When the real chain went live this morning I had to delete all the existing files in my .litecoin directory. Before I did that, although I had testnet=0 in the conf, I was on the testnet still. After deleting them (except the litecoin.conf of course) and restarting the client, I was mining on the real network.
Check if this is something as simple as that.
I'm not new to this stuff unfortunately. I tried deleting everything except for the config file and redownloading. After catching up with the chain... nothing.
Does solo mining work for you?
Are you running litecoind with daemon=1 and server=1?
I didn't have daemon on testnet and it worked fine. This is a linux dedicated server and I run litecoin on a screen. I added it, and same results.