Living and Working in Portugal, presented by EURES

• 1. EURES Online Jobdays 1st 2nd December 2010 Want to work in Portugal?

2. Living & Working in Portugal

• The Country

• Labour Market

• Working Conditions

• Social Security

• Taxation

• Recognition of Diplomas and Qualifications

• Language

• Accommodation

• Healthcare

• Education

• Cost of Living

• Looking for a Job

• Starting up a Business

3. The Country 4. The Country

• Area :92,412 km 2

• Territorial organisation :5 regions in the Mainland, 2 Autonomous regions (Azores & Madeira archipelagos)

• Capital :Lisboa (Lisbon)

• Population :10.647.300(4th Q 2009)

• Active Population :

• 5.573.000(3rd Q 2010)

• Unemployment Rate :

• 11%(October 2010)

• Currency :Euro

• GDP Growth Rate :-2,7%(2009)

• Per capita GDP(PPS) :79% EU27 avg(2009)

• Minimum Wage :475,00 Eur/month (2010)

• Inflation Rate :-0,9%(2009)

5. The Labour Market 6. Labour Market Portuguese Economy

• Based intraditional industries- textiles, clothing, footwear, cork and wood products, beverages (wine), ceramics, glass and glassware, fish canning, metal working, oil refining and chemicals;

• A world-classmould-makingindustry

• Changingits role in Europes automotive sector , IT and renewable energies

7.

• Agricultureis a small part of the economy

• B2B Market:growth oriented sectors are construction & public works, environment, medical equipment, information technology, communications and transportation

• B2C Market:the major visible trend in the last few years has been the increase of hypermarkets, large retailers & shopping malls

Labour Market Portuguese Economy 8.

• Tourismisthe driving force of the economy and the labour market

• Trying to develop a more qualified cultural and rustic rather than only sun & beach tourism in order toattract tourists

• New touristic offers : organisation of events, adventure and nature, cultural, rural, residential and SPA tourism

Labour Market Portuguese Economy 9.

• Graduates inEconomics ,Management&other Business Sciences(including Accountancy, Marketing and Advertising)

• Graduates inLanguages& otherCommunication Sciences

• Teachers(mostly Secondary School Teachers)

• Social Workers&Psychologists

• Other graduates inSocial&Human Sciences : Sociologists, Lawyers, Historians, etc.

Labour Market Graduate Surpluses 10.

• Recreation, Leisure & TourismAnimators

• TravelConsultants & Organisers

• Receptionists& Information Clerks

• Engineers( Civil, Chemical, Electro, Agronomy, Environmental, IT, Mechanical,) & Architects

• ITAnalysts, Programmers & Assistants

• Nurses& several Life Science Technicians

• SalesManagers & Representatives

Labour Market Graduate Surpluses(cont.) 11.

• Tourism & HORECA

• • Waiters & Bartenders, Cook Assistants, Bakers & Pastry Cooks

• Construction & Public Works

• • Bricklayers & Stonemasons, Public Works Construction & Maintenance Workers, Carpenters, Painters, Plumbers, others

• Textile Industry

• • Sewers, weaving and knitting machine operators, others

• Other Manufacturing Industries

• • Welders & Flamecutters, Assemblers & other Production Clerks

Labour Market Less Qualified Surpluses 12. Labour Market Less Qualified Surpluses(cont.)

• Cleaning

• • Domestic cleaners & helpers; Cleaning staff in hotels, offices & other establishments

• Personal Service

• • Childminders & Personal Care Workers

• Shopping / Commercial

• • Shop Assistants, Stall & Market Demonstrators, Cashiers; Stock & Warehouse Clerks

• Transport

• • Truck & Lorry Drivers;Taxi Drivers

13.

• Health Sector

• • Medical Doctors, mostly in some expert specialties

• ICTs(Information & Communication Technologies)

• • IT Engineers, with very specific profiles and skills

• Services

• • Specialized Contact Centres, Shared Service Centres

Labour Market Permanent Shortages 14.

• Hotels & Restaurants

• • Bartenders

• • Waiters/Waitresses

• • Recepcionists

• Agriculture

• • Fruit picking: grapes, pears, strawberries

Labour Market Seasonal Shortages 15. The Working Conditions 16. Working Conditions Average Monthly Earnings (October 2009)

• Eur 1.101,9

• Professional Level(Apr. 2009)

• Managers/Directors2.957,8

• Employees 964,2

• Labourers 650,2

• Apprentices 500,8

• Gender

• Male 1.215,0

• Female 948,9

• Activity Areas

• Manufacturing 965,7

• Construction 965,4

• Sales & Repair Services1.032,5

• Hotels & Restaurants 737,5

• Transports & Communications1.566,8

• Financial Activities 2.299,1

• Health Care & Social Work 845,4

• Administr. & Support Services949,0

• Education 1.256,4

Source : GEP-MTSS 17. Working Conditions Relevant Info

• Holiday & Christmas subsidies total 14 earning months per year

• Lisbon has the highest wage level in Portugal, due to concentration of higher paying activities

