.) and employers' organisations (association, federation, confederation, etc.). 2. A collective agreement concluded on a sectoral level shall define the socio-economic development trends of the sector, the conditions of work organisation and remuneration for work as well as social guarantees of employees (professional groups). 3. A collective agreement concluded on a territorial level shall specify the conditions for dealing with certain work, socio-economic problems which reflect territorial peculiarities. 4. As a rule, the following shall be specified in a collective agreement concluded on a national, sectoral or territorial level: 1) terms and  conditions of remuneration for work, working time and rest periods, safety and health of the employees; 2) system of remuneration for work in the event of rising prices or increasing inflation; 3) conditions of speciality acquisition, in-service training and retraining; 4) social partnership support measures which help to avoid collective disputes, strikes; 5) procedure for determining, changing and revising work quotas, time worked, supply of services, number of employees; 6) other working, social and economic conditions which are important to the parties; 7) procedure for amending and supplementing the collective agreement, period of validity, control of execution, liability for the violation of the agreement, etc. Article 51. Parties to a National, Sectoral and Territorial Collective Agreement 1. Parties to a national collective agreement shall be the central (national) trade union organisations and employers' organisations. 2. Parties to a sectoral collective agreement shall be the trade union organisations and employers’ organisations of an appropriate sector of industry (production, services, profession). 3. Parties to a territorial collective agreement shall be the trade union organisations and employers’ organisations acting in the specified territory (municipality, county). Article 52. Scope of a National, Sectoral or Territorial Collective Agreement 1. A national, sectoral and territorial collective agreement shall be applied in respect of those employers who: 1) were members of the associations of employers which signed the agreement; 2) joined the above associations after the signing of the agreement; 3) in the case specified in paragraph 4 of Article 24 of this Code, were included in the list of enterprises, establishments and organisations covered by the collective agreement attached to that national, sectoral or territorial collective agreement. 2. Where the provisions of a sectoral or territorial collective agreement are of consequence for an appropriate sector of production or profession, the Minister of Social Security and Labour may extend the scope of the sectoral or territorial collective agreement or separate provisions thereof, establishing that the agreement shall be applied with respect to the entire sector, profession, sphere of services or a certain territory if such a request has been submitted by one or several employees' or employers' organisations which are parties to the sectoral or territorial agreement. 3. Where several collective agreements are applicable in an enterprise, the provisions of the agreement which provide for more favourable conditions for the employees shall apply. Article 53. Procedure for Drawing up a National, Sectoral or Territorial Collective Agreement 1. The drawing up of a national, sectoral and territorial collective agreement in accordance with the procedure established in Article 48 of this Code shall be initiated by the parties specified in Article 51 of the Code. 2. The procedure and time limits for drawing up, signing, supplementing and amending a national, sectoral and territorial collective agreement as well as other related issues shall be determined by the parties to the agreement. Article 54. Registration of a National, Sectoral or Territorial Collective Agreement 1. A national, sectoral and territorial collective agreement shall be subject to registration upon application. The registration procedure shall be established by the Government. The national, sectoral and territorial collective agreement shall, within twenty days from the signing thereof, be submitted for registration by the party – the employers' organisation. 2. If the employers' organisation fails to register the national, sectoral and territorial collective agreement within the time limit set in paragraph 1 of this Article, the other party to the agreement – the trade union – shall acquire the right to submit the national, sectoral and territorial collective agreement for registration. The trade union shall submit the national, sectoral and territorial collective agreement for registration within ten days from the expiry of the time limit specified in paragraph 1 of this Article. Article 55. Validity of a National, Sectoral and Territorial Collective Agreement A national, sectoral and territorial collective agreement shall enter into force from the day of its registration and be valid until the date specified therein or until the conclusion of a new national, sectoral or territorial collective agreement. Article 56. Termination of a National, Sectoral and Territorial Agreement A national, sectoral and territorial collective agreement may be terminated in the cases and in accordance with the procedure established therein. Article 57. Control over the Implementation of a National, Sectoral and Territorial Collective Agreement The implementation of a national, sectoral and territorial collective agreement shall be controlled by the parties to the agreement or persons authorised by them to that end, as well as by the institutions exercising control over compliance with labour laws. Article 58. Settlement of Disputes Arising during the Conclusion and Implementation of National, Sectoral and Territorial Collective Agreements 1. Disputes arising over the conclusion and implementation of a national, sectoral and territorial agreement, as well as disputes over non-performance or improper performance of the collective agreement, leading to infringements of the collective interests and/or rights of employees shall be settled in accordance with the procedure established in Chapter X of this Code. 2. Disputes between individual employees and the employer over non-compliance or defective compliance with the normative provisions of the national, sectoral or territorial collective agreement shall be settled in accordance with the procedure for settling individual labour disputes (Chapter XIX of the Code). CHAPTER IX COLLECTIVE AGREEMENT OF AN ENTERPRISE Article 59. Collective Agreement of an Enterprise and its Coverage 1. A collective agreement of an enterprise shall be a written agreement between the employer and the employees of the enterprise about working conditions, conditions of remuneration for work and other social and economic conditions. A collective agreement of an enterprise shall be concluded in all types of enterprises, establishments and organisations. 2. A collective agreement concluded in an enterprise shall be applicable to all the employees of the enterprise. Collective agreements may be concluded in branches, representative offices and structural divisions of the enterprise in accordance with the procedure established by the collective agreement of the enterprise and within the limits of the said collective agreement. 