Employment 2025

PORTUGAL Trends and Developments Contributed by: Marta Afonso Pereira, Inês Albuquerque e Castro, André David and João Camilo, Eversheds Sutherland

showing the pay gap between men and women by companies with 50 or more employees. The Portuguese labour inspection has been following actions to promote compliance with these rules. Nevertheless, Portugal still has a long way to go, namely in transposing obligations such as prohibiting employers from asking about a candidate’s previous salary. Member states now have about ten months to imple - ment a range of measures from the Directive. Along - side these commitments for employers, opportunities can also be identified, such as the positive impact of transparency on attracting and retaining top talent, or on strengthening relationships and trust between companies and employees. Residence Permits: Practical Implications in Employment Contracts On 3 June 2024, an amendment was introduced to the legal framework governing the entry, stay, exit and removal of foreign nationals from national terri - tory, bringing an end to the “Manifestation of Interest” regime and marking the conclusion of a process that, for years, allowed thousands of foreign employees to regularise their stay by carrying out professional activ - ity without holding a valid visa for that purpose. This mechanism exceptionally waived the requirement of a residence visa for foreign employees who had entered the country irregularly, provided they were already integrated into the employment market and had been duly registered with social security for at least 12 months.

With the revocation of this regime, the system has reverted to a more considered approach, granting access to the employment market only through prior regularisation of entry into national territory – thus pre - venting the exponential growth of irregular employ - ment and of criminal networks linked to human traf - ficking and assistance to irregular immigration. To address the transitional impact of this policy shift, successive automatic extensions of residence permits were introduced over the past few years, initially justi - fied by the context of the COVID-19 pandemic and later by the administrative reorganisation following the transition from the former Immigration and Borders Service ( Serviço de Estrangeiros e Fronteiras – SEF) to the current Agency for Integration, Migration and Asylum ( Agência para a Integração, Migrações e Asilo – AIMA). These measures are aimed at ensuring docu - mental stability for thousands of employees and at easing the pressure on AIMA. According to the latest extension, expired permits remain valid until 15 Octo - ber 2025, and a transitional regime has been created allowing holders to maintain their rights by presenting proof of a renewal request. Holders of temporary residence permits issued under the Manifestation of Interest regime are thus safe - guarded until that date. However, doubts remain regarding the future: ie, whether these employees must return to the starting point, requiring a residence visa in order to obtain a residence permit, or, despite its exceptional nature, whether they will continue to be allowed to renew their permits under the general rules.

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