Now, to lay someone off because their job has become extinct, Portuguese businesses will have to follow a certain hierarchy. The Labor Code changes enforced on June 1 put reverse seniority as the last layoff criterion, when it used to be one of the only ones used. The first criteria to apply are, among others, the worst assessment, skills levels and the cost of maintaining this job for the company.
Hierarchy of criteria to lay off. The new version of Article 368 of the Labor Code (see article No. 8255), officially published on May 8, 2014, draws a new hierarchal list of the criteria for individual economic layoffs that affect several jobs or similar functions in the company. In order, employers will have to consider the 5 following criteria:
- The worst professional assessment – workers are aware of the parameters,
- The lowest educational and professional skills level,
- The highest c
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