Illegal work. Is it as bad as most people say?

Although illegal employment (employment without a contract) is little talked about nowadays, some people still choose it for the opportunity to earn more quickly and (usually) more than if they were working in the same position legally. Stable and competitive companies in Lithuania do not allow illegal work to flourish. This type of work can still be found in the construction and agricultural sectors, in cleaning services and in the sporadic work offered by various small companies or individuals.
The experts in our recruitment agency's HR department see many downsides to why illegal work is a particularly bad choice.

Illegal work doesn't help your career

You are unlikely to gain useful new skills, get a promotion or go on a training course. Employers are also reluctant to invest in workers who work illegally because they do not offer credibility - one day they are working, the next day they can afford not to come to work.
Illegal work is not linked to long-term career prospects or professional development. Working illegally will make it harder to achieve your future career goals and develop as a person professionally.

Working illegally will not give you financial security

If you are working without a contract, your employer can cut your pay at any time if he wants, or worse, not pay you at all. Workers who do not receive their wages, or only part of them, are forced to keep quiet because they are working illegally in violation of the laws of the Republic of Lithuania, so there is simply no one to complain to.
Of course, the employment contract can also be terminated at any time, but if the employer decides to dismiss the employee without justification, he or she must pay a severance payment, which contributes to financial stability in the event of job loss. You would not get this severance pay if you were employed illegally.

Banks don't make friends with the illegally employed

If you want to build or buy a property, take out a business loan or get a consumer loan, the financial company will check your salary income history and use this (and other aspects) to decide whether or not to grant you a loan. Cash deposits are not considered a reliable indicator for granting a loan, even if you have done so responsibly every month. On the contrary, regular cash deposits into a bank account can make the bank even more suspicious of unauthorised activity.

Employers can manipulate illegal workers

Your employer can afford to ignore the labour laws and regulations that set the standards for decent working conditions. Simply put, at any moment, your employer can take you to dig coal in the lowest part of the mine where you cannot see the sunlight. As well as worsening working conditions, an employer can manipulate you by withholding pay rises you're entitled to (on the grounds that you didn't do a good enough job), by denying you the right amount of rest days, by extending your working hours at any time...

Illegal work increases social exclusion

Working without a contract does not entitle you to social security benefits such as health insurance, pension, allowances and holidays. In society, people who work illegally are very often associated with people who are antisocial, have a criminal record or a history of debt, and who also have a bad personal history.


It will be difficult to work illegally all your life, as the number of employers who break the law by working without a contract is falling. Remember, the earlier you start working legally, the better off you will be. If you have financial obligations, these will slowly decrease. If you want to get a home loan, you will slowly save up for a down payment and have a good credit history with the bank. If you want to move up the career ladder, your employer will be able to provide you with the conditions, and if not, we - the Retiva recruitment agency - will find you a higher-qualified job.

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