Meet the Law - Employment & Pensions Law

Ministerial Order no. 187/2023, of July 3^rd, establishes and regulates the AVANÇAR programme, which consists of an incentive to recruit young and qualified unemployed individuals with permanent and full-time employment contracts, in order to guarantee more stability on employment relationships and to reduce unemployment.

Briefly, the incentives consider the attribution of the following financial support:

a) To the Employer:

     a. Recruitment:

1. 2023 and 2024 = 18 x the Social Support Index (IAS) = 8,647.74 Euros
2. 2025 = 12 x IAS = 5,765.16 Euros
3. 2026 = 10 x IAS = 4,804.30 Euros

     b. Payment of social security contributions:

1. Equivalent to ½ of the contribution of the employer, for contracts guaranteed during the first year of implementation.

b) To employees:

     a. Autonomy of young people

1. Support of 150.00 Euros during the first year of the duration of the supported contract, when the basic remuneration established in the contract does not exceed 4 times the minimum monthly guaranteed remuneration (3,040.00 Euros).

The programme also provides a set of financial support complements for hiring young people with disabilities, jobs located in rural areas, if the employer is a member of a collective labour agreement, if qualified young people who are long-term unemployed are being hired, and also if qualified young people of the gender under-represented in the occupation are being hired.

Some of the main requirements to benefit from the AVANÇAR Programme are:

a) Employer-related:

1. Publication and registration of the job offer in the portal https://iefponline.iefp.pt/, flagged with the intention to apply for the programme;
2. Net employment creation and maintenance of the employment level reached with the support;
3. The provision of professional training during the support period;

b) Contract-related:

1. Conclusion of an indefinite and full-time employment contract;
2. Remuneration in compliance with the provisions of the collective labour agreement, if applicable, always with a minimum base remuneration of € 1,330.00.

c) Employee-related:

1. Young people aged 35 or under;
2. Qualification level 5, 6, 7 or 8 of the National Qualifications Framework;
3. Registered as unemployed at IEFP, I.P..

The present Ministerial Order enters into force on July 4^th, 2023.