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Exceptional and temporary measures, related to the epidemiological situation of the new Coronavirus - COVID 19

Legal Alert no. 116 - Decree-Law no 10-A/2020, of 13th March, laying down exceptional and temporary measures, related to the epidemiological situation of the new Coronavirus - COVID 19
 

LABOUR MEASURES

«The current exceptional situation and the proliferation of registered cases of contagion of COVID-19 requires the application of extraordinary and urgent measures».
On this basis, Decree-Law no. 10-A/2020 was approved by the Portuguese Presidency of the Council of Ministers on March 13th, 2020 and published in the Portuguese Official Gazette on March 14th, laying down exceptional and temporary measures related to the epidemiological situation of the new Coronavirus - COVID 19 (“DL 10-A/2020”).
In terms of human resources management, the measures adopted by DL 10-A/2020 are as follows:


1. Social protection measures for illness and parenthood

1.1 Prophylactic isolation
- The situation of prophylactic isolation for 14 days of employees and other independent workers subject to the general social security regime shall be equated with illness, caused by situations of serious risk to public health decreed by the performing the role of health authority.
- The recognition of the right to sickness benefit does not depend on meeting the guarantee period, the professionalism index and the certification of temporary incapacity for work.
- The award of the benefit is not subject to a waiting period.
- The benefit value corresponds to 100% of the reference pay.
- In the event of the beneficiaries not fulfilling six months with a record of remuneration, the reference remuneration is defined by R/(30 xn), where R represents the total remuneration recorded from the beginning of the reference period until the day before the prophylactic isolation and the number of months to which they refer.

1.2 Sickness Benefit
- In the event of illness of employees and independent workers subject to the general social security system caused by the aforementioned COVID-19, the award of the sickness benefit is not subject to a waiting period.

1.3 Child and grandchild care allowances
- The situation arising from the follow-up of prophylactic isolation for 14 days of a child or other dependent by employees subject to the general social security regime is considered a justified absence, caused by situations of serious risk to public health decreed by the entities performing the power of health authority.
- In case of prophylactic isolation, determined under the terms of the previous subparagraph, of a child under 12 years of age or, regardless of age, with a disability or chronic illness, the award of the childcare and the grandchild care allowances do not depend on a warranty period.
- In the event of the beneficiaries not fulfilling six months with a record of remuneration, the reference remuneration is defined by R/(30 xn), where R represents the total remuneration recorded from the beginning of the reference period until the day before the prophylactic isolation and the number of months to which they refer.
- The number of days of assignment of one of the allowances referred to in the fits paragraph above does not count for the calculation of the maximum assignment period in each calendar year.

1.4 Employee’s absences
- Outside the periods of school breaks fixed at the beginning of the academic year 2019/2020, absences from work due to unavoidable assistance to a child or other dependent under 12 years of age are considered justified, without loss of rights except for remuneration, or, regardless of age, with a disability or chronic illness, resulting from the suspension of classroom and non-classroom activities in school or social support equipment for early childhood or disability, when determined:
- By health authority, within the scope of its powers;
- By the Government.
- The employee must report the absence to the employer, accompanied by an indication of the justification reason, within, at least, five days in advance.
- If the advance provided for in the previous subparagraph cannot be met, namely because the absence is unpredictable within five days in advance, the communication to the employer shall be made as soon as possible.
- The communication shall be repeated in case of successive absence, even when the absence determines the suspension of the employment contract due to prolonged impediment.

1.5 Exceptional family aid for employees
- In situations of absence from work motivated by urgent assistance to a child or other dependent under 12 years of age, or, regardless of age, with a disability or chronic illness, resulting from the suspension of classroom and non-teaching activities in school or equipment social support for early childhood or disability, the employee is entitled to receive an exceptional monthly or proportional aid, corresponding to two thirds of their basic remuneration, paid in equal parts by the employer and social security.
- The aid referred to in the previous subparagraph is subject to minimum and maximum limits, corresponding to (i) the minimum monthly remuneration (RMMG) and (ii) three RMMG, respectively.
- The aid referred to above is granted automatically after the employer's request, provided that there are no other ways of providing the activity, namely by teleworking.
- The social security portion is paid to the employer who pays the full amount of the aid to the worker.
- In relation to private entities, the aid considers the employee's contribution and 50% of the employer's social contribution, which must be the subject to an autonomous statement of remuneration.
- The aid provided for in this section and in the following section cannot be received simultaneously by both parents and is only received once, regardless of the number of children or dependents.

1.6 Exceptional family aid for self-employed workers
- Outside the periods of school breaks fixed at the beginning of the academic year 2019/2020 and when there is suspension of classroom and non-teaching activities in person at a school or social support equipment for early childhood or disability, determined by a health authority, within the scope of their powers, or by the Government, the self-employed person, subject to the fulfillment of the contributory obligation for at least 3 consecutive months for at least 12 months, who cannot continue their activity, is entitled to an exceptional monthly or proportional aid.
- The aid value corresponds to one third of the monthly contribution base for the first quarter of 2020.
- The aid referred to in the previous subparagraphs is subject to minimum and maximum limits, corresponding to (i) 1 Social Aid Index (IAS) and (i) 2 1/2 IAS, respectively.
- The aid is subject to a quarterly income statement, subject to the corresponding social contribution.
- The aid is granted automatically after the self-employed person's request, provided that there are no other ways of providing the activity, namely by teleworking.
- The aid provided for in this section and in the previous section cannot be received simultaneously by both parents and are only received once, regardless of the number of children or dependents.
 

2. Support measures for self-employed workers

2.1 Exceptional support to the reduction of self-employed worker’s economic
- The extraordinary support for the reduction of economic activity takes the form of financial aid for workers covered exclusively by the self-employed regime and who are not pensioners, subject to the fulfillment of the contributory obligation for at least 3 consecutive months for at least 12 months, in proven situation of total stoppage of its activity or the activity of the respective sector, as a result of the outbreak of COVID-19, in a proven situation, by any means permissible in law, of total stoppage of its activity or the activity of the respective sector.
- The circumstances referred to in the previous subparagraph are attested by means of a sworn statement of the employee himself or of the certified accountant in the case of self-employed workers in the organized accounting regime.
- During the period of application of this measure, the self-employed person is entitled to financial aid with a duration of one month, extendable monthly, up to a maximum of six months, corresponding to the amount of remuneration recorded as a contributory base, with the limit of IAS value.
- The financial aid is paid from the month following the submission of the application.
- As long as the payment of extraordinary aid is maintained, the self-employed person remains subject to the quarterly statement obligation when applicable.
- The aid provided for in this section cannot be combined with the aid provided for in the previous chapter.

2.2 Deferral of payment of contributions
- Self-employed workers covered by the financial aid referred to in the previous section are entitled to defer payment of contributions due in the months in which extraordinary financial aid is being paid.
- The payment of contributions due for the deferral period must be made from the second month after the end of the aid and can be made within a maximum period of 12 months, in equal monthly installments.


3. Alternative ways of work

3.1 Telework
- During the term of this decree-law, the system of subordinate teleworking may be determined unilaterally by the employer or required by the employee, without the need for agreement by the parties, as long as it is compatible with the functions performed.
- The provisions of the previous point are not applicable to employees of essential services.

DL 10-A/2020 entered into force on March 14th, 2020.

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