Government and unions open to resuming stalled labour negotiations

Tuesday, 10 March 2026AI summary
Government and unions open to resuming stalled labour negotiations
Photo: RTP Notícias

President António José Seguro and Parliament President José Pedro Aguiar-Branco have urged the government and social partners to resume negotiations on the new labour law (legislação laboral). While employer confederations recently stated conditions for an agreement were lacking, the government and some unions have expressed openness to further talks. The proposed reforms, known as the Trabalho XXI draft bill, have faced significant hurdles over issues like outsourcing and the right to disconnect. Workers should note that Socialist Party (Partido Socialista) leader José Luís Carneiro has criticized the current proposals as a “choice for inhumanity.”

Update: Business groups and UGT agree to resume labour talks

President Seguro has successfully revived negotiations after business confederations previously declared them over. The Confederation of Tourism (Confederação do Turismo de Portugal or CTP) and the Confederation of Commerce and Services (Confederação do Comércio e Serviços de Portugal or CCP) confirmed their availability to return to the table. The General Union of Workers (União Geral de Trabalhadores or UGT) also clarified it never intended to leave the discussions.

Context & Explainers

What is the PS political party?

Socialist Party (PS)

  • Leader: José Luís Carneiro (since June 2025)
  • Ideology: Center-left, Social democracy, pro-Europeanism

Portugal's other traditional major party suffered a historic collapse in the 2025 election, dropping from 78 to 58 seats and falling to third place for the first time in democratic history. The party was led by Pedro Nuno Santos from January 2024 until his resignation following the May 2025 defeat. José Luís Carneiro, a 53-year-old former Minister of Internal Administration known for his moderate positioning within the party, was elected unopposed as the new Secretary-General with 95% of votes in June 2025. ​ The Socialist Party governed Portugal from 2015 to 2024, including an absolute majority from 2022 to 2024 under António Costa, who resigned in November 2023 amid a corruption investigation. The PS previously led the innovative "Geringonça" (contraption) coalition government from 2015-2019, a minority government supported by the Left Bloc and Portuguese Communist Party that reversed austerity measures and presided over economic recovery.

Who is José Pedro Aguiar‑Branco?

José Pedro Aguiar‑Branco is the President of the Assembly of the Republic, who in this story requested that the Committee on Constitutional Affairs examine the constitutional conformity of government measures in a proposed bill. He is using his parliamentary role to trigger a formal review of changes affecting confession rules and the rights of the defence.

What is UGT?

The General Union of Workers (UGT – União Geral de Trabalhadores) is one of Portugal’s two main national trade union confederations. Founded in Lisbon on 28 October 1978, it was created as a social‑democratic alternative to the more communist‑aligned CGTP after the 1974 Revolution, grouping unions close to the Socialist Party and moderate centre‑right currents.

UGT represents around 400,000 workers and is affiliated to the European Trade Union Confederation and International Trade Union Confederation, giving Portuguese labour a voice at EU and global level. Its principles stress union independence from the state, employers, churches and parties, internal democracy and active worker participation.

Historically, UGT’s hallmark has been “propositive” social dialogue: it is usually more willing than CGTP to sign tripartite agreements on wages, labour law and social policy with governments and employers, shaping minimum wage increases, working‑time rules and social protection reforms. This makes UGT a key centrist actor in Portugal’s industrial relations, often mediating between left and right while defending collective bargaining and incremental improvements to labour rights.

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