One of the most important parts of growing your business in Portugal is the process of recruiting and hiring a global workforce that can help your company succeed in a new market. Whether you hire employees in Portugal yourself or leverage an EOR, companies must stay compliant by following the country’s employment laws.

Recruiting in Portugal

Utilizing the right recruitment channels can make all the difference when building an international team. Many companies source talent through networking events and personal recommendations. This method of recruiting can be challenging if your company doesn’t have an established presence in Portugal yet. Your company might benefit from partnering with a global employment expert that already has in-country connections.

Online platforms are also growing in popularity as channels for recruitment in Portugal. Your company might have success reaching out to candidates on social media or posting open positions on job boards.

Laws against discrimination in Portugal

Employers also need to be mindful of Portugal’s non-discrimination laws to ensure compliance throughout the hiring process. The law expressly prohibits discrimination based on the following categories:

  • Gender identity
  • Marital status or family situation
  • Age
  • Sex
  • Parentage
  • Race, nationality, or ethnic origin
  • Sexual orientation
  • Economic situation
  • Origin or social conditions
  • Political or ideological beliefs
  • Genetic heritage
  • Religion
  • Disability
  • Reduced work capacity
  • Affiliation with a trade union

As you can see, you’ll need to be mindful when having conversations with potential hires. Avoid asking questions about any of these protected characteristics.

How to hire employees in Portugal

To hire employees in Portugal, start by drafting a written employment contract that details the terms and conditions of employment, including compensation, benefits, place of work, working hours, job duties, holidays, and termination requirements. Always put any compensation or benefits amounts in euros rather than another currency.

Employees in Portugal may be covered under a Collective Bargaining Agreement (CBA), which can outline different employment terms. Check your specific industry for any CBAs before drafting an employment contract as it must meet or exceed the expectations of the CBA.

Portugal employment laws

Portugal is known for its strong employee protections. For example, Portugal’s Constitution forbids at-will employment and operates under the assumption that an employment relationship is long-term. Employers will need to stay abreast of the latest regulations in the Labor Code, parenthood protections, work-related accidents and sickness laws, and regulations concerning health and safety at work.

Before hiring employees in Portugal, make sure to review the standard workday. Normal working time is eight hours per day and 40 hours per week. Anything above this is overtime.

Onboarding in Portugal

No standard practice is in place for onboarding employees. Instead, you can tailor the process to your company, industry, or target country.

Employers are required to provide certain information to employees; therefore, it is common practice to go over this contract with the employee during their first day or week as a reminder of the terms you agreed on. Other onboarding tips include:

  • Drafting an employee code of conduct
  • Putting together any necessary training courses
  • Onboarding multiple employees at the same time for a smoother process
  • Introducing new hires to key members of the team

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