One in Four Unemployed People in Portugal Found a Job in the Third Quarter, Down From Nearly 30 Percent in the Spring, INE Data Show
INE's labour market flows show 25.3 percent of the unemployed found work between the second and third quarters of 2026, down from 29.7 percent a quarter earlier and 30.6 percent a year earlier. Unemployment rose by a net 16,000.
About one in four people who were unemployed in Portugal in the second quarter of 2026 had found a job by the third quarter, a sharp drop from the spring. The labour market flows release published on Wednesday by the Instituto Nacional de EstatĂstica (INE, Statistics Portugal) shows that 25.3 percent of the unemployed (76.2 thousand people) moved into work, against 29.7 percent in the previous quarter and 30.6 percent a year earlier. For job seekers, the odds of landing work within three months worsened over the summer.
The figures come from INE's Labour Force Survey, which follows the same people from quarter to quarter as they move between work, unemployment and inactivity (neither working nor looking).
Fewer exits from unemployment, more people joining it
Of those unemployed in the second quarter, 54.1 percent (162.8 thousand) were still unemployed in the third and 20.5 percent (61.8 thousand) had left the labour force. Women did better than men: 27.4 percent of unemployed women (44.1 thousand) found work, against 23.0 percent of men (32.2 thousand).
On the other side, 1.3 percent of people in work (72.5 thousand) became unemployed, slightly more than the 1.2 percent of the previous quarter and of a year earlier. A further 2.2 percent (117.6 thousand) left work for inactivity. In all, 153.9 thousand people entered unemployment and 138.0 thousand left it, so unemployment rose by a net 16.0 thousand. INE says the rise came mainly from outside the workforce, not from job losses: more people who had been outside the labour market started looking for work (81.4 thousand) than unemployed people gave up looking (61.8 thousand). Employment fell by a net 8.8 thousand, matching the quarterly employment estimates released on 4 November, which put the third-quarter unemployment rate at 5.5 percent, 0.2 points higher than in the second quarter. The monthly series showed the same trend, as we reported in October.
The longer you wait, the harder it gets
Among people unemployed for less than a year, 30.6 percent found a job, down 6.6 points on the previous quarter and 6.5 points on a year earlier. Among the long-term unemployed (12 months or more), only 16.6 percent did, an estimate INE flags as resting on a small sample.
For those already in work, the picture is steadier. Of employees on fixed-term or other temporary contracts, 22.9 percent (152.1 thousand) moved to a permanent contract, down 1.6 points on the quarter and 0.5 points on the year. Of part-time workers, 22.7 percent (96.4 thousand) moved to full-time work. Among people who stayed employed, 3.2 percent (167.8 thousand) changed employer, close to previous quarters.
Young people also lost ground. Of 16 to 34 year olds who were neither in work nor in education or training, 16.6 percent found a job, against 26.2 percent in the previous quarter, and the share who stayed in that situation rose by 10.5 points to 70.9 percent.
What this means for you
- Job seekers: the chance of finding work within a quarter fell by 4.4 points between the second and third quarters, so on INE's figures a search is now taking longer to pay off than it did in the spring.
- Long spells are harder to end: under a year out of work, 30.6 percent found a job; after a year or more, 16.6 percent did. Registering with your local job centre early gives you access to its vacancies and training from the start.
- Temporary contracts: a little under a quarter of fixed-term employees move to a permanent contract in any given quarter.
- Context: Portugal still compares well with the EU. In the second quarter, Eurostat figures quoted by INE show 29.8 percent of Portugal's unemployed found work, against 24.8 percent across the EU.