• Normal working period cannot exceed 40 hours weekly (avg. is 39 hours, 5 working days)

• Holiday duration: in general, 22+3 useful days as a base (or 2 days per complete month of work in short-term contracts)

• Fixed term contract maximum duration: 3 years (incl. 2 renewals max. during the period); mandatory to be in writing

• Day limit for supplementary work: 2 hours

• Further info :www.act.gov.pt

18. Working Conditions Temporary Work

• Increasing in Portugal (around 250 TWAs)

• Only TWAs licensed by the Public Employment Service (IEFP, I.P.) are authorised to perform the activity (assigning workers to other companies)

• For information onlicensed TWAs , please visit:

• www.iefp.pt> Solues para Entidades > Empresas Trabalho Temporrio regulamentadas

19. The Social Security 20. Social Security Deductions

• Social Security contributions of11%deducted from gross monthly earnings

• Employers contribute a further23,75%

• Theemployeris responsible for making the contribution for each worker, corresponding to the overall rate of34,75%of his/her gross monthly earnings, at the District Social Security Centre (or online)

• For theself-employed , contribution rate is calculated on the basis of declared wage:

• • 25,4%(compulsory protection scheme)

• • 32%(wider protection scheme)

• Further info :www.seg-social.pt

21. Social Security Unemployment Benefits

• Unemployment benefit (UB)

• due to workers with minimum 450 days of paid work and a record of contributions in the 24 months preceding the date of unemployment

• duration depends on the benefit recipients age and on the number of years with registered earnings (after last record as unemployed benefit recipient): minimum 12 months and maximum 38 months

• 65% of the reference wage (max. limit 3 x IAS * per month)

• * IAS( Indexante dos Apoios Sociais ):Social Supports Index ;

• equal to 419,22 in 2010 (amount revised every year)

22. Social Security

• Social unemployment benefit (SUB)

• paid to workers with min. 180 days worked and a record of contributions in the 12 months preceding the date of unemployment, and whose familyper capitaincome is lower than 80% the IAS

• duration identical to UB, except when following the UB payment (in which case it is reduced to half)

• Equal to IAS for benefit recipients with a family; to 80% of the IAS for single benefit recipients

• Partial unemployment benefit (PUB)

• paid when workers receiving an unemployment benefit sign a part-time work contract, with a wage lower than the amount of the UB

• differential between the wage and the UB due to the worker

Unemployment Benefits 23.

• Rules for unemployment benefit export

• Ifreceiving an UB in country Xand wanting to look for a job in

• Portugal, you may request that it isexported to Portugalforup

• until 3 months , since you comply to the following rules:

• to remainavailable for workfor a minimum period of4 weeksin the Job Centre

• to inform theSocial Securityincountry Xof your intention to look for a job in Portugal

• to bring theU2 formobtained from theSocial SecurityinCountry X

• toregister as a jobseekerin the PES in Portugal ( IEFP Job Centres ) at max. 7 days after departure from Country X

• to comply toprocedures applicable in Portugalregarding active job search

Social Security Unemployment Benefits 24. The Tax System 25. Taxes Personal Income Tax (IRS) Rates(%) 42,0 More than 64.110 30,8701 40,0 59.450 to 64.110 30,1545 36,5 41.021 to 59.450 27,3037 34,0 17.836 to 41.021 18,5986 23,5 7.192 to 17.836 11,3471 13,0 4.755 to 7.192 10,5000 10,5 Up to 4.755 Avg. Rate (B) Normal Rate (A) Annual Income Amount (Eur) 26. Taxes Principles to avoid double taxation

• IRS is paid on the annual amount of income received by people living in Portugal

• In case of non-residents, it is paid exclusively on income received in Portugal

• Employers will retain25%of the income due to non-resident employees

• Toavoid double taxation , Portugal has tax agreements with the other EEA member states (and Switzerland)

• Further info :www.portaldasfinancas.gov.pt

27. The Recognition of Diplomas and Qualifications 28. Recognition ofDiplomas and Qualifications In Portugal,access to certain occupational activitiesis conditioned by the possession of diplomas, certificates or other degrees. The recognition schemes arenot , in most occupational activities,automatic . Requests for recognitionshould be addressed at the competent authority in Portugal.Further info : NARIC- NationalAcademicRecognition Information Centres www.naricportugal.pt PNRQ- National Reference Point forVocational Qualifications http:// portal.iefp.pt/pnrq/index.html 29. The Language 30. Language

