During the latter part of 2021, the unemployment rate in Portugal stood at 6.1%. And since the country is reliant on its tourist trade, casual work is common here.
Teaching English as a foreign language is a popular choice for British expats. With so many Portuguese-speaking people looking for work in Portugal, expats often find themselves at a disadvantage. If you want a Portuguese job, being fluent in the language is the best way to improve your chances of finding employment. Being able to understand and speak the language will help you to stand out from other overseas candidates. It’s a good idea to start taking a comprehensive language course before you begin searching for job opportunities in Portugal.
Different types of working visa
If you’re an EU, EEA or Swiss citizen, you don’t need a Portuguese work visa to live and work in Portugal. However, you will need to register your address with the city hall, and apply for a tax number. If you plan on working in Portugal for more than six months, you will need to apply for a Residence Certificate.
If you’re a non-EU citizen (including Brits), you will need to obtain a Portuguese work permit. Usually, you have to wait to receive a job offer before your prospective employer will be able to apply to the Portuguese Labour Authorities for your work permit.
If the work permit application is approved, you will need to apply for a work visa or residence permit once you arrive in Portugal. If you need a visa to enter Portugal, or your job will last for less than six months, you should apply for a work visa. If you plan to work in Portugal long-term, you should apply for a residence permit. The residence permit you apply for will depend on the terms of your employment.
The work visas outlined below are available to non-EU nationals with a valid Portuguese work permit:
Suitable for short-term, temporary contracts that are expected to last under six months, e.g. seasonal work
Subject to authorisation by the Instituto do Emprego e Formação Profissional (IEFP), it is available to employees and self-employed workers
Can be extended for up to one year for people working in academic teaching, scientific research, highly qualified professional job roles, or specific training and service provisions
Suitable for short-stays for business purposes
Required by non-EU nationals who wish to work in Portugal for more than 6 months
Equivalent to the long-term Schengen Visa (type D), which allows you to travel throughout the 26 Schengen area countries
People from Australia, New Zealand, Canada, Japan, Israel and the USA can apply for the long-term visa within 90 days of arriving in Portugal. Other non-EU nationals must apply before they travel to Portugal
After securing a visa, you can travel to Portugal and apply for a residence permit
Most employees working in Portugal will need to apply for the standard Employees Residence Permit. It is valid for one year and can be renewed for 5 further years. After that, you will be eligible to apply for Portuguese residence, as long as you meet the conditions set out by the Portuguese authorities.
Highly Skilled Workers and Researchers Permit
This permit is available for academic teachers, scientific researchers and people employed in highly qualified professional job roles. It is valid for one year and can be renewed for five further years. After that, you can apply for Portuguese residence, as long as you meet the conditions set out by the Portuguese authorities.
This is a scheme for highly qualified workers from non-EU countries. To apply, you will need to have a high level qualification, be a paid employee with an existing work contract or be in receipt of a binding job offer in Portugal. The employment offer must be for a minimum period of one year, and your gross salary will need to be at least 1.5 times the national average for the country (in 2020, this was around €18,500).
The Blue Card is valid for a minimum of 1 year and a maximum of 4 years. It enables non-EU nationals to work in all EU countries except for Denmark and Ireland. Once you have lived in Portugal for 18 months, you will be eligible to apply for a Highly Skilled Migrants and Researchers Permit.
Golden Residence Permit for Business Owners
This programme is designed to attract foreign investment. It accelerates the process for non-EU investors to obtain a residence permit. It is granted to people making a significant real estate investment or investing in starting a business in Portugal.
If you are planning to set up a small business in Portugal, or work on a freelance basis, you will need to follow the same process as an employee. However, you will need to provide additional documentation relating to your business activities, as well as your self-employment registration documents from the tax office. As a self-employed worker, you will be allowed to take on additional work for a third-party employer, but you will need to apply for a Residence Permit for Employees first.
Training and Volunteering Permit
If you are planning to do an unpaid training placement or volunteer in Portugal, you can apply for a Training and Volunteering residence permit. Once you have completed your studies, you will be allowed to work in Portugal under an employment contract, as long as a change in your residence permit is approved by the SEF.
The Training and Volunteering Permit is usually valid for a maximum period of one year, although this is negotiable for volunteering programmes that are expected to last longer than one year. This type of permit is not renewable.
Non-EU students will need a Portuguese Student Permit to work in Portugal. This permit will be subject to approval by the SEF. Students are allowed to carry out research work, teaching or highly qualified professional activities, as long as they satisfy the relevant criteria.
