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No agreement reached after 52nd meeting on labour reforms

Tuesday, 24 March 2026AI summary
💼 Work🏛️ Government#labour-law#economic-activity#regulation#employment
No agreement reached after 52nd meeting on labour reforms
Photo: ESTELA SILVA/LUSA

Negotiations between the government, the General Workers' Union (União Geral de Trabalhadores or UGT), and employers' associations have ended without an agreement on a new labour package. Despite 52 meetings, parties remain divided on key issues, though some participants suggest there is still room for a deal. The reforms are intended to update employment laws and working conditions across the country. Workers should note that current labour regulations remain in place while discussions continue.

Update: UGT awaits final government proposal before April decision

The UGT is waiting for a final written proposal from the government before its leadership meets on April 9 to decide on the labour package. While the General Confederation of Portuguese Workers (Confederação Geral dos Trabalhadores Portugueses or CGTP) was excluded from the latest meeting, employers' associations have signaled support for long-term salary increases. Negotiators are aiming for a consensus on the Labour Code (Código do Trabalho) shortly after Easter.

Context & Explainers

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.

CGTP (Confederação Geral dos Trabalhadores Portugueses – Intersindical Nacional) regularly publishes studies and proposals on labor market conditions, wages, working time, and employment rights. These reports are used to support the union confederation's negotiating positions with the government and employers.

CGTP studies typically cover topics such as minimum wage adequacy, working hours reform, collective bargaining trends, social security sustainability, and the impact of proposed labor law changes on workers. The confederation uses this research to advocate for positions in tripartite social dialogue (Concertação Social) alongside the UGT union confederation and employer groups.

These publications are significant because they often shape public debate ahead of labor reforms and can influence the pace and direction of legislative changes.

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