Termination of fixed term contract

Portugal - fixed-term contract termination

Fixed-term contract can be terminated on the termination of the contract between XML and the client.
Generally you need a valid cause to terminate the contract.
There is a limit to the number of terminations during a set time period before this becomes a "collective dismissal". Please note that a maximum of two dismissals are permitted during the previous 3 months. 


With a collective dismissal there is a due process to follow which includes notifying the employees once the decision has been taken and notifying the Ministry of Employment and ACT on the day the employee is advised. 
It then moves to a negotiation phase, and a representative of the Ministry of Employment will be present. 
A notice period and severance pay may be applicable (depends on the length of service).
​
15 days less than a year service; 30 days - between 1 an 5 years service; 60 days - between 5 and 10 years service; 75 days - more than 10 years service.
Please seek advice from Legal or HR before proceeding with this. 

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