Working in Portugal as an EU citizen vs non-EU citizen
Due to high levels of unemployment over the past 15 years, there are thresholds in place to limit the number of jobs being allocated to third-country nationals. Many jobs in Portugal have to be made available to EU/EFTA citizens for a period of 30 days before the Institute for Employment and Vocational Training in Portugal (IEFP) will authorise non-EU citizens to be appointed to them.
Once you’ve lived in Portugal for five years, you will be able to claim permanent residence. After six years, you can claim Portuguese citizenship. As a permanent resident or citizen, you will not need to have a work permit and you will be free to apply for jobs in Portugal without restriction.
If you’re looking at jobs in Portugal for foreigners, it’s important to ensure your technology skills are up to scratch. Looking for opportunities with one of the many tech companies in Portugal is a good place to start, as they are often keen to employ people from all over the world.
If you work outside of online business, marketing or IT, you may find it more difficult to find employment in Portugal. If you speak more than one language, it’s worth checking out job opportunities in the tourism or real estate industries. Being able to speak English and Portuguese might not be enough to put you at an advantage, so it’s worth learning other languages such as French, German or Spanish. This could also help open doors to teaching opportunities.
Whether you choose to work on a self-employed basis, or as an employee, you will need to pay social security contributions. You will be eligible for some benefits in return for your contributions.
Where to Look for a Job
Job websites, including Indeed, LinkedIn, Hays, SAPO Emprego, Empregos Online, Net Empregos, Glassdoor and Learn4Good
Public sites, such as Portuguese Public Employment Services. You can use this website to register your CV or resume. You will also find listings for thousands of different job listings in Portugal.
People from the EU/EFTA can apply for jobs using the EURES (European Job Mobility Portal). This service is maintained by the European Commission. You can use it to register your CV or resume, or access advice on finding employment in Portugal.
For jobs in Portugal for English speakers and English speaking jobs in Lisbon, visit the Jobs in Lisbon and Next Station websites. You could also try the classifieds section of the Portugal Resident newspaper.
Registering with a recruitment agency is a good way to put yourself forward for a range of different job roles. You can find a list of recruitment agencies in the Portuguese Business Directory.
Horton International recruits for a wide range of business sectors, while Ad Capita specialises in senior management roles.
If you know what type of company you want to work for, try a direct approach. You could send an email to the Human Resources department of a few different relevant businesses, attaching a copy of your CV.
Updating your CV
Make sure your CV fits in with the style used in Portugal. It should be as short as possible - one page is usually sufficient, unless you’re applying for a role where you need to provide details of your technical skills. Your CV or resume should never be longer than two pages. This means splitting your CV or resume into three sections: personal details; professional experience; and qualifications.
Your personal details should include your full name, nationality and city of residence. You don’t need to include your marital status or address. Some people add a headshot photograph, but that’s your choice. You should always include your contact details and any links to social media.
When summarising your professional experience, always list your most recent job role first. Include details of your key job duties, and only mention job roles that are relevant to the position that you are applying for.
When listing your qualifications and education, work in reverse chronological order. Depending on the job role you are applying for, you may wish to give a summary of your skills. Avoid listing hobbies and interests, unless they are relevant to the role you are applying for.
Where possible, you should submit your CV in Portuguese. If you do not speak Portuguese, you can submit your CV in English.
In most cases, you won’t need to provide a cover letter. However, if you’re applying for a role that involves communication, you may be asked for one.
Most employers in Portugal do not take up references, and you are unlikely to be asked to provide evidence of your qualifications until the latter stages of the hiring process. Check with the recruiting organisation to find out about their hiring policies.
Attending Job Interviews in Portugal
In Portugal, presentation is key to the recruitment process. If you’re unsure what to wear to an interview, it’s always best to choose something formal. The company culture will give you a clue as to what is expected. If you’re applying for a role in a startup business, you can expect a casual dress code. If in doubt, ask!
When attending an interview in person, introduce yourself with a firm handshake. Although the Portuguese often like to greet one another with two kisses on the cheek, this is not appropriate for a job interview or professional meeting.
Self-Employment in Portugal
If you’re planning to work in Portugal on a self-employed basis, there are a few things to consider. Most companies are split into two categories, depending on the number of employees: pessoa singular for those that only employ one person; and pessoa colectiva for those that employ more than one person.
