According to Butkevičius, this is a matter of urgency because, he says, Lithuania’s competitiveness must be improved and wages and pensions increased.
“We do not intend to discuss such projects for a year or two. The situation requires for competitiveness, people’s income and pensions to grow in every country,” said the prime minister.
According to Butkevičius, the amendments are aimed to protect employee interests and to guarantee that they receive severance pay. The prime minister said that the existing regulation of labour relations did not meet employee interests. The head of the Government said that in 2014 labour relations were terminated with 565,000 employees while 93 percent of them did not receive severance pay. Meanwhile the remaining 7 percent who received severance pay worked in the public sector.
The new social model prepared by scientists and the Ministry of Social Security and Labour amends nearly 40 legal acts.