This study aimed to evaluate different propagation methods of the medicinal plant licorice (Glycyrrhiza glabra L.) under varying salinity levels at the Sadough Salinity Research Farm, Yazd province, over three growing seasons (2019–2023). The experiment was conducted as a split-plot arrangement in a randomized complete block design with three replications. The main plots consisted of four irrigation water salinity levels (2, 4, 8, and 12 dS/m), and the subplots included three propagation methods (seed, seedling, and rhizome). Measured parameters included plant height, establishment percentage, dry biomass of aerial parts and roots, leaf area, and ion leakage. Results demonstrated that salinity significantly affected all traits studied, while propagation method influenced plant height and establishment percentage. Regardless of propagation method, the highest plants were observed at 2 dS/m salinity. At 4 dS/m, seed propagation resulted in the greatest plant height, averaging 44.66 cm. Under 8 dS/m salinity, rhizome propagation produced the shortest plants, with a reduction of 31% and 36% in height compared to seedling transplant and seed methods, respectively. At 12 dS/m, the shortest plant heights were recorded across all propagation methods. Regarding establishment percentage, seed propagation achieved the highest rates at 2 and 4 dS/m (77% and 66%, respectively), whereas root cutting showed the highest establishment at 8 and 12 dS/m salinity levels (63% and 60%, respectively). Increasing salinity from 2 to 12 dS/m reduced dry aerial biomass by 158 g/m². Root dry weight and leaf area decreased by 75% and 83%, respectively, over the same salinity range. Additionally, ion leakage increased by 28% with rising salinity. Overall, the findings indicate that root cutting propagation is most suitable for cultivation under high irrigation water salinity (12 dS/m), while seed propagation is preferable at low salinity levels (2 dS/m) for licorice propagation and production.