Portugal Employment Guide
Portugal Employment Guide
Portugal is in southwestern Europe, at the western end of the Iberian Peninsula, bordering the Atlantic (west) and Spain (north). It has ~10.3 million people; Portuguese is official, and Lisbon is the capital. Its economy is service-led, with fast-growing tourism, finance and IT, while agriculture, fisheries and light industry also hold shares. Labor laws (per Código do Trabalho) protect wages, hours, leave and social security. Standard workweek: 40 hours (overtime needs extra pay or time off). Salaries are usually monthly (avg. €1,500 pre-tax). Laws cover paid leave and protect temp/contract workers, balancing interests for a fair, flexible labor market.
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Currency
Euro (EUR, €)
Capital
Lisbon
Official language
Portuguese
Salary Cycle
Monthly
Our Employment Guide in Portugal
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Maternity Leave in Portugal: A Guide for International Employers
For employees who have contributed to Portuguese social security for at least six months, maternity leave offers significant support. Eligible pregnant employees are entitled to 120 or 150 days of paid leave. Typically, 30 days are taken before the expected birth date, with the remaining days split into two flexible periods. Compensation during this leave ranges from 80% to 100% of the employee's regular salary, fully covered by social security.
An additional extension of up to 90 days is available, during which employees receive 25% of their salary. For example, a marketing manager at SailGlobal utilized this extended period to gradually transition back to work, balancing family needs with professional responsibilities.
Paternity Leave Provisions
Fathers or second parents who meet the social security contribution requirement can take 20 days of fully paid paternity leave. An optional 5-day extension is available if taken concurrently with the mother's initial maternity leave. The first 5 days must be used immediately after the child's birth, while the remaining 15 days (which can be taken continuously or intermittently) must be used within six weeks. Social security covers 100% of the salary during this period.
Shared Parental Leave Options
Parents are jointly entitled to 120 working days of parental leave, which must commence within 30 days after maternity leave ends. This leave can be allocated flexibly between both parents—either one parent can take the full period, or it can be shared. Compensation is provided by social security at 80% to 100% of salary, depending on how the leave is distributed. In one case, a SailGlobal employee and their partner split the leave equally, allowing both to bond with their newborn while maintaining career continuity.
Understanding Sick Leave Entitlements
Employees with six months of social security contributions can access paid sick leave for up to 1,095 days. The first three days are unpaid and considered a waiting period. Compensation varies by duration, as outlined below:
Period | Salary Percentage | Payer |
---|---|---|
0 - 3 days | 0% | Not applicable |
3 - 30 days | 55% of base salary | Social Security |
31 - 90 days | 60% of base salary | Social Security |
91 - 365 days | 70% of base salary | Social Security |
Over 365 days | 75% of base salary | Social Security |
For instance, a long-term illness at SailGlobal was managed smoothly thanks to these clear guidelines, ensuring the employee received steady support without financial strain.
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