AVANÇAR programme: Portuguese firms get up to 12,400 euros to hire young workers
IEFP's AVANÇAR programme backs permanent hires of qualified young workers on 1,330+ euro salaries: up to 12,400 euros per contract plus social security cuts.
Apply / Learn moreHiring a qualified young worker on a permanent contract can be worth between 8,600 and 12,400 euros in direct support to a Portuguese company — plus half off its social security contributions. That is the offer behind AVANÇAR, the IEFP programme designed to pull young people off the carousel of precarious contracts and low starting salaries.
How does the AVANÇAR programme work?
The logic stands on three legs. The company receives between 8,600 and 12,400 euros for each permanent hire of a qualified young worker, provided the base salary is at least 1,330 euros. On top comes a 50% cut in employer social security contributions. And the young hire personally receives a 150-euro monthly grant paid by IEFP through the first year — a direct boost to a starting income.
Who can apply and where?
Companies apply through the iefponline platform, where the measure and its requirements are detailed; the official presentation is on the IEFP site. The public target is ambitious: reaching 25,000 young people on permanent contracts paying at least 1,330 euros. For the young hire, the package gets even sweeter stacked with IRS Jovem, which wipes out income tax entirely in year one — and those who would rather create their own job have the INICIAR youth entrepreneurship supports.
Why does the measure exist?
Because Portugal trains well and pays late: the graduate exodus owes less to a lack of jobs than to the quality of the first contract. Attacking entry-level precarity — permanent contract, above-average starting salary, lighter employer costs — is the bet that the first serious opportunity shows up here, not in Amsterdam.
For companies that complain they cannot hold on to talent, the message is simple: the State is picking up part of the bill. The rest — the project, the team, the reason to stay — is still on the house.
Illustrative · Photo: Mikhail Nilov / Pexels