Hiring Regulations in Portugal

Hiring Regulations in Portugal

Understanding Hiring Regulations in Portugal

Navigating the hiring regulations in Portugal is crucial for any business looking to establish or expand operations in the country. Portugal's labor laws are designed to protect employees while ensuring fair practices for employers. Here's an overview of key aspects of these regulations:

Employment Contracts

In Portugal, employment contracts can be either fixed-term or indefinite. Fixed-term contracts are limited to a maximum of three renewals within a total duration of three years. If the contract exceeds these limits, it automatically converts to an indefinite contract.

Working Hours and Overtime

Clauses related to working hours, rest periods, and overtime should be clearly outlined in employment contracts. Portuguese law establishes standard working hours and regulates overtime to safeguard employee well-being.

Minimum Wage

As of 2024, the national minimum wage per month was increased by 60 euros, from 760 euros in 2023 to 820 euros.

Employee Benefits

Portuguese law mandates several benefits, including:

  • Paid Vacation: Employees are entitled to 22 working days of paid vacation annually.
  • Public Holidays: There are 13 mandatory public holidays each year.
  • Sick Leave: Employees can receive up to 55% of their salary from social security for the first 30 days of illness, increasing to 75% thereafter, depending on the duration of the leave.

Termination

Employers must provide justified reasons for termination. The notice period for termination varies from 15 days to 60 days, depending on the employee's length of service. Length of ServiceNotice Period

Less than 1 year - 15 days

1 to 5 years - 30 days

5 to 10 years - 60 days

Over 10 years - 75 days

Health and Safety

Employers in Portugal are required to ensure safe working conditions and to take preventive measures against workplace hazards. This includes providing necessary training and equipment to employees.

Understanding these regulations helps ensure compliance and fosters a positive work environment.

Ready to make your move into Portugal’s dynamic employment landscape? For personalized assistance and expert guidance, get in touch with us. Our team of HR specialists are here to help you out with the complexities of the hiring regulations, making your expansion journey seamless and succesfull!

Vijendra Talari

AVP - Employee Benefits -Client Relationship

2mo

Very informative

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Marcus Sparks

Intelligent HR outsourcing for SMB. From payroll to PEO, we source, evaluate, and help select the "best fit" partner to save our clients time and money while ensuring quality service.

3mo

In Portugal, an “uncertain term” employment contract (contrato de trabalho a termo incerto) is a type of fixed-term contract where the exact end date is not specified at the outset. Instead, the contract lasts until a certain task or project is completed, or until a certain event occurs. If you are hiring to test a new market or for a specific project, the uncertain term contract provides favorable statutory notice periods and flexibility for both parties. Additionally, both parties can mutually agree to terminate the contract at any time without adhering to the statutory notice periods.

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HI can any one doing job in euroe from another country ?can anyone please describe me it please?

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