Latest news and stories about pensions in work in Portugal for expats and residents.
A recent study reveals that more than half of the Portuguese population misunderstands how the national pension system functions. Only 48.5% correctly identify that current pensions are funded by active workers' contributions, while the remainder mistakenly believe payments stem from accumulated personal career savings, general taxation, or simply remain unsure.
Susana Peralta argues that the debate on Portuguese pension reform should move past alarmism toward a calm, transparent, and evidence-based discussion to address long-term sustainability challenges caused by population ageing.
Will Social Security be able to pay sufficient pensions in the future? And what can each of us do now, without waiting for the decisions of future governments?
The debate requires a more comprehensive approach than the exclusive analysis of the public pillar.
The Social Security Reform Working Group proposes abolishing the minimum retirement age and introducing voluntary supplements to increase pensions in Portugal. During the presentation of the final report, coordinator Jorge Bravo suggested a flexible system that includes automatic enrolment in professional pension plans, a 'Grain by Grain' savings programme for children, and new retail public debt instruments. The group also proposed 'Equity Release Schemes' to allow homeowners to leverage property wealth for retirement, while warning that the current positive balance in Social Security is an illusion.
Leading an institution is easy when things go well, but the true test lies in making difficult decisions and facing scrutiny. In a democratic society, transparency and accountability are essential for all institutions, including trade unions. The SNQTB remains committed to its mission of representing workers and defending their rights with independence and duty. A recent example of this responsibility is the union's initiative to protect the pensions of retired bank employees, which has successfully brought the issue to the Assembly of the Republic. Despite internal differences, the union continues to focus on its core values, ensuring that decisions are made with the well-being of its members in mind.
André Ventura, for his part, insists that lowering the retirement age is a condition for Chega to approve the labour legislation.
Today, in the 'Watch your wallet' segment, Camilo Lourenço clarifies everything about pensions.
The story of Teresa, a banking professional retiring after a long career, highlights the systemic issues faced by bank employees in Portugal regarding pension calculations. Despite her long service, her remuneration supplements and overtime exemptions were never factored into her pension, leaving her with only 40% of her final salary. Furthermore, the integration into the Social Security system in 2011 has not provided the expected relief, as banks are permitted to offset their pension obligations with Social Security payments. Teresa, like many others, is now advocating for a parliamentary debate on what she considers the illicit enrichment of banks at the expense of retired employees.
Banking unions affiliated with the UGT are demanding urgent action from the Government and Social Security regarding what they describe as 'abusive practices' by credit institutions concerning bank employees' pensions. The unions highlight issues such as the absorption of Social Security pension increases by banks and the exclusion of certain remuneration components from pension calculations, which they claim allows banks to unfairly reduce their own financial liabilities. The unions have formally requested an intervention from the Minister of Labour, Solidarity and Social Security, Maria do Rosário Palma Ramalho, and the convocation of a tripartite working group to address these concerns.
The Trade Union Association of Prison Guard Corps Leadership criticises the Portuguese state for extending the retirement age and applying a calculation formula that reduces pensions.
Every week I see cases of people in the active workforce, around 60 years old, complaining that they 'can't take it anymore' and that it is a huge struggle to continue working until the retirement age.
Adriano Moreira also highlighted that “thousands of workers” already have supplementary retirement plans established in collective agreements.
According to the analysis, in 2024, 38% of new pensioners retired before the statutory retirement age, 32% did so at that age, and 31% chose to defer retirement.
Susana Filipa Lima said on Wednesday, at a parliamentary hearing, that there will be a meeting with the group set up to assess the sustainability of Social Security later this month.
Home News Portugal retirement age to rise again Portugal retirement age to rise again A decree published this Monday confirms calculations made by ECO based on average life expectancy.
