Portugal: the minimum wage moves to €557, effect offset by lower employers’ social contributions

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3 January 2017 à 11h17

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2 minutes

Publication: 3 January 2017 à 11h17

Reading time: 2 minutes

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The social partners agreed to raise the gross monthly national minimum wage (SMN) from €530 to €557 as of 01 January 2017. This rise is to be offset by a 1.25% drop in employers’ social contributions (TSU). The CGT union refused to sign the agreement due to what it sees as ‘unfair’ compensation for employers.
Publication

3 January 2017 à 11h17

Reading time

2 minutes

Publication: 3 January 2017 à 11h17

Reading time: 2 minutes

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SMN rises. The SMN national minimum wage goes up €27 as of 01 January 2017 to reach €557 gross per month. The monthly salary is paid fourteen times a year in Portugal with the Christmas and Holiday ‘bonuses’ in reality constituting 13th and 14th month wages. Some 600,000 workers out of a total active labor force of 5.2 million will be affected by the rise. The SMN had been frozen at €485 per month from 2012 to 2014 before a ‘catch-up’ process started that has now been sped up. Incremental...

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