• Although many Portuguese people speakEnglish , French or Spanish, most employers will require at least a basic knowledge ofPortuguese :

• Portuguese e-learning tools:

• Cames Virtual Centre:http://cvc.instituto-camoes.pt/

• Easy Portuguese:www.easyportuguese.com

• Portuguese language teacher (Cames Institute):

• in several Universities in Europe:

• http://www.instituto-camoes.pt/rdic-europa/index.html

• In Portugal:

• Portugal Acolhe (Portugal Welcomes) Programme

• Search by Portugus para Estrangeiros in Yellow Pages ( www.pai.pt )

31. The Accommodation 32. Accommodation Looking for a place to stay

• Housing in the largest cities (Lisboa, Porto) and in touristic areas (Algarve) may be difficult to find and very expensive

• The renting price for houses and flats does not includewater supply, electricity, telephone and gas expenses; usually it does not include furniture either

• Still not very common to find houses with central heating or air conditioning

• Leasing contracts normally last for a minimum 6 months

• It is common to be asked for a 1 to 2 months rent payment in advance

• In the University cities, there are also people who rent rooms to students (already furnished)

33. Accommodation

• Accommodation offered with a job is rare in Portugal

• Average rental of a 1 bedroom appt. Eur 500, 2 bedroom appt. Eur 700 (more expensive in Lisbon)

• Arrange for temporary accommodation before you leave:

• • Portugal Official Tourism website

• • www.visitportugal.com>Where to stay (EN)

• • Portuguese Youth Hostels network

• • www.pousadasjuventude.pt

• Most newspapers (Classificados sections) and real estate agencies are alreadyon the Internet

Looking for a place to stay 34. Accommodation Looking for a place to stay most useful websites

• Portal da Habitaowww.portaldahabitacao.pt

• ComprarCasa (APEMIP Associates Portal)www.comprarcasa.pt

• ERA Portugalwww.era.pt

• REMAX Portugalwww.remax.pt

• Lardocelar Imobilirios e Servioswww.lardocelar.com

• Imopropostawww.imoproposta.pt

• BPI Expresso Imobiliriohttp://clix.bpiexpressoimobiliario.pt

• Casa Sapo Portal Nacional de Imobiliriowww.casa.sapo.pt

• Further links:please check at the EURES Portal > L&W section

35. The Health Care System 36. Health Care

• National Emergency Services: 112

• Medical services from theNHS(National Health System) are free to EEA citizens working or looking for work in Portugal

• When travelling to Portugal, dont forget yourEuropean Health Insurance Card

• Once you start working, and after being registered in Portuguese Social Security,registerwith thenearest Health Centre

• Health Centres : general practice/family medicine, public health care, nursing, vaccination and some diagnostic exams

• Public Hospitals : external specialist consultations, hospitalization and emergency services

• Further info: www.portaldasaude.pt or www.dgs.pt

37. Education Educational System Pre-SchoolEducation Basic Education SecondaryEducation Higher Education Post- Secondary Education Ages Schooling Years 1 stcycle 2 ndcycle 3 rdcycle 3 4 5 kindergarten Courses : Scientific-Humanistic Technological Specialised Artistic Professional 6 9 10 11 12 14 15 Technological Specialisation Courses 1 st,2 nd 3 rd4 th5 th 6 th 7 th 8 th 9 th 10 th11 th12 th 17 18 19 1 st2 nd 18 1 st2 nd 3 rd Graduate 20 CompulsoryEducation Master Doctor 21 22 1 st2 nd University Education Polytechnics Education Graduate Master 38. Education

• No school may refuse to enrol a child , independently of his or her nationality, provided it is located in the area in which his or her parents reside and places are still available

• Pupilsfrom kindergarten to the 9th grade registered in the public education systemwhose mother tongue is not Portuguesemay benefit from support measures: they will attend Portuguese lessons along with others but may receive extra tuition in the language if necessary

• There are also someInternational Schoolsin Greater Lisbon as well as in the Algarve

• Further infoon the education and training systems:

• http:// portal.iefp.pt/pnrq/index.html

Educational System 39. The Cost of Living 40. Cost of Living Food and Beverages

• Milk (1 lt) 0,47 0,99

• Bread (1 kg) 1,65 4,10

• Pork Meat (1 kg) 2,984,50

• Beef (1 kg) 12,48 19,97

• Eggs (6 units) 0,59 1,09

• Codfish (1 kg) 7,29 19,98

• Oranges (1 kg) 0,79 1,29

• Apples (1 kg) 0,64 1,69

• Beer (1 lt) 1,39 3,54

• Bottle of Wine (0,75 lt) 1,59 8,69

• Coke (1 lt) 0,89 0,95

41. Cost of Living Accommodation (apt. Rents, ) 300 - 500 250 - 900 Studio (T0) 600 900 750 2000 T3 Apartment 450 700 350 - 1100 T2 Apartment Oporto Lisbon 42. Cost of Living Transports

