A total of 11,000 companies have applied for exemption from the Single Social Tax (TSU), amounting to an estimated 200 million euros in total.

The Institute of Employment and Professional Training (IEFP) has approved 390 applications for an extraordinary fund aimed at job maintenance, totaling over 11 million euros. This fund was established in response to the severe impact of bad weather, particularly from storms Kristin, Leonardo, and Marta, which have caused significant destruction and loss of life in Portugal. The approved applications will support 3,840 workers, with the majority coming from the Central region, which was the hardest hit. The manufacturing and retail sectors are the primary beneficiaries of this financial aid.

Portugal and Spain have announced a joint bid to develop an AI gigafactory, with an investment of €8 billion, aiming to enhance their technological capabilities and position in the global innovation market. The project will establish infrastructure in both countries, with Sines in Portugal as a key location, and is part of a broader strategy to strengthen Southern Europe's role in AI development. This initiative reflects a significant political and economic collaboration between the two nations, focusing on equitable resource distribution and fostering a competitive edge in the digital economy.

The Government has actively engaged in revising labour law, presenting a draft bill on 24 July and reconvening the Permanent Commission for Social Dialogue in September. Following several meetings with business confederations and the UGT, a significant meeting is scheduled for 3 March to further discuss the labour law reform, indicating ongoing negotiations and collaboration among stakeholders.

The article discusses the urgent need for Portugal to create conditions that allow its citizens, especially the youth, to live fulfilling lives. It highlights the challenges of job instability, low wages, and high housing costs that hinder family planning and personal growth. The piece argues that economic growth should not only be measured by GDP but also by the quality of life and the ability to retain talent. It calls for policies that promote better salaries, housing access, and support for families, emphasizing that the Portuguese dream is collective and rooted in the belief that each generation can live better than the last.

Labour Minister Maria do Rosário Palma Ramalho has explained the exclusion of the CGTP from recent discussions on new labour legislation, claiming they chose not to negotiate. The CGTP refutes this, asserting they have proposed measures to address workers' rights and precarious employment. They criticize the government's approach, suggesting it favors employers and undermines social dialogue. Key proposals from the CGTP include reducing the workweek, increasing vacation days, and improving job security for vulnerable workers.

Researchers at the University of Coimbra are advocating for the initiation of competitions mandated by law to address the issue of scientific precariousness. They highlight the ongoing problem of scientists who have been on fixed-term contracts since 2017, calling for urgent solutions to secure stable positions in the research field.

The government has promised to provide 100% of gross salaries for laid-off workers and cover 80% of costs for companies, but this commitment lacks legislative backing and clarity on implementation.

Portugal is seeking to enhance its appeal to Middle Eastern investors, particularly from Qatar, by shifting its marketing strategy beyond just its favorable climate. In Doha, representatives from Startup Portugal are engaging with local entrepreneurs to promote investment opportunities in the country.

The Government plans to submit a proposal for revising the labour law to Parliament despite lacking an agreement in the Social Concertation. This move raises questions about whether Chega will play a crucial role in facilitating the reform of the Labour Code, as the Government seeks support from opposition parties without an absolute majority.

Since the end of January, the country has been dealing with the aftermath of consecutive storms that have caused significant damage to homes and infrastructure. In response, companies facing crises may require employees to assume different roles temporarily. However, businesses must be cautious about the implications this may have on insurance and labor laws.

The CGTP trade union centre has called for the withdrawal of the proposed labour package, citing widespread dissatisfaction among workers as demonstrated by a recent general strike. Despite the pushback, Seguro has indicated that he will not implement the changes in their current form.

Isabel Roseiro, head of Randstad Portugal, emphasizes the tangible social and economic value of placing people in work, saying: “There is nothing that can make a bigger difference than giving a job to someone who doesn't have one and wants to work.” Analytically, her account frames recruitment not merely as a business function but as a lever for individual dignity, labour-market activation and broader economic activity; she also reflects on unexpected insights from the role and the practical challenges of creating lasting value in people’s working lives.

Marcelo Rebelo de Sousa has called for the establishment of an 'entry channel' for immigrants to provide the necessary workforce for rebuilding homes and businesses in the country. This proposal aims to address labor shortages and facilitate the integration of immigrants into the job market, raising questions about government policy and its willingness to adapt to these needs.

