The article reviews the situation in the Lithuanian labour market and changes which took place in it from the restoration of state independence to the post-crisis period. Based on the analysis of statistical data and legislation, development stages characteristic of the Lithuanian labour market are identified and decisions related to labour market management are overviewed. The article also provides the analysis of legal regulation of Lithuanian labour relations and reveals the fundamental legal features of labour relations, which may be useful in order to achieve greater flexibility and security in the labour market. The article reveals that the Lithuanian labour market was subjected to a few distinct development stages, which determined the measures of the labour market policy. The changing economic situation resulted in changes in the labour market policy, which are indicators of the relevance of labour market issues and the need for their solution.