After a decade of steady growth, the tourism sector in Portugal is facing its most acute challenge in modern times, in the wake of the COVID-19 pandemic. As inbound visitors return to Portugal, the tourism workforce will need digital skills to make effective use of new technologies, and exploit the opportunities digitalisation is opening up for marketing, as well as product and destination development. Successful digital uptake by businesses will be a driving force in building recovery and resilience in the longer term. While there has been progress in recent years, especially in response to the pandemic, there remains considerable scope to go further. To support this digital transformation, this report examines and assesses current policy approaches to support digital skills and workforce development in the sector, and presents a selection of policy considerations to: i) address digital transformation gaps, shortages and opportunities for workforce organisation and skills development, and ii) enhance governance mechanisms to support the digital skills transformation of the tourism workforce.