So, can workers once again waive their labour entitlements? What is the Government proposing?

What is "remissão abdicativa" in labour law?

Through remissão abdicativa (waiver remission), the employee may declare that they waive any rights they may hold and could otherwise claim from the employer. This includes, in principle, any labour-related entitlements accrued during the employment contract or at the time of its termination (such as wages, compensation, bonuses, or allowances).

Before the changes introduced by the “Decent Work Agenda”, it was common practice for the employee to be required to sign a remissão abdicativa at the termination of the employment contract.

This allowed the employer to protect themselves in case the employee, after the contract ended, attempted to claim further amounts beyond those paid at the time of termination.

What are the criticisms regarding the use of waiver remission agreements?

One of the main criticisms was related to the employee’s lack of information. That is, in some cases, the employee signed the remissão abdicativa without full awareness of the rights they were waiving. On the other hand, it could happen that the employee signed such a document merely under pressure to receive the amounts the employer was willing to pay immediately.

Despite these criticisms, and until the legislative changes introduced by the “Decent Work Agenda”, Portuguese courts generally accepted remissão abdicativa, provided it was signed after the termination of the employment contract.

What changed with the Decent Work Agenda (Law no. 13/2023)?

Since May 1st, 2023, the waiver of labour entitlements by the employee is only valid if it results from a judicial settlement — that is, an agreement between the employee and the employer reached within the scope of legal proceedings and approved by the court.

Thus, the possibility of an out-of-court waiver of labour entitlements by the employee has been excluded.

What does the new draft labour law reform propose?

In the draft labour reform presented by the Government on July 24th, 2025, currently under discussion, the waiver of labour entitlements through remissão abdicativa outside of court is once again permitted, provided it is acknowledged before a notary.

In other words, it foresees the possibility of an extrajudicial waiver of labour entitlements by the employee, but requires additional formalities to ensure that the employee waives their rights freely and in an informed manner.

Although the draft under discussion no longer explicitly refers to the possibility of waiving labour entitlements through judicial settlement, this possibility is not, of course, excluded.