How Portugal became one of the first nations to run a government-backed four-day work week pilot — and what happened next.
The legal maximum is 8 hours daily and 40 hours per week, Monday to Friday. Most workdays run 9 am–6 pm with a one-hour lunch break. Average actual hours sit at approximately 39 per week.
~39 hrs/week averageOvertime is only permitted when extra workload doesn't justify new hiring. It is capped at 2 hours per day and 150–175 hours annually. Pay starts at 125% for the first extra hour, rising to 137.5% thereafter.
125%+ overtime payFull-time employees receive a minimum of 22 paid annual leave days, plus 13 national public holidays and additional local holidays specific to their region.
22 days + 13 public holidaysApproximately 19% of Portugal's workforce operates remotely, concentrated in IT, insurance, and specialist roles. Lisbon leads in remote worker density. Employers cannot force remote work on unwilling employees.
~19% remote workforceAccording to the ILO, 32% of Portugal's employed population works part-time — though this share has declined over the past decade as full-time employment opportunities have expanded.
32% part-time ratePortugal's government has been among Europe's strongest advocates for flexible working. Strong legislative frameworks protect worker rights to disconnect and to remote work under specific family circumstances.
Strong government backingThe Portuguese government, in collaboration with Birkbeck University and Henley Business School, announced the launch of a six-month pilot across 41 private-sector companies.
41 companies and over 1,000 employees began operating on a four-day schedule with full pay maintained. Baseline measurements of health, productivity, and revenue were recorded.
Researchers conducted mid-point surveys and interviews. Early signals showed improvements in mental health and work-life balance scores among employees.
The formal six-month programme ended. 37 of the 41 companies chose to continue with the reduced schedule — only 4 reverted to five days.
Full results confirmed that 95% of companies rated the trial positively, mental health symptoms fell across the board, and revenue remained stable or grew.