New Legal Measures Promote Equal Pay for Men and Women

New Legislation Enacted

Law no. 60/2018 of August 21 creates new measures to promote equal pay for women and men for equal work or work of equal value. Under this Law, companies must ensure the existence of a transparent Remuneration Policy applicable to their employees to prevent the occurrence or perpetuation of cases of discrimination between men and women. Said Remuneration Policy should be based on the evaluation of the components of the functions performed by the employees and solely based on objective criteria (such as merit, productivity, assiduity or seniority) common to men and women. The Law has an implementation deadline of August 21, 2019.

Extension of Scope of Special Regime for Early Access to Retirement Pension

New Legislation Enacted

Under Law no. 73/2018, effective as of October 1, 2018, the sustainability and the pension reduction factors are no longer applicable to retirement pensions granted to beneficiaries of the general social security regime with the age of 60 years old or more and with at least 46 calendar years of remuneration records. Beneficiaries of the convergent social protection regime that have been enrolled in the Caixa Geral de Aposentações or in the general Social Security regime at the age of 16 or less may request the retirement pension, without applying the sustainability factor or any reduction in its amount, provided that they have at least 46 years of service.

New European Rules on Posting of Employees in the EU

New Regulation or Official Guidance

Directive (EU) 2018/957 of the European Parliament and of the Council, of June 28, 2018, entered into force on June 29, 2018 and amends the scheme on the posting of employees within the EU to enhance the legal protection of posted employees, including employees posted under a temporary employment contract. The Directive covers inter alia the posting of employees by temporary employment agencies or placement agencies; an increased protection of posted workers; the development of the concept of remuneration; and the strengthening of the monitoring and control of postings. Member States must transpose the directive into national legislation by July 30, 2020.