Factsheet for case PT-2020-12/432 – Updated – measures in Portugal
|Country||Portugal , applies nationwide|
|Time period||Open ended, started on 15 March 2020|
|Type||Legislations or other statutory regulations|
Income protection beyond short-time work
– Extensions of income support to workers not covered by any kind of protection scheme
|Author||Heloisa Perista and Maria da Paz Campos Lima (CESIS) and Eurofound|
|Case created||09 April 2020 (updated 27 July 2021)|
The ‘Extraordinary support for the reduction of self-employed economic activity’ - as a result of the COVID -19 pandemic - was established by Decree-Law no. 10-A/2020 of 13 March (article 26). It established the right to financial assistance – up to a maximum of six months payment – for self-employed workers who perform exclusively activities under the self-employed regime (and that are not pensioners), under certain conditions, when they had to stop completely their activity on the grounds of the economic impact of COVID-19 pandemic.
The Decree Law no. 12-A/2020 of 6 April - that prorogue the ‘state of emergency’ – updated the provisions defining that financial supports applies also in case of partial reduction of activity and introduced two ceilings for the maximum amount of financial support depending of self-employed workers previous earnings. Moreover, this amendment extends also the extraordinary support to managing partners of companies, as well as other members of bodies, without employees, under certain conditions.
The amendments introduced in May 2020 extended to managing partners or similar entities with employees with a turnover of less than €80,000 (Decree Law 20-C / 2020 of 7 May) and created two additional measures: the ‘extraordinary measure to encourage professional activity” aimed at self-employed workers with records of contributions below those required to access the ‘extraordinary support' and the ‘support for social self-employed in unprotected situations’, aimed at informal workers.
Finally the amendments introduced in August 2020 extended the allowance to self-employed workers having also a labour contract under certain conditions (Law 31/2020 of 11 August).
Article 2 of Decree Law no. 12-A/2020 of 6 April establishes: Extraordinary support for the reduction of self-employed economic activity takes the form of support financial assistance to workers covered exclusively by the self-employed regime who are not pensioners, subject to compliance with contributory obligations in at least 3 consecutive months or six months interpolated for at least 12 months:
During the period of application of this measure, the self-employed person is entitled to financial support lasting one month, extendable monthly, up to a maximum of six months, corresponding to:
Financial support is paid from the month following the submission of the application. The support provided is granted, with the necessary adaptations, to partners - managers of companies, as well as members of statutory bodies of foundations, associations or cooperatives with functions equivalent to those, without employees that, in the previous year, had invoices with less than €60,000.
Information by the Ministry of Labour, Solidarity and Social Security (MTSS) - April 2010 'COVID-19 | Informação relativa a famílias e empresas no âmbito do MTSSS': Estimated that on 7 April 2020, around 117,000 independent workers were with reduced activity.
Information by the GEP / Ministry of Labour, Solidarity and Social Security (MTSSS) - 7 July 2020:
The information 'Indicadores COVID-19' published by the Strategy Planning Office of the Ministry of Labour, Solidarity and Social Security (GEP/MTSSS) provides to the number of independent workers that applied for this support. See
According to the information published on 12 February 2021 - accumulated data since the measure entered in March until the end of December 2020 the total number of self-employed applying was 214,618 of whom 20,091 with reduced activity.
Other groups of workers
||Does not apply to citizens|
Company / Companies
Public employment service
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
The social partners were informed at the tripartite Standing Committee for Social Concertation.
Employer and trade union confederations were informed at the tripartite Standing Committee for Social Concertation.
Eurofound (2020), Extraordinary support for the reduction of self-employed economic activity, case PT-2020-12/432 (measures in Portugal), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch
Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.