FX.co ★ Portugal’s Unemployment Rate at Over Two-Decade Low

In December 2025, Portugal's unemployment rate decreased to 5.6% from November's 5.7%, achieving its lowest point since February 2002. For adults, the unemployment rate dropped to 4.7%, the lowest since April 2002, while youth unemployment decreased by 0.5 percentage points to 18.4%. The number of unemployed individuals fell by 3,400 to a total of 314,800, as employment surged by 16,700, setting a new high at 5.317 million. The employment rate reached a record 65.9%, and the labor force participation rate climbed to 69.8%, nearing its historical peak. Simultaneously, the labor underutilization rate, encompassing the unemployed, marginally attached workers, and part-time workers seeking full-time roles, slightly declined to 9.7% from November's 9.8%.