Your Trusted Partner for Recruitment in Portugal

To better fulfill your recruitment needs, we at Remote People are here to help you find top talent in Portugal more effectively than recruiting on your own. Our team understands the local language, customs, and the intricacies of the Portuguese talent market, giving you a significant advantage in securing the right candidates.

We know where to advertise your job openings to ensure maximum exposure and attract the best talent. Additionally, we assist in designing competitive, locally-appropriate compensation packages that not only appeal to top candidates but also help you optimize costs. 

Get in touch with us to navigate Portugal’s recruitment landscape with confidence and ease.

Overview of Portugal Recruitment Industry

Despite Portugal’s unemployment rate declining to 6.3%, it remains significant enough to create an employer’s market.

The government’s investment in job creation initiatives, especially in the tech sector, has yet to absorb the number of people seeking work fully. This scenario benefits employers who can:

  • Negotiate Lower Wages and Benefits: With a surplus of job seekers, employers have the leverage to offer more competitive compensation packages.
  • Select Top Talent: Employers can choose the best candidates rather than settling for less qualified applicants.

Portugal’s economy is predominantly driven by the service sector, with roughly one in three employees working in transport and logistics, financial services, tourism, wholesale and retail trade, education, healthcare, and real estate. Manufacturing also holds a significant place, encompassing industries like oil refining, chemical production, cement processing, automobile manufacturing, and food, textiles, footwear, furniture, and wine production.

Portuguese employees are renowned for being hardworking and dedicated, yet they appreciate a relaxed working atmosphere and a healthy work-life balance. Many need to be more employed, need help to utilize their current skills, and actively seek additional work. With an underutilization rate of 11.1%, at least one in ten workers is seeking more employment or extra hours.

Employers in Portugal often recruit through personal networks and word-of-mouth referrals, leveraging networking events to find potential candidates. Many firms also utilize popular job websites like Net-Empregos, Sapo Emprego, Indeed, and the government-run IEFP to source talent. The expansive reach of social media allows companies to showcase their corporate culture and advertise available positions effectively. Additionally, some companies engage international recruitment agencies or employers of record (EORs) to fill vacancies quickly and efficiently.

Recruit in Portugal

Portugal has become a top European hub for tech talent and digital nomads, with strengths in software engineering, tourism, renewable energy, and a growing startup ecosystem in Lisbon.

We source pre-vetted candidates across industries, handling local employment screening and Portuguese labor requirements.

No local entity needed. Your team can start in days.

FIND TALENT

Benefits of Recruiting in Portugal

There are lots of benefits to hiring Portuguese workers if you’re looking to open up a new business in Portugal or employ skilled workers remotely for a foreign enterprise. These benefits include:

Low Costs

In 2024, the minimum monthly salary for Portuguese workers rose to 820 Euros per month. This puts it roughly in the middle of European countries, which range from 477 EUR/month in Bulgaria to 2,571 EUR/month in Luxembourg. Low wages keep inflation and the cost of living low, aside from rent, so Portugal is quite an affordable European country.

High Education

Many Portuguese students are enrolled in vocational training programs, and in recent years, tertiary education rates have increased to 44% for 25-34-year-olds. This means that the population has a high proportion of well-educated and highly trained workers, many of whom are not currently being utilized to their full extent.

Language Skills

Portugal neighbors Spain and France and has linguistic similarities to both. More than 70% of Portuguese people can speak a second language and these are most commonly Spanish and French, with English now the most taught language at schools. These linguistic abilities can be a great asset for companies working in multiple countries and trying to gain a foothold in Europe.

Diversity

Before the 1755 Lison earthquake that effectively disabled the nation’s economy, Portugal was one of the first seafaring European empires. It gained colonial possessions in Africa, South America, India, and Southeast Asia. The legacy of that empire lives on in language, and that has attracted people from all around the world to resettle in Portugal, making it a richly diverse country. This diversity can give your firm multiple perspectives and a competitive edge.

Foothold in Europe

If you’re looking to expand into Europe, Portugal is an effective place to start. Portugal charges a 21% corporate tax rate, which is slightly below the average European rate of 21.3%. The government also provides incentives to businesses, especially in the technology sector. Combined with good transportation linkages into the rest of Western Europe, this makes Portugal a favorable place to start out doing business in Europe.

Legal Considerations When Recruiting in Portugal

Portugal’s recruiting and employment rules are enshrined in its constitution, Labor Code, and EU law as well. These laws give solid protections to workers and employers as well. Many Portuguese workers, as many as 30%, are part of unions, and their working conditions and compensation may be controlled by collective bargaining agreements. Other important legal considerations you need to consider include:

Working Hours & Overtime

Portuguese workers generally work 40 hours a week. They may work two more hours of overtime daily, up to 48 hours per week. However, employees have the right to rest at least 11 hours between working periods.

Overtime must be paid at a rate of 125% of normal wages for the first hour and 137.5% for additional hours. Overtime on rest days and holidays must be paid at 150% of normal wages.

Paid Leave

Full-time workers are entitled to 22 days of paid leave for every year they work. Portuguese workers are also entitled to 13 paid national holidays and up to four more depending on their region.

Protection of Personal Time

It’s illegal for employers to contact their employees outside of working hours unless they’re paid to be on call. This means that you cannot call, text, or email employees when they’re not working. This law prevents employees from being made to work without receiving compensation.

Anti-discrimination Law

The law makes it clear that it’s illegal to discriminate against potential hires or employees based on sex, gender, age, marital status, race, ethnicity, economic situation, disability, or political or ideological beliefs. This protection applies to all stages of recruitment as well as to people’s periods of employment.

Choosing a Recruitment Agency in Portugal

If you decide to work with a recruitment agency in Portugal, you’ll find hundreds to choose from. To help you find the best one for your needs, consider the following factors:

Reviews and Ratings

Great reviews and high ratings will demonstrate if an agency treats recruits well and delivers appropriate employees to employers.

Experience

An established agency will have a large talent pool to choose from and the professional knowledge to match employees perfectly with your needs as an employer.

Fees

Look for agencies that clearly state how they bill you so you can find a reasonable service without any hidden fees.

Services

Make sure to choose an agency that provides all the services you require for hiring, onboarding, and maintaining your employees.

The economy of Portugal is back on track for the first time in ages. The working population is largely over-educated and under-employed which means this is a great time for employers to scoop up skilled Portuguese workers. With their low average wages and high levels of diversity and language knowledge, these may be the perfect employees you need to fill your vacancies or start doing business in Europe.

Recruit Top Talent Across Europe with Our Recruitment Expertise

Navigating the complexities of hiring and workforce management across different countries can be challenging. Partnering with a reliable recruitment agency ensures you stay compliant with local labor laws, streamline the hiring process, and secure top talent. Learn how Remote People can help you recruit in the following countries:

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Time to recruit top talent from Portugal? Remote People can assist you. Contact us today to discuss your recruitment specifics and discover how we can assist you in achieving your business objectives.