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Portugal
If you're looking to employ workers in Portugal, there are several important regulations and processes you need to be aware of.
Here's what you need to know
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- Type of Contract:
The most common types of employment contracts in Portugal are fixed-term and indefinite-term contracts.
- Type of Contract:
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- Contract Requirements:
Employment contracts in Portugal must be in writing and include specific terms, such as job description, salary, working hours, and duration of the contract.
- Contract Requirements:
- Probationary Period:
Employers are allowed to include a probationary period in employment contracts. The maximum length of the probationary period is 240 days for indefinite-term contracts and 90 days for fixed-term contracts.
- Minimum Wage:
As of January 2022, the minimum wage in Portugal is €775 per month. This amount may be adjusted each year based on inflation. - Social Security Contributions:
Employers are required to contribute to social security for their employees. The contribution rate is 23.75% of the employee's gross salary, with the employee contributing 11%. - Income Tax:
Employees in Portugal are subject to income tax. The amount of tax depends on the employee's salary and other factors.
- Collective Agreements:
Some industries in Portugal have collective agreements that establish additional rights and obligations for employers and employees. - Work Permits:
If you're employing foreign workers in Portugal, they may need a work permit. The requirements for work permits vary depending on the worker's country of origin. - Termination of Employment:
If you're employing foreign workers in Portugal, they may need a work permit. The requirements for work permits vary depending on the worker's country of origin.
Overall, employing workers in Portugal requires careful attention to the specific requirements and regulations. Working with a local expert in employment and payroll can help ensure that you’re meeting all the legal requirements and providing a positive employment experience for your staff.
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