A contract of employment can be terminated either at the initiative of an employer or an employee.
A contract of employment may also be terminated by expiry of a fixed-term contract, by mutual consent of employer and employee, or pursuant to the request of a third party.
Pursuant to Section 101 of the labor Law, an employer has the right to give a written notice of termination of a contract of employment only on the basis of circumstances related to the conduct of the employee, his or her abilities, or of economic, organizational, technological measures or measures of a similar nature
Prior notice is required to terminate a contract of employment concluded for an indefinite period as well as a fixed-term contract where an employer intends to terminate such contract before the expiry of the term.
An employer, when giving a notice of termination of a contract of employment, shall comply with different time periods, depending on the grounds of dismissal.
The notice of dismissal will take effect either immediately, or 10 days after the notice, or one month after the notice, accordingly to Sections 103 and 101 of the labor Law
In all cases when giving a notice of termination, an employer has a duty to notify an employee in writing those circumstances that serve a basis for the notice of termination of the contract of employment.
The employer has to pay severance pay in accordance with the law.
The notice period in Latvia is:
One month unless the employment contract or collective bargaining agreement provides for a longer period.