It is commonly known that in order to live and work in Lithuania a foreigner who is a third-country national must first obtain the corresponding residence permit in Lithuania. In certain cases, a decision from the Employment Service confirming that the foreigner corresponds to the Lithuanian labour market needs is also required.
It is often assumed that as soon as a foreigner has a suitable residence permit in Lithuania, then an employment contract can be concluded with him/her, and that is definitely possible to change a job function at the same employer. But this is a mistake – and a very common one. One such error arises in situations when the employer concludes an employment contract with a foreigner who has a standard temporary residence permit for work (TRP) (i.e., as a non-qualified employee) when another employer had mediated the foreigner in obtaining the TRP. It may appear that the second employer simply made a formal mistake; however, the consequences of such a mistake could be costly for the company.
In this article, we will provide general rules regarding when it is required to obtain permission to change an employer or a job function with the same employer for a foreigner, and the applicable liability for breaches of this requirement.
1. The general rules on when it is required to obtain permission to change employer or job function with the same employer
The Law on the Legal Status of Foreigners (the Law) determines that if:
1) a foreigner has a standard TRP for work, then he/she can work only for the employer who mediated in obtaining this TRP and perform only the job function for which he/she was employed by this employer.
If a foreigner would like to change his/her employer or even to change to a different job function with the same employer, then first of all, he/she should obtain permission from the Migration Department allowing him/her to do so, as well as a decision from the Employment Service confirming that the foreigner corresponds to Lithuanian labour market needs, unless the foreigner is exempted from the requirement to obtain a decision from the Employment Service
2) a foreigner has the EU Blue Card (i.e., as a highly skilled employee), then such a foreigner is allowed to change job function with the same employer. However, it should be noted that in such a case, the employer should notify the Migration Department about the change to the foreigner’s job function no later than 7 days after such a change.
Please note that in this case some migration formalities still apply when changing employer. If a foreigner has an EU Blue Card and has worked in Lithuania for more than 12 months, then he/she can change the employer; however, the foreigner must notify the Migration Department about such a change no later than 7 business days after the conclusion of an employment contract. If a foreigner has an EU Blue Card and has worked in Lithuania for less than 12 months, then in order to change the employer, he/she should obtain permission from the Migration Department.
2. Liability for breach of migration requirements for changing employer or job function with the same employer
Liability for an employer:
Based on the Law on Employment, the employer may be fined for a breach of the above-provided requirements: for each violation between 1 and 2 times the minimum monthly salary approved by the Government of Lithuania for each violation. If the employer has already been punished for a violation of these requirements within the prior 2 years, then it may be fined for each violation between 2 and 4 times the minimum monthly salary approved by the Government of Lithuania.
Liability for the foreigner:
On the basis of the Law, the Migration Department may cancel a foreigner’s TRP for work or EU Blue Card if the foreigner has not followed the above-provided requirements.
3. Indirect consequences for breach of migration requirements for changing employer or job function with the same employer
If the employer is fined due to not obtaining permission for a foreigner to change employer or job function with the same employer when it was obliged to obtain such permission, then the following indirect consequences might also apply:
1) this employer will not be able to mediate in respect of other foreigners in obtaining standard TRPs and EU Blue Cards for 1 year;
2) the Migration Department may cancel standard TRPs and EU Blue Cards for other foreigners who are already working at the company.
4. A breach of the requirements for changing employer may be treated as a minor violation
On 11 October 2024, a new legal act on minor violations in labour relations was adopted. Based on this legal act, if an employer did not obtain permission for a foreigner to change his/her employer when such permission should have been obtained, such violation may be treated as minor if the following conditions are met:
1) the violation was noticed by the employer itself; and
2) the employer itself eliminated the violation (i.e., terminated the employment contract with the foreigner) before the start of a State Labour Inspectorate inspection.
If you have any questions, our Employment team is ready to help.