Portugal’s sick leave law provides employees with a sickness subsidy (subsidio de doença) from Social Security (Segurança Social) after a 3-day waiting period. The employer pays no salary during ordinary illness unless the collective agreement or employment contract provides otherwise, making Portugal one of the few EU countries where the employer has minimal direct sick pay obligation.

Key Takeaways

  • Social Security pays sickness subsidy from day 4 at 55–75% of the reference salary
  • The first 3 days are unpaid from Social Security (no employer obligation for ordinary illness)
  • A baixa médica (medical certificate) is required from the first day of absence
  • For occupational illness or workplace accident, the rate is 100% from day 1
  • The maximum subsidy period is 1,095 days (3 years) within a 5-year window

Portugal’s Sick Leave Entitlement

Portugal’s sick leave system is governed by the Social Security Code (Código da Segurança Social) and the Labour Code (Código do Trabalho). When an employee falls ill (non-work-related), they are entitled to a sickness subsidy from Social Security — but only after a 3-day waiting period.

The employer is not required to pay salary during ordinary sick leave under the statutory rules. However, collective agreements and individual employment contracts frequently require the employer to pay the difference between the Social Security subsidy and the employee’s full salary, at least for a limited period.

For workplace accidents and occupational diseases, the rules are different — the employer must pay 100% of salary from day 1, and Social Security reimburses the employer.

Who Pays for Sick Leave?

Period Pay Rate Who Pays
Days 1–3 Unpaid (waiting period) Neither
Days 4–30 55% of reference salary Social Security
Days 31–90 60% of reference salary Social Security
Days 91–365 70% of reference salary Social Security
Days 366–1,095 75% of reference salary Social Security
Occupational illness (all days) 100% Employer (reimbursed by Social Security)

Sick Leave Pay Rates

Period Pay Rate Source
Days 1–3 Unpaid Social Security Code
Days 4–30 55% of reference salary Social Security Code
Days 31–90 60% of reference salary Social Security Code
Days 91–365 70% of reference salary Social Security Code
Days 366–1,095 75% of reference salary Social Security Code
Maximum daily subsidy €23.20/day (approx. 2025) Social Security Code

The reference salary is the employee’s average remuneration from the 6 months before the illness. The maximum daily subsidy is capped by Social Security.

Medical Certificate Requirements

Portugal requires a baixa médica (medical certificate of temporary incapacity) from the first day of illness. The doctor issues the certificate electronically through the Social Security system (Segurança Social Direta).

The certificate specifies:

  • The expected duration of the absence
  • Whether the employee can leave home (in case of hospitalization or home rest)
  • The date of the first consultation

The employer can access the certificate through the Social Security portal. The employee is not required to physically deliver the baixa to the employer.

How to Calculate Sick Pay in Portugal

Example: An employee earning €2,000/month is off sick for 60 calendar days.

  1. Days 1–3 (waiting period): €0
  2. Days 4–30 (27 days at 55%): (€2,000 × 0.55) ÷ 30 × 27 = €990
  3. Days 31–60 (30 days at 60%): (€2,000 × 0.60) ÷ 30 × 30 = €1,200

Total subsidy from Social Security: €990 + €1,200 = €2,190

The employee’s normal earnings for this period would have been €4,000 (2 months), so the subsidy covers approximately 55% of normal income over the full absence.

Employer Obligations

Portuguese employers must:

  • Verify the baixa médica through the Social Security portal
  • Report the absence to Social Security (Segurança Social Direta)
  • Pay 100% of salary for workplace accidents and occupational diseases
  • Maintain sick leave records for at least 10 years
  • Cooperate with rehabilitation and return-to-work plans

The employer is not required to pay salary during ordinary sick leave (statutory), but must honour any collective agreement or contractual obligations.

Comparison With Other Countries

Country Sick Days Pay Certificate Required
Portugal Up to 1,095 days Social Security 55–75% (increasing) Day 1 (baixa médica)
UK 28 weeks SSP £116.75/week Day 7
Australia 10 days personal/carer’s leave Full rate 2+ consecutive days
US Varies by state Varies Employer policy

FAQ

Does the Portuguese employer pay anything during sick leave?

Under the statutory rules, no — the employer has no obligation to pay salary during ordinary illness. However, many collective agreements (particularly in the private sector) require the employer to supplement the Social Security subsidy up to full salary for a limited period, typically 30–90 days. Always check the applicable collective agreement.

Can the sickness subsidy be extended beyond 1,095 days?

Yes, in exceptional circumstances. Social Security may extend the subsidy beyond the 3-year maximum if the employee has a condition with a reasonable prospect of recovery. The extension requires medical justification and is assessed case by case.

What is the baixa médica and how does it work?

The baixa médica is Portugal’s electronic medical certificate of temporary incapacity. The doctor issues it directly into the Social Security system, and the employer can access it through the Segurança Social Direta portal. The employee does not need to physically deliver the certificate to the employer.

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