The annual leave period is 20 days (four calendar weeks).

There are 12 national holidays in Latvia.

Employers pay 75% for the first three days and 80% for days four to ten.

After ten days, the employee is paid by the Sick Leave program for up to 52 weeks.

56 days before and 56 days after a baby's birth, for a total of 112 days at 80 percent of the government's salary.

Employers pay 75% for the first three days and 80% for days four to ten.

After ten days, the employee is paid by the Sick Leave program for up to 52 weeks.

In Latvia, the standard workweek is eight hours per day, spread over five days. The workweek is limited to forty hours. In certain circumstances, the workweek may be extended to six days, but only after consultation with the relevant employees' union. If the workweek is six days long, the workday cannot exceed seven hours in length.

In general, employees over the age of 18 may work overtime if they have signed a written agreement authorizing them to do so. Employers may require overtime without the consent of employees in the event of an emergency or in certain circumstances involving an urgent business need. Generally, an employee who works overtime must be compensated at least double his or her regular hourly or daily rate. Overtime hours are limited to 48 per week.

Latvia also has special regulations governing night work, which is defined as any period of work lasting more than two hours that occurs between 10 p.m. and 6 a.m. between 6 a.m. and 6 a.m. Individuals under the age of 18, pregnant women, and mothers who have recently given birth are not permitted to work at night. Employees who work nights must be compensated at least 50% more than their regular hourly or daily rate.

Contributions to National Social Insurance fund national healthcare. Emergency medical care, services provided by general practitioners and dentists, lab testing, inpatient care, and medications are all covered by state-funded healthcare.

Supplemental health insurance and a company car are common employee benefits.

Employers of foreign citizens in Latvia have a variety of alternatives under Latvian law. Latvia is a member of the European Union (EU) as well as the Schengen Zone. The requirements, processing dates, work eligibility, and perks for accompanying family members differ depending on the kind of visa.

Unless they are visa-exempt due to their nationality, business travellers to Latvia normally utilize a local version of the Schengen C Visa. The Schengen Area restricts stays to 90 days within a 180-day period.

The major types of work permission include the Residence Permit with Work Authorization, which is offered to many foreign national employees.

The EU Blue Card is intended for highly competent, locally employed personnel who earn a certain wage. For intracompany transfers of managers, experts, or trainees from outside the EU, the (EU) Intracompany Transferee (ICT) Permit is provided.

An in-country application with the Office of Migration and Citizenship Affairs is always required (OCMA). If the expected stay is less than 90 days, foreign people may also apply for a residence permit, allowing them to choose between a visa and a residence permit.

Before establishing a subsidiary in Latvia, you must first choose the right location and entity for your company. Separate localities, like as cities or regions, may be subject to different Latvia subsidiary laws. If you are unfamiliar with the regions of Latvia, we suggest dealing with a professional consultant who can assist you in locating the areas most conducive to incorporation.

The next step is to consider the various entities you may incorporate as. Latvia will enable you to incorporate as a limited liability company (LLC), a joint-stock company, a branch office, or a representative office. Each Latvia subsidiary arrangement has its own set of regulations, times, and constraints. Choosing the correct entity will affect what you can and cannot do as a business in Latvia.

The following actions are required to establish your Latvia subsidiary as an LLC:

1. Choosing a unique company name that contains only Latin or Latvian letters

2. Drafting Articles of Association and the Memorandum of Association

3. Depositing minimum capital into your company’s in-country bank account

4. Registering the subsidiary with the Commercial Register

5. Registering for VAT purposes depending on your company’s commercial activities

6. Obtaining any special permits and licenses that may apply to your industry

Many businesses form as an LLC because Latvian subsidiary rules are advantageous to international businesses. However, there are several rules that must be followed in order to remain compliant. For instance, you'll need at least one shareholder and one director, both of whom may be of any country. When you register your subsidiary, you must deposit at least 50% of the total minimum share capital of at least 2,800 EUR.

If you fulfill two of the three conditions listed below, your Latvia subsidiary will be subject to an audit:

1. Annual revenue of over 800,000 EUR

2. Assets totaling more than 400,000 EUR

3. Throughout the year, there were an average of 25 workers.