Is your contract ending? See what you are owed.

In a collective dismissal, redundancy or dismissal for unsuitability, severance is 14 days of base salary and seniority pay for each year in the job, counted from 1 May 2023. Time before that counts at 12 days per year, and contracts signed up to September 2013 have higher amounts for the first years (art. 366 of the Labour Code and Law 69/2013). On top of that come untaken holiday, pro rata holiday pay and allowances and, if the employer did not give the notice the law requires, the salary for the missing days.

Compensation of 24 days of base salary and seniority pay for each year of the contract, pro rata if it is less than a year (arts. 344 and 345). There is no compensation if you were the one who said you did not want to renew. You also get pro rata holiday pay and allowances.

There is no compensation, but you get your untaken holiday and the pro rata holiday pay, holiday allowance and Christmas allowance. You must give the employer written notice of 30 days (up to 2 years in the job) or 60 days (more than 2 years); on a fixed-term contract, 30 days, or 15 if it lasts less than 6 months (art. 400). If you leave earlier, the employer can ask you to pay for the missing days (art. 401). If you resign without just cause, you are not entitled to unemployment benefit.

For a collective dismissal, redundancy or unsuitability: 15 days with less than 1 year in the job, 30 days from 1 to 5 years, 60 days from 5 to 10 years and 75 days with 10 years or more (art. 363). If they do not, they pay the salary for the missing days. During probation, 7 days if it has lasted more than 60 days and 30 days if more than 120 (art. 114).

You get the holiday you had already earned and not taken, with the allowance if it has not been paid, plus a share of holiday pay, holiday allowance and Christmas allowance proportional to the time worked that year (arts. 245 and 263). Short contracts have a cap: total holiday cannot exceed the pro rata for the length of the contract, and under 6 months it is 2 days per full month (arts. 239 and 245).

Whatever is negotiated: the law sets no compensation for agreements. If the agreement only states a global amount, it is presumed to include holiday pay and allowances (art. 349(5)), so ask for them to be written separately. You can back out up to the seventh day after signing, returning what you received (art. 350). And with an agreement, unemployment benefit is only guaranteed in certain cases.

It is presumed so, if you accept the full amount (art. 366(4)). To challenge the dismissal you must pay it all back, at the latest when you take the case to court (art. 366(5) and Supreme Court of Justice ruling 7/2024).

They are an estimate, made with the Portuguese Labour Code in force and your base salary and seniority pay. Your sector's collective agreement may give more, and some payments (shifts, flexible hours, missing training hours) are not in this calculation. It does not replace legal advice: if in doubt, the ACT (the Portuguese labour inspectorate) answers questions for free.

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