European Urban Initiative
European Urban Initiative
130+ Practices
Identity
City

Fundao

Region

Centro (PT)

Country

Portugal

Urban practice summary

“Fundão Embraces” is a strategic initiative launched by the Municipality of Fundão to counter rural depopulation and economic decline through the integration and upskilling of third-country nationals (TCNs). The project combines targeted professional training with inclusion policies to meet local labour market demands. Certified modular training in key sectors such as agroforestry, ICT, and agroindustry enabled 216 certifications and resulted in the employment of 50 migrants. This initiative aligns integration policies with workforce needs, benefiting migrants, local employers, and regional sustainability. Start date:  2017-09-01 / End date: 2023-12-31 / Total project budget: €436,243.09 (for PT/2020/FAMI/684 – Fundão Embraces Training Centre) / ERDF contribution:  The initiative was not directly funded by ERDF, but co-financed through the Asylum, Migration and Integration Fund (AMIF). It aligns with the broader objectives of Cohesion Policy and Sustainable Urban Development frameworks. / Human Resources: 3 core staff for implementation Support from 4–8 additional professionals across related projects (MIXin, Casa F, MigrAID, etc.) Trainers and technical support from IEFP (National Employment Institute) / Key stakeholders: Municipality of Fundão / Centro de Migrações; IEFP – Instituto de Emprego e Formação Profissional; Regional employers in agroforestry, ICT, agroindustry; Third-country nationals (training beneficiaries); Local NGOs supporting migrant integration; National Immigration and Border Service (as policy enabler)

Challenges and Solutions

“Fundão Embraces – Capacity Building for Third-Country Nationals (TCNs)” is a strategic response by the Municipality of Fundão to address two converging challenges: demographic decline and labour shortages in key regional sectors. Located in Portugal’s interior, Fundão faces rural desertification and the outmigration of its younger population. Simultaneously, several economic sectors such as agroforestry, agroindustry, and ICT experience a lack of qualified workforce. Meanwhile, the municipality has become home to a growing number of migrants and beneficiaries of international protection.

Triggered by these dynamics, the strategy was developed as part of the 2nd edition of the Municipal Plan for the Integration of Migrants (MIXin). A territorial diagnosis, combined with participatory methods (surveys and focus groups with migrants and local stakeholders), identified a critical gap: migrants’ integration was hindered by insufficient access to professional training aligned with market needs.

The main objective of the strategy was to create a structured mechanism for upskilling TCNs, enabling their integration into the local economy and society. This was implemented through the establishment of a Training Centre for Migrants, offering certified modular courses co-designed with the Portuguese Institute for Employment and Vocational Training (IEFP) and regional employers.

Strong points of the strategy include the needs-based approach, linking migrant integration with labour market demand; the high adaptability through modular, short-term training; the tripartite benefit, as employers gain qualified workers, TCNs increase employability, and the municipality strengthens territorial cohesion; and the holistic integration model, combining housing, training, and employment services under one local strategy.

The project secured funding through AMIF and was coordinated by the Fundão Migration Centre. Regional employers identified skill needs (e.g., in olive farming, forestry machinery, cheese production), and IEFP ensured course certification. The Migration Centre coordinated logistics, outreach, registration, and post-training job matching.

Enabling conditions include a strong institutional framework (MIXin Plan and Migration Centre), prior experience in EU-funded integration projects; established partnerships with national agencies and employers, and political commitment to inclusive development.

Challenges faced include initial scepticism from employers about migrants' capacities, logistical constraints during the COVID-19 pandemic, limited scale of training actions versus overall demand, and the need for better follow-up mechanisms post-training.

Despite these obstacles, the strategy has proven effective in aligning inclusion with territorial development and has been highlighted nationally as a replicable model.

Results and impact

The strategy delivered 10 certified training actions, resulting in 216 skill certifications in sectors such as agroforestry and agroindustry. As of the end of 2023, approximately 50 TCNs secured employment directly linked to the skills acquired. The approach enhanced employers' confidence and contributed to reversing rural decline through migrant retention.

Recommendations for other cities

“Fundão Embraces” is highly transferable to other European cities facing similar challenges, particularly rural or shrinking areas struggling with demographic decline and labour shortages. The key to replication lies in adapting the three-step logic:
- Diagnose the local migration and employment context;
- Engage employers to identify real workforce needs;
- Co-design short, certified training tailored to those needs.

Recommendations for other cities include building cross-sectoral partnerships early (municipality, employment services, NGOs), leveraging existing EU funding (e.g., AMIF, ESF+, ERDF), integrating training into a wider local strategy for housing, community engagement, and job mediation, and ensuring strong monitoring to evaluate and communicate impact.

Image
fundao
Want to replicate this urban practice in your city?
Explore the possibilities for replication offered by EUI

About this resource

Author
Michaela Gil
Location
Fundao, Portugal
About EUI
European Urban Initiative
Programme/Initiative

The European Urban Initiative is an essential tool of the urban dimension of Cohesion Policy for the 2021-2027 programming period. The initiative established by the European Union supports cities of all sizes, to build their capacity and knowledge, to support innovation and develop transferable and scalable innovative solutions to urban challenges of EU relevance.

Go to profile
More content from EUI
232 resources
See all

Similar content