Portugal: A Guide to Prevent Collapse During Coronavirus

Erez Greenberg March 19, 2020

We have gathered information on what measures you can take as an employer in Portugal to help preserve your employees while keeping your business intact. As more information comes in, we will update this post.

If you have any questions on the impact of Coronavirus on labor laws, visit our Linkedin AMA post and leave us your questions in the comment section and we will reply.

[AMA] Impact of Coronavirus on Labor Laws

Updated: March 19, 2020

Unpaid Leave

Employers can ask employees to take paid leave of up to 15 days.

Worker Suspension

Employers can look to impose a suspension of the employment contract. The employer will have to pay two thirds of the employee’s salary and no less than the minimum wage (€650 Euros).


Termination is a further option, however, a ‘just cause’ is required. The fact that this is a redundancy or the closing of branch due to the Corona crisis has no impact on the termination process itself.

Employees will be entitled to severance pay.

For more details see our payroll & benefits guide to Portugal