Portugal’s unemployment rate has edged down only slowly since 2019, prompting debate over whether it is approaching a near‑floor. The rate’s stabilisation reflects a mix of cyclical recovery and structural constraints — tight labour markets in some sectors, demographic shifts, labour‑market mismatches and cost‑of‑living pressures that can limit further job creation. Further falls are possible but will likely depend on stronger demand, targeted upskilling and reforms that reduce structural unemployment rather than relying on cyclical factors alone.

Between 2022 and 2025 the share of foreign nationals in placements made by employment centres more than doubled, reaching 31% of unemployed people placed. The data indicate greater willingness among immigrants to accept work, with implications for labour market dynamics, placement strategies and policies aimed at workforce integration.

Guimarães has been chosen as the site for the presentation of Portugal’s national space strategy, a symbolic starting point for mayor Ricardo Araújo’s plan to turn the municipality — home to the Guimarães Space Hub — into an Iberian leader in the aerospace sector. Local authorities are pursuing rehabilitation of facilities, investment and economic activation to attract industry, create jobs and build a skills pipeline. Realising that ambition will require sustained funding, coordination with national and international partners, and targeted policies to translate strategy into industrial growth rather than a one‑off showcase.

Inês Lynce, chair of INESC‑ID and co‑director of the Carnegie Mellon Portugal Programme, argues Portugal must act to retain professionals skilled in generative artificial intelligence and adapt education and policy to do so. She urges a wider societal pause to define what we want from AI, calling for clearer public information, informed debate and targeted retention and training measures to align technological development with public interest.

A preliminary protocol for Banco Português de Fomento’s new Financial Instrument for Innovation and Competitiveness (IFIC) foresees a €1 billion credit line covering projects in reindustrialisation, defence and artificial intelligence. Companies using bank loans to finance the portion of IFIC‑supported projects will benefit from a two‑year grace period, easing early repayment pressures and potentially encouraging private co‑finance. The measure signals a targeted industrial‑policy push to mobilise investment and employment in strategic sectors while leveraging public support to unlock additional bank lending.

TAP is investing €20 million to build a new aircraft maintenance hub and hangar in Porto, a project due to take two years and expected to create about 200 jobs. The move is intended to increase the carrier’s maintenance self-sufficiency, reduce outsourcing and boost operational autonomy as the airline undergoes privatisation, while Porto’s network will be strengthened with services to Terceira, Praia, Tel Aviv and an enhanced link to Boston.

Compete will open five funding calls in January for large companies, accounting for roughly one third of the programme’s corporate allocation under Portugal 2030, the agency’s president told ECO dos Fundos. The calls come with strengthened support rates aimed at accelerating project implementation and unlocking private investment. For large firms, the tranche presents a concentrated opportunity to secure EU-backed grants that could expedite capital expenditure, support job-creating projects and align corporate investment with Portugal 2030 priorities. The measure also signals an administrative push to deploy funds faster, with potential sectoral and regional impacts depending on application uptake and award conditions.

The article analyses a surge in national defence innovation driven by a €5.8 billion SAFE loan—the largest single investment in the Armed Forces—positioning defence as a strategic area for both European and national investors. Key growth areas include drones, satellites and aircraft, with emphasis on R&D, dual‑use technologies and strengthened aerospace supply chains that can create jobs and boost exports. The piece examines how procurement reform, public‑private partnerships and targeted skills development are needed to translate investment into sustained industrial capacity and economic impact. It concludes that coherent policy and sustained funding will be essential to maximise technological and economic returns.

Julien Jarjoura, an investor based in Switzerland, has acquired Claire’s European business, preserving roughly 200 jobs in Portugal and maintaining the brand’s retail footprint across Europe. The purchase effectively separates the continental operation from insolvency proceedings affecting Claire’s in the United States, the United Kingdom and Ireland, stabilising local employment and stores while broader group restructuring and creditor processes continue.

Prime Minister Luís Montenegro uses his customary 1 January Jornal de Notícias article to renew a call for labour reform, urging a ‘winning mentality’ and changes to employment law and regulation. Framed as necessary for competitiveness and job creation, the piece signals his policy priorities and aims to steer public and political debate toward deregulation and legal adjustments. It functions both as a policy pitch and as political positioning ahead of upcoming labour‑market discussions.