A law was enacted introducing measures to extend parental leave and some changes to allow for greater care and support of children during the first months of life. However, its approval brings several challenges
UnitLegal had the opportunity to collaborate with Nucase in writing on the topic ‘Parental Leave – Theory and Practice’.
In Portugal, following the birth or adoption of a child, working mothers and fathers are entitled to parental leave, which is a specific period dedicated to family care. During this time, they are legally permitted to be absent from work without losing their right to remuneration, as this is paid through a parental allowance.
In recent years, Portugal has adopted several reforms regarding parental leave, aiming to promote a better balance between workers’ professional and family lives.
One of the most recent proposals to extend parental leave aims to increase the leave period to six months and has sparked discussion and controversy among employers. This proposal was approved on September 27, 2024, by the Assembly of the Republic, through a legislative bill that seeks to make changes to the current parental leave regime.
This is pending approval and must still be subject to a general debate in the Parliamentary Committee on Labour, Social Security and Inclusion, as well as be discussed and voted on again in the plenary session.
Currently, parental leave in Portugal lasts between 120 and 150 days (about 4 to 5 months), and it is possible for parents to share this leave. The legislative initiative advocates extending the duration of the initial parental leave paid at 100% from 120 to 180 days, and the leave paid at 80% from 150 to 210 days. Sendo que, o custo esperado desta medida para 2025 encontra-se no intervalo entre os 228 milhões de euros e os 404 milhões de euros.
The main reason for this change is to allow for more extended care of the child during the first months of life, a crucial phase for their development. A new model is currently being discussed with the aim of supporting both parents in a balanced way, preventing overload on the mother and enabling the father to be more actively involved in childcare.
However, this extension of the initial parental leave is not included in the 2025 State Budget (OE2025), as the measure has not yet received final approval.
Main barriers
Although the proposal to extend parental leave to six months is seen as progress in family support policies, it also presents challenges. One of the biggest obstacles may be the adaptation of companies to this new model, especially small and medium-sized enterprises, which may face financial difficulties and challenges in hiring due to the need to replace employees during their leave.
The issue of financing the measure is also crucial, as the increased duration of leave will entail higher expenses for the State in terms of subsidies and social support. Therefore, it is important at this stage to define the most effective methods of implementing this measure, if approved, in order to achieve the expected results and have a lasting positive impact on families’ quality of life.
In conclusion, it can be said that the greatest challenges and obstacles will arise in the transition from the published legislation to its actual implementation. This will require balancing these difficulties with appropriate solutions and benefits, making the implementation phase the focal point of the debate. This debate is essential to raise and address all questions that precede the proper enforcement of the measure, should this be the will of the legislator.
