Portugal: higher compensation levels approved for collective dismissal and termination of employment contract

The parliamentary committee in charge of reviewing changes to the labour code as part of the reform project on income and competitiveness has approved an increase in compensation for collective employment dismissal from 12 days to 14 days per year of actual employment. The committee also approved an increase in employment termination compensation.
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Better compensation levels for collective redundancies

  •  In the event of collective dismissal, a worker will receive 14 days of compensation per year worked, instead of the current 12 days. Law 69/2013, which has been in force until now, also provided for a transitional regime vis-a-vis employment contracts signed prior to 2013, with indemnities of 20 or 30 days per year depending on the situation, and this aspect remains unchanged. 
  • The increase in compensation also applies in the event of...
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