Phase
Labour Code (Law 7/2009 of 12 February)
Native name
Código do Trabalho (Lei 7/2009 de 12 de fevereiro)
Type
Definition of collective dismissal
Added to database
08 May 2015

Article

359


Description

Collective dismissal occurs as a result of termination of the employment contract by the employer operated simultaneously or successively within a three-month period of either:

  • At least two employees, if the company has fewer than 50 employees;
  • At least five employees, it the company has 50 or more employees.

The grounds for collective dismissal which must be demonstrated by the employer are the following:

  • market reasons - the reduction of business activity
  • structural reasons - economic or  financial unbalance, activity change, restructuring of productive organisation or replacement of dominant products
  • technological reasons

Commentary

The national law does not specify whether the worker's refusal to the terms of a collective agreement which includes internal mobility falls under the scope of a collective redundancy. The CJEU (Case C-249/24, Ineo Infracom, 11 July 2024), provides guidance on this issue. Any termination of the employment relationship that is not initiated by the worker, including cases where the worker refuses a unilateral and substantial modification of an essential element of the employment contract (such as a change of workplace), must be treated as a “redundancy” or as a termination to be included in the calculation of collective redundancies.


Additional metadata

Cost covered by
None
Involved actors other than national government
National government
Involvement (others)
None
Thresholds
Affected employees: 2
Company size: 2
Additional information: No, applicable in all circumstances

Sources

  • Labour Code (Law 7/2009, of 12 February) - updated version
  • Sargant, M., 2007, Implementation Report Directive 80/987 EEC amended by Directive 2002/74/EC [protection of employees in the event of the insolvency of their employer], Human European Consultancy/Middlesex University Business School

Citation

Eurofound (2015), Portugal: Definition of collective dismissal, Restructuring legislation database, Dublin, https://apps.eurofound.europa.eu/legislationdb/definition-of-collective-dismissal/portugal