Informative Note

Coronavirus: Update on the simplified layoff


Decree-Law 10-G/2020 of 26 March was published in the official gazette Diário da República, 1st supplement, Series I of 26/03/2020. It repeals Ministerial Order 71-A/2020 of 15 March and makes substantial changes to the simplified lay-off rules.

The four exceptional support measures for employers affected by the COVID-19 outbreak are maintained with minor changes. They are:
1. Extraordinary support to maintain employment contracts;
2. Creation of an extraordinary training plan;
3. A temporary exemption from payment of the social security contributions payable by the employer; 
4. An extraordinary financial incentive to support the normalisation of the company’s activity; and
5. A ban on dismissals.


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Impacts and challenges for businesses in Portugal

PLMJ has created a multidisciplinary team dedicated to analysing the legal and operational challenges that businesses are facing. Our team’s mission is work hand-in-hand with our clients to find the best solutions to mitigate the risks and to relieve some of the pressure they are under.

We have created a Coronavirus Hub to share practical information to help mitigate the risks for companies in Portugal.

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