Finance: Wages news in Portugal

Banco de Portugal warns of “gradual compression” of wages

Largely driven by consecutive increases in the guaranteed minimum wage, lower salaries have grown more than higher salaries in Portugal. This has resulted, on one hand, in a reduction of wage inequality, but on the other, in a “gradual compression” of earnings, which raises “important questions” regarding “worker incentives and the dynamics...

PSU: unpaid work does not create jobs. It lowers wages

The problem is not, therefore, the existence of a Single Social Benefit (PSU). The problem is this specific Single Social Benefit, which uses the banner of simplification to do something very different: cut support, close doors, and impose new obligations on those already living on the edge.

Average worker salary in Portugal rises 5% to 1,611 euros in the first quarter

The average salary for workers in Portugal reached 1,611 euros in the first quarter of this year. According to data released this Friday by the National Statistics Institute (INE), this represents a 5% increase compared to the same period in 2025. However, rising prices have absorbed part of this pay increase. Thus, in terms of...

6 PM CGTP demands 150 euros for those who did not receive a salary increase

The CGTP trade union confederation is calling for a 150-euro payment for workers who have not seen their wages rise.

8h Study: Portugal marked by below-average salaries

A report indicates that wages in Portugal remain below the European average.

Labour market in Portugal: below-average wages, high working hours, and youth precariousness

An analysis of the Portuguese job market highlighting issues such as low salaries, long working hours, and job insecurity for young people.

Executive Digest30 Apr

Annual salary of Portuguese workers below the European average

USI warns of "evident civilisational setbacks" in labour reform and requests an audience with Seguro

The Union of Independent Trade Unions warns of discrepancies between the remuneration of Portuguese workers in international companies operating in Portugal, which “will continue to be much lower than their counterparts in Spain, Italy, or France, who perform similar roles.”

Portugal among OECD countries where wages saw real growth in 2025

In the country, gross nominal wages increased by 4.9% last year.

Labour flexibility is essential for better wages

Luís Miguel Ribeiro advocates for an agreement with the UGT and criticises the deadlock in labour reform. The president of the AEP further emphasises that flexibility is the key to responding to labour shortages.

Portugal pays more in wages than it produces, warns CFP

In a year marked by external shocks, war in the Middle East, and tariff uncertainty, the national labour market is performing surprisingly well, with the Public Finance Council (CFP) projecting employment growth of 1.4% this year—0.5 percentage points above the 0.9% anticipated in September—with the unemployment rate...

Collective bargaining wages have moved closer to the minimum wage again

In the post-Covid-19 period, there was a marked and continuous upward trend in the proportion of collective bargaining agreements with base salaries above the minimum wage and the number of workers covered by them. However, in 2025, this trend reversed. Last year, according to Jornal de Negócios (paid access), collective bargaining began to level out more.

Unions accept Meo's proposal for 2.5% pay rises and a minimum wage of 970 euros

Meo employees will receive a 2.5% increase in their base salary, to a guaranteed minimum of 970 euros per month, starting from July 1st, representative unions announced this Wednesday in a joint statement. According to SINTTAV, SNTCT, STT, Sindetelco, Sicomp, Tensiq, FE, and Sinquadros, the agreement reached, although 'limited in light of...',

Unions accept Meo's proposal for 2.5% pay rises and a minimum wage of 970 euros

The agreement, effective from July 1st, also provides for the updating of meal and breakfast allowances.

Portugal is 'a little bit tired' of negotiations on labour law changes

Armindo Monteiro says that 'as soon as this negotiation process ends', the CIP will propose 'a plan' for income, with the aim of increasing wages and growing the economy.

Footwear sector and unions approve new collective agreement and pay rises of up to 50 euros

The footwear employers' association APICCAPS and the FESETE union have signed a new collective labour agreement that provides for a 3.1% increase in the total wage bill and monthly raises of up to 50 euros.

'The wage reality in Portugal is frankly distressing': the narrowing gap between the minimum and average wage is 'increasingly dangerous'

Economist João Rodrigues dos Santos analyses the advantages and disadvantages of the new IRS withholding tables which, he says, are likely to bring even more 'uncertainty' to the Portuguese. Highlighting the 'distressing' wage reality in Portugal, the expert draws attention to rising housing prices and the instability of variable interest rates.

Tourism is growing in Portugal

Home News Tourism is growing in Portugal Tourism is growing in Portugal Employment and tourism grew, workers’ wages increased, and signs of a slowdown “in some sectors” of the Northern region’s economy emerged in the third quarter of 2025, according to a report released.

Catering and hospitality agree average pay rises of 5% for 2026

Employers and unions in the restaurant and hotel sectors have agreed average pay rises of around 5% to take effect in 2026.

Workers in foreign companies more productive and better paid

Home News Workers in foreign companies more productive and better paid Workers in foreign companies more productive and better paid The productivity and average salary of workers in subsidiaries of foreign companies in Portugal were 69. 6% and 44.

Workers at foreign subsidiaries more productive and better paid

The productivity and average salary of workers at subsidiaries of foreign companies in Portugal were 69.6% and 44.2% higher, respectively, than those of workers at domestic companies in 2024, according to data released today by INE.

Lidl raises starting salary by 11% to €1,000 gross from January

Supermarket chain Lidl will increase its entry-level pay by 11%, bringing the gross monthly starting salary to €1,000, effective in January.