For two decades the social economy is the subject of analysis and debate among academics and politicians. However, there is no consensus on its definition and functions. The article begins with the debate on the social economy and its role in solving the employment crisis. The second part focuses on the characterization of the social economy as an employer, or as a space for insertion and integration into the labor market. This characterization is based on some results of a research project on labor and employment in the social economy, although geographically delimited (the study includes municipalities in two districts: Viseu and Guarda). It concludes with a reflection on the potentialities and limits of the social economy as an employer