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Permanent Employment Contracts

Indefinite duration employment contracts.

2 templates Reviewed by lawyers .docx · Word

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The open-ended contract is the rule

An open-ended (permanent) employment contract is the normal way to hire in Portugal: it has no end date and only ends for the reasons set out in the Labour Code, such as resignation by the employee, dismissal for just cause or objective reasons, or mutual agreement.

Probation period

At the start of the contract there is a probation period during which either party can end the contract without cause. Its length depends on the role and the employee's situation (longer for technically complex, management or positions of trust) and should be stated in the contract.

What should be in writing

  • The parties, job title and duties.
  • Pay, allowances and how they are paid.
  • Place of work, working hours and any remote-work arrangement.
  • Start date, probation period and the applicable collective agreement.
  • Confidentiality or non-compete clauses, where relevant.

Even where the law does not require a written contract, the employer must inform the employee in writing of the essential terms — a written contract covers this and prevents disputes. The templates in this category are editable Word files in Portuguese, updated for 2026 and reviewed by lawyers.

Frequently Asked Questions

Does an open-ended contract have to be in writing?

The law does not require every open-ended contract to be in writing, but the employer must inform the employee in writing of the essential terms. In practice, a written contract is the simplest way to meet that duty.

How long is the probation period?

It depends on the role: there is a general period and longer periods for technically complex, management or trust positions. It can be shortened by agreement and should be stated in the contract.

Can I convert a fixed-term contract into an open-ended one?

Yes. The parties can sign an open-ended contract at any time, and the law automatically converts a fixed-term contract into an open-ended one when the duration or renewal limits are exceeded.

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