• 1 single bus ticket (Lisbon) 1,40(bought on board)

• 1 single underground ticket (Lisbon) 0,80

• Monthly Travel Card(Lisbon Area) 28,10 59,80

• Gas 95 octanes (1 lt) 1,238 - 1,289

• Train 2nd class from Lisbon to Oporto

• (return ticket) 20,00 28,50

• Coach from Lisbon to Oporto

• (return ticket) 31,50

43. Cost of Living Leisure

• 1 cup of coffee (bica) 0,50 - 0,80

• 1 cinema ticket 5,50 6,00

• 1 theatre ticket 10,00 30,00

• 1 McMenu (McDonalds) 4,25

• 1 DVD 19,00 25,00

• 1 meal in a caf / snack bar 6,00 8,00

• 1 meal in a restaurant(2nd class) 10,00 25,00

• Packet of 20 cigarettes 3,10 3,95

• 1 daily newspaper 0,80 1,20

44. Looking for a Job 45. Looking for a Job Job Search Strategies

• Investin thePortuguese languagelearning

• Contact theEURES Advisers networkin your country

• Visitwww.eures.europa.eufor info on job vacancies and living and working conditions in Portugal

• Place yourCVon the EURES portal or, if you have enough knowledge of Portuguese, onwww.netemprego.pt

• Search for job opportunities in severalon-line job banks(seeUseful Contactsdocument)

46. Looking for a Job Applying for a Job

• Portuguese Resum(e.g. in Europass CV model include photo) andMotivation Letter

• OtherEuropass tools(Language, IT Skills, Diploma/Certificate Supplements) may be an added value

• Collect all documents in evidence ofyourrelevant professional experienceandeducation/training diplomasandcertificates take them with you for an Interview (in Portuguese, if required or, at least, in English)

• Take previousemployers referenceswith you

47. Looking for a Job Whenin Portugal...

• Register yourself :

• in aJob Centre(Centro de Emprego)

• onwww.netemprego.pt

• • (Contact Centre in Portugal:808 200 670 )

• You can also :

• check for ads in newspapers

• check online job banks

• apply for a job at TWAs, if youre willing to accept a temporary job (make sure it is authorised to operate)

48. 3 in the national Coordination 10 at the regional level ( 2in the Autonomous Regions - Azores and Madeira) 12 in Local Units (in Job Centres) 25 EURES Advisers Looking for a Job EURES Advisers in Portugal 49.

• I have a valid Identity Card or Passport

• I have a copy of the labour contract or written document confirming the provided work terms and conditions, and I completely understand them

• I have documents proving my professional experience, training/education degrees and professional certificates

• I know the wage payment method and frequency

• I can guarantee accommodation in the area where Im going to work

• I have the European Health Insurance Card

• I have enough money to remain in Portugal until I get my 1 stwage payment or to return to Poland in case of need

Looking for a Job Checklist (before leaving) 50.

• Previously checksituation in the labour marketinPortugal , through the Internet (e.g. EURES Portal or online newspapers) and/or getting in touch with Portuguese EURES Advisers

• Make sure that you have theadequate Portuguese language levelto the job and, in case of need,improve itin due time

• Take previousemployers referenceswith you

• Take outtravel insurance

• Contact Social Security in Country X formore informationon the Portuguese social protection system

• Contact NRP, NARIC or a EURES Adviser for further info on therecognitionof yourqualificationsandskillsin Portugal

Looking for a Job Other Advices 51. Starting upyour own Business 52.

• Investment opportunities

• IT & new technologies, tourism, trade, bioagriculture,

• Strategic access to markets

• Modern road & communication infrastructures

• Quality of lifeandnice working environment

Starting up a business Portuguese added value 53.

• What to think about?

• Juridical statute

• Simplified procedureortraditional method?

• Activities requiring previous licensing

• Further Info: please visit the

• EURES Portal > L&W section

Starting up a business Basic Procedures 54.

• Company Portal www.portaldaempresa.pt

• Firm On-Line www.portaldaempresa.pt /CVE/pt/EOL

• Firm on the Spot www.empresanahora.mj.pt

• Company Stores www.portaldaempresa.pt/CVE/pt/LojaEmpresa/

• Enterprise Europe Network in Portugal www.enterpriseeuropenetwork.pt

• AICEP(Portuguese Agency forInvestment and External Trade)www.investinportugal.pt

• IAPMEI(Institute of Support to SMEs)www.iapmei.pt

Starting up a business Useful Links 55. Further info Please contact a Portuguese EURES Adviser or visit: Website :www.iefp.pt / eures E-mail :[email_address] 56. Welcome to Portugal!