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Portugal's labour law reforms face collapse as PM signals retreat

A high-stakes union meeting on May 7 could decide the fate of Portugal's divisive labour laws. Will the government back down or push forward?

The image shows a poster with two people standing in front of a backdrop of mountains and trees....
The image shows a poster with two people standing in front of a backdrop of mountains and trees. The text on the poster reads "What our free trade means - British Granite Worker - The Fair Wages Clause is all right, but I want work".

Portugal's labour law reforms face collapse as PM signals retreat

Prime Minister Luís Montenegro has signalled that proposed changes to Portugal’s labour laws may not go ahead. While insisting the reforms would be debated in Parliament, he admitted they could be shelved if no agreement is reached. The comments come as talks with unions and political opposition continue over the controversial plans. Montenegro stressed that the country would not face collapse if the labour legislation remained unchanged. His remarks followed pressure from both unions and opposition parties, who have raised concerns about the proposed reforms.

A key meeting between the labour minister and the UGT union is set for May 7. This discussion will likely shape the next steps for the government’s plans. Meanwhile, André Ventura, leader of the far-right Chega party, has tied his support for the reforms to a demand for lowering the retirement age. His party’s backing could prove crucial if the government seeks to push the changes through Parliament.

The future of the labour law amendments now rests on upcoming negotiations. If no consensus is found, the proposals may be dropped entirely. The government has committed to a full parliamentary debate before any decision is made.

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