Government drops plan for 25 days of annual leave
The government has withdrawn a proposal to increase mandatory annual leave (férias) from 22 to 25 days following negotiations with social partners. The revised labor law reform also maintains current rules that exclude automatic reinstatement for workers after unfair dismissals, a decision criticized by the General Confederation of Portuguese Workers (União Geral de Trabalhadores or UGT). Employees should note that the standard holiday entitlement will remain at the current legal minimum for the foreseeable future.

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.
