the government of portuguese has said it will amend its proposed labor reforms after a general strike, the first in more than a decade, as it seeks to reach a compromise with unions.
Portugal’s center-right minority administration is pushing for changes to more than 100 articles of the labor code, arguing that the reforms are necessary to increase productivity and support economic growth.
Unions said the proposals favor employers and weaken workers’ rights, prompting the national strike last week.
After a meeting with the leadership of the UGT union, the Minister of Labor, María do Rosario Ramalho, said that the government was open to adjustments.
“It was a very constructive meeting. It’s not about backing down, but about bringing positions closer together in a negotiation,” he told reporters Tuesday night.
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Ramalho added that the UGT will also present proposals aimed at finding points of agreement.
UGT secretary general Mario Mourao said the talks left him optimistic and described them as a positive step towards an agreement.
Proposed reforms include making it easier for small and medium-sized businesses to carry out just-cause layoffs, removing limits on subcontracting and putting a two-year limit on flexible work arrangements for breastfeeding mothers.
Eurostat data shows that Portugal’s productivity per hour worked stands at 80.5% of the EU average, the fifth lowest among the bloc’s 27 members.
The Organization for Economic Cooperation and Development has said Portugal’s labor rules offer strong protection for permanent jobs but limit flexibility, often pushing younger skilled workers into short-term or insecure contracts in an economy dominated by small businesses.
The bill is currently being discussed by unions and business confederations, a necessary step before it can be presented to parliament.
The far-right Chega party, the largest opposition group, has warned it could withdraw its support if Portugal’s government does not amend labor reforms, despite previously backing the legislation.
(Reuters)