Internal restructuring
Location of affected unit(s)
Wholesale Trade, Except Of Motor Vehicles And Motorcycles
Other Specialised Wholesale
46.71 - Wholesale of solid, liquid and gaseous fuels and related products

185 jobs
Number of planned job losses
Job loss
Announcement Date
24 November 2016
Employment effect (start)
Foreseen end date


Latvijas propāna gāze (LPG), the liquefied gas sales company is planning to cut about 185 jobs. This is due to amendments to the Law on State Social Insurance, according to which companies will have to make social contributions corresponding to the amount of the minimum wage for all employees, even if the employees are paid less than the minimum wage. The new law will come into effect 1 January 2017. According to Aleksandrs Siņegubovs, board member at LPG, the company employs sales representatives who sell gas cylinders to customers and are paid between €1 and €100 a month, depending on the number of gas cylinders they sell. According to Siņegubovs, for about 60% of the company's sales representatives this is an opportunity to make a little money on the side, therefore the overall number of unemployed will not necessarily increase significantly.


  • 24 November 2016: www.lsm.lv
  • 24 November 2016: Dienas Bizness
  • 24 November 2016: The Baltic Course


Eurofound (2016), Latvijas propāna gāze, Internal restructuring in Latvia, factsheet number 89412, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/89412.