.png)
* Playroll continues to analyse immediate opportunities and fulfilled roles by recruitment partners, contractors and employers to identify in-demand jobs.
Latvia has a well-educated and skilled workforce, particularly in fields like IT, engineering, and manufacturing. The country's education system emphasizes technology and sciences, providing a pool of qualified professionals.
Latvia's strategic location in the Baltic region makes it a convenient gateway to both Western and Eastern European markets. It offers access to the European Union and the Commonwealth of Independent States (CIS), facilitating international trade.
While Latvia is a member of the Eurozone, making it part of the euro currency, the overall cost of living and labor costs can be more competitive compared to Western European countries. This can be attractive for businesses seeking cost-effective solutions.
Many Latvians are multilingual, with a proficiency in English, Russian, and other languages. This linguistic diversity can be advantageous for businesses with international operations.
In Latvia, employment contracts must be in writing before work begins, typically in Latvian. If the employee does not understand Latvian, the terms must be provided in a mutually understood language. Key contract details to include are:
Probation usually lasts up to three months but can be extended to six months by collective agreements without compromising employee rights.
In Latvia, the standard workweek is 40 hours over 5 days (Monday to Friday), with 8 hours per day. Employees must have at least 12 hours of uninterrupted rest between workdays, ensuring a weekly rest period of 42 hours.
In Latvia, any work beyond standard hours or on public holidays requires mutual agreement between employees and employers before commencement. Overtime compensation is set at 200% of the regular salary rate, with a maximum of 8 additional hours and an annual cap of 200 hours.
The minimum wage in Latvia is set at 3.9 EUR an hour.
There is no legal obligation to offer a 13th-month salary.
The individual income tax in Latvia ranges from 20% to 31%. Income tax is calculated based on progressive rates.
The mandatory social security contributions covers state pension insurance.
The tax-related information provided in this guide is intended for general guidance and informational purposes only. Reach out to our dedicated team for insights on remote hiring in Latvia's tailored to your needs.
In Latvia, terminating employment involves various considerations. Employers cannot terminate contracts at will post-probation and must provide justifiable reasons. Acceptable grounds for termination include:
In Latvia, the statutory notice period is one month. During the probation period, only a written notice of three days is required, which can be further shortened by mutual agreement in the employment contract.
In Latvia, statutory severance pay is based on the length of service:
Latvia observes 15-16 national holidays. If a holiday falls on a weekend, the following working day is granted as a day off.
Latvian employees are entitled to the following benefits:
Legal and compliance experts are readily available to provide guidance and case-by-case Q&A support.
By leveraging dedicated support from in-house legal and compliance experts for case by case questions and more.
Acquiring a visa without an entity has never been easier, leverage Playroll's global coverage to sponsor and hire employees.
.webp)
Access a free set of tools to navigate international hiring across 180+ countries, while staying up to date on hiring news with global insights into the changing employment landscape from Playroll.
.png)