3. The specific features of conclusion of collective agreements of an enterprise in the national defence, police and state public administration services shall be established by laws regulating the activities of the respective services. Article 60. Parties to a Collective Agreement of an Enterprise 1. The parties to a collective agreement of an enterprise shall be the staff of the enterprise and the employer, who, for the purposes of concluding such an agreement, shall be represented by the trade union functioning in the enterprise and the manager of the enterprise or authorised administrative officers. 2. Where several trade unions are active in an enterprise, the collective agreement of the enterprise shall be concluded by the joint representation of the trade unions and the employer. 3. The joint representation of the trade unions shall be formed by agreement between the trade unions. If the trade unions fail to reach an agreement on the formation of the joint representation of the trade unions, the decision on the representation shall be adopted by a staff meeting (conference). 4. Where an enterprise has no functioning trade union and where a staff meeting has not transferred the function of employee representation and protection to the trade union of the respective sector of economic activity, a collective agreement may be concluded between the employer and the works council in accordance with the regulations for concluding collective agreements as established in this Chapter. Article 61. Contents of a Collective Agreement of an Enterprise 1. The parties to a collective agreement of an enterprise shall lay down in the agreement the working, professional, social and economic conditions and guarantees which are not regulated by laws and other regulatory acts or by a national, sectoral or territorial collective agreement or which are not contrary to the above-mentioned acts and do not put employees in a worse position. 2. The following conditions may be included in the collective agreement of an enterprise: 1) conditions for concluding, changing and terminating contracts of employment; 2) conditions of remuneration for work (provisions regarding wage rates, basic salaries, bonuses, additional pays, other benefits and compensatory allowances, systems and forms of remuneration for work and provision of incentives, setting of work quotas, indexing and payment of wages and salaries and settlement procedure as well as other provisions); 3) working time and rest periods; 4) provision of safe and healthy working conditions, granting of compensatory allowances and other privileges; 5) acquisition of  a profession or speciality, in-service training, retraining and related guarantees and privileges, as well as guarantees provided during the period of vocational rehabilitation; 6) procedure for implementing the collective agreement of the enterprise; 7) exchange of information and consultations between the parties; 8) other working, economic and social conditions and provisions which are of consequence for the parties. Article 62. Drafting of a Collective Agreement of an Enterprise and its Consideration 1. A commission shall be set up by the parties on a parity basis for drafting a collective agreement of an enterprise. The composition of the commission shall be specified in the protocol to the agreement between the parties. The date of the signing of the protocol shall be considered to be the commencement of  collective bargaining. 2. When commencing the negotiations, the parties shall discuss what information they will present, time limits for the presentation thereof, the procedure and time limits for drafting a collective agreement of an enterprise. 3. If no agreement is reached on the information to be furnished, the procedure for drafting a collective agreement, the time limits of negotiations, the contents of the enterprise's collective agreement, a protocol of disagreement shall be drawn up. The protocol shall specify the measures proposed by the parties necessary for eliminating the reasons of disagreement and the time limit for resuming the negotiations. 4. The draft collective agreement of the enterprise agreed between the parties shall be submitted to the staff meeting (conference) for consideration. If the meeting (conference) does not approve of the submitted draft, the representatives of the parties shall amend and supplement it taking into account the comments and proposals made and within 15 days repeatedly submit to the staff meeting (conference) for consideration. If the staff meeting (conference) approves of the draft collective agreement of the enterprise, the collective agreement shall be signed by the representatives of the parties not later than within three days. If the draft collective agreement is not approved at the reconsideration stage, the staff meeting (conference) shall take a decision to reopen collective bargaining or to initiate a collective dispute. 5. A staff meeting shall be valid if attended by at least half of the employees of the enterprise (structural division), and in the case of a conference – if attended by at least two thirds of the delegates. If the required number of employees (delegates) are not present at the meeting (conference), a repeat staff meeting (conference) must be convened within five days. A meeting shall be held valid if attended by one-fourth of the employees, and in the case of a conference – if attended by half of the delegates. 6. A staff meeting may be convened in the structural divisions of the enterprise in accordance with the procedure laid down in the enterprise's collective agreement. Voting results shall be established on the basis of the number of votes received at the said meetings. 7. Decisions shall be passed by a majority vote of those present at the meeting (conference), voting, at the choice of the staff meeting (conference delegates), by secret or open ballot. Article 63. Entry into Force and Period of Validity of a Collective Agreement of an Enterprise 1. A collective agreement of an enterprise shall enter into force upon its signing, unless otherwise established in the agreement. 2. A collective agreement of an enterprise shall be valid until the signing of a new collective agreement of the enterprise or until the deadline set in the agreement. Where a fixed-term collective agreement of the enterprise has been concluded, the parties shall start negotiations for its renewal two months before the termination of its validity. 3. If an enterprise or a part thereof passes over from one employer who concluded a collective agreement of the enterprise to another employer, the provisions of the collective agreement shall apply to the new employer as well. 4. If bankruptcy proceedings have been instituted or extrajudicial bankruptcy procedures have been initiated in respect of the enterprise, the validity of the collective agreement of the enterprise shall be restricted under laws. Article 64. Amendments and Supplements to a Collective Agreement of an Enterprise The procedure for amending and supplementing a collective agreement of an enterprise shall be established in the collective agreement of the enterprise. If the procedure has not been established, the collective agreement of the enterprise shall be amended and supplemented in the same manner as the agreement is concluded. Article 65. Termination of a Collective Agreement of an Enterprise A collective agreement of an enterprise may be terminated in the cases and in accordance with the procedure specified in the agreement by any party after giving an at least three-month notice to the other party. Termination of a collective agreement of an enterprise before the lapse of a six-month period after the entry into force of the agreement shall be prohibited. Article 66. Control over the Implementation of a Collective Agreement of an Enterprise 1. Control over fulfilment of the obligations under the collective ag …