To work as a sole trader or freelancer, you will need to register your business with Financas. You should do this prior to undertaking any work. If your business turnover is 200,000 EUR or less (equivalent to approximately 220,000 USD or 166,500 GBP), you can usually pay your taxes via a simplified tax regime. Most freelancers work under the recibos verdes or green receipts taxation regime.
If you choose to set up a business as an empresario em nome individual, your personal assets are at risk. To offset this risk, consider setting up as a unipessoal limitada - this setup means that your personal assets will be separate to your corporate assets, although some fiscal benefits are excluded, and you must make minimum capital investment of 5,000 EUR (equivalent to 5,500 USD or around 4,170 GBP).
When setting up a company that will employ more than one person, you can use a number of different legal entities. These include sociedada anonima, which is a Public Limited Company, sociedade por quotas, which is a Private Limited Company, and sociedade em comandita, which is a Limited Liability Partnership. Whichever option you choose, the first step is to set up the business with Financas. It is wise to seek advice from an accountant or business lawyer before making a decision on your business model.
Social security contributions and benefits in Portugal
As a self-employed worker in Portugal, you will be legally required to declare your turnover, and pay social security contributions. In exchange, you will enjoy access to many of the same benefits as somebody employed by a company. These include protection in the following situations:
- illness
- maternity/paternity/adoption
- work-related illness
- injuries or health issues
- invalidity; old age pension
- death
As an owner of an empresario em nome individual, limited company, or an independent worker providing most of their services to one employer, you will also be entitled to unemployment benefits.
If you’re employed, your employer will inform social security at the beginning of your contract. You will need to provide your employer evidence of your visa. After that, you will have to sign the Mod.RV1000-DGSS form, and you will receive your Número de Identificação de Seguranca Social (NISS or Social Security Number) once your work contract has been submitted.
If you’re planning to work on a self-employed basis, you’ll need to apply for a social security number. You will need to complete the form yourself, and provide the relevant supporting documents to your local social security office.
In either case, you will not receive a physical social security card. Instead, you will receive a piece of paper showing your NISS. It’s important that you keep this in a safe place.
To summarise, all citizens must provide (or sign) an RV1000-DGSS form, ID confirming their country of origin, and evidence of their Portuguese tax number. All non-EU citizens must provide all of the above, plus their passport and residence permit.
After registering with social security, you will be able to use the online social security platform, which allows you to manage your social security benefits.
Work Culture in Portugal
People working in Portugal tend to strike a good balance between work and leisure. People work hard, over many hours each week, but they are also good at separating their personal life from their business life. Most people prioritise having a healthy work-life balance, although the culture does vary between industries.
A typical working week in Portugal is usually made up of 40 working hours, worked from Monday to Friday. Companies set their own working schedules, but most people start at 09:00 and finish at 18:30, with a 90-minute lunch break. Weekend work is not usually expected, unless this is stated within the terms of your contract. Most employers encourage staff to enjoy their leisure time.
Dress codes vary between businesses. In many cases, you can adopt a business-casual appearance, but it’s always best to check.
Working for a Foreign Company While Living in Portugal
Receiving a salary from a foreign employer while living in Portugal can be complicated. For example, if you are an employee of a UK-based company, you won’t be able to enrol with Social Security or make contributions in Portugal.
If you carry on declaring yourself as a UK resident, but you are actually living and working from Portugal, you won’t meet the criteria for the UK Statutory Residency test.
If you want to be employed by a UK company in Portugal, your employer will need to set up a branch office or subsidiary in Portugal. It’s not unheard of, but it can be costly in terms of set-up costs, taxes and overheads, so it’s unlikely to be cost-effective for you or your employer.
If you want to enjoy all the benefits of remote jobs Portugal has to offer, you could set up as a freelancer. You will then be able to set up a contract with the overseas company, instead of continuing to be employed.
By registering as a provider of “other support services” in Portugal, you will be able to work under the “Simplified Regime”, which means you will only be assessed on 35% of your gross invoicing to the overseas company. You will also pay reduced Social Security contributions, so your tax bill will be much lower. In many cases, companies can make savings on their overheads too. For example, UK employers would no longer be required to pay UK National Insurance contributions.
Summary
Working in Portugal doesn’t have to be complicated. With our guide, you can decide which type of employment is best suited to your circumstances. Whether you choose to set up a business, or join a Portuguese company as an employee, you’ll be able to enjoy all the benefits of living and working in Portugal.
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