Employment Law in Portugal for Expats

12 min read  ·  Portugal Legal Guide  ·  Updated April 2026

TL;DR — Quick Summary

Working in Portugal: EU citizens work freely — no permit needed. Non-EU nationals need D7 Passive Income Visa / Digital Nomad Visa / Golden Visa. Minimum wage: EUR 1,020/month (2024). Standard hours: 40/week. Annual leave: 22 days. Notice period: 15–75 days depending on length of service. Always have an employment contract reviewed by a lawyer before signing.

Your Right to Work in Portugal

EU, EEA, and Swiss citizens have the automatic right to work in Portugal under the principle of free movement of workers. No work permit is required, though registration with local authorities may be needed after 90 days.

Non-EU nationals must obtain work authorisation before starting employment in Portugal. Working without a valid permit is illegal for both the employee and the employer, and can result in deportation and future entry bans.

Work Permit Routes: D7 Passive Income Visa / Digital Nomad Visa / Golden Visa

The primary route for non-EU nationals seeking employment in Portugal is the D7 Passive Income Visa / Digital Nomad Visa / Golden Visa. Key requirements typically include:

Applications are submitted to the relevant immigration authority — either from your home country (entry visa) or in-country (permit renewal or change). Processing times range from 4–12 weeks depending on the permit type and applicant nationality. An immigration/employment lawyer can significantly improve your application's success rate.

Key Employment Law Rights in Portugal

Minimum Wage

Portugal's minimum wage is EUR 1,020/month (2024). Collective bargaining agreements (sector-level agreements between employers' associations and trade unions) may set higher minimum rates for specific industries. As an expat employee, you are entitled to the same minimum wage protections as any national.

Working Hours

The statutory maximum working week in Portugal is 40 hours. Overtime beyond this must be compensated — either through additional pay (typically 25–50% premium) or time off in lieu. Your employment contract must specify your hours; be wary of contracts that attempt to waive overtime rights.

Annual Leave

Employees in Portugal are entitled to a minimum of 22 working days of paid annual leave per year. Many collective agreements and individual contracts provide more than the statutory minimum. Public holidays are in addition to annual leave entitlement.

Notice Periods

Notice periods in Portugal: 15–75 days depending on length of service. These are minimum statutory entitlements — your contract may provide longer notice periods. During a probationary period (typically 1–6 months), shorter notice applies.

Your Employment Contract — What to Check

Always have your employment contract reviewed by a qualified lawyer before signing. Key terms to verify:

Dismissal and Redundancy Rights

Employment protection law in Portugal provides significant rights for employees facing dismissal. Key points:

If you believe you have been unfairly dismissed or your rights have been violated, consult an employment lawyer immediately — strict time limits apply to employment claims in Portugal.

Social Security and Tax

As an employee in Portugal, you will contribute to the national social security system, which typically covers: healthcare, unemployment insurance, pension, and disability benefits. Contributions are split between employer and employee, with rates varying by income level and sector.

As an expat, tax residency rules are important: if you spend more than 183 days per year in Portugal, you will generally be considered a Portugal tax resident and liable to pay tax on your worldwide income. Your employer should withhold income tax at source. Consult a tax lawyer or accountant to ensure you are not liable to double taxation under the Portugal tax treaty with your home country.

Frequently Asked Questions

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AvökatFinder Editorial Team Our team of legal researchers covers immigration law, property law and expat rights across 41 European countries. All guides are reviewed by qualified local lawyers. 📅 Updated April 2026  |  About us