Government: Legal reforms news in Portugal

The president of the Confederation of Farmers of Portugal (CAP) expressed “his deep disappointment” today regarding the rejection of the Government's proposal to revise labour legislation and believes that the problems the reform aimed to solve will persist.

Companies listed on the stock exchange face fines of up to 2.5 million euros from the Portuguese Securities Market Commission (Comissão do Mercado de Valores Mobiliários or CMVM) for failing to meet gender equality requirements. Since 2020, boards have been mandated to ensure that at least 33.3% of their members represent the underrepresented gender.

Prime Minister Luís Montenegro has reaffirmed his commitment to passing the government's proposed labour reform package, despite ongoing disagreements with the Chega party. Parliament is scheduled to discuss the legislation this Thursday as part of a broader political agenda.

The Social Democratic Party (Partido Social Democrata or PSD) announced it will modify its bill regarding the hoisting of ideological or partisan flags on public buildings. The decision follows a political veto by President of the Republic António José Seguro, with the party aiming to incorporate his recommendations into the new version of the decree-law.

President of the Republic António José Seguro is set to swear in four new Constitutional Court judges this Monday. The judges were elected by Parliament following a joint list agreement between the Social Democratic Party (PSD), Chega, and the Socialist Party (PS).

The Assembly of the Republic has passed the 2026-2028 Criminal Policy Law, which allows inmates to participate in forest clearing to prevent wildfires and grants police new stop-and-search powers in high-impact crime areas. Additionally, lawmakers approved a measure enabling the state to confiscate criminal assets even in cases where the defendant is not convicted, aligning with European Union directives.

The Council of Europe has threatened further action against Portugal unless the government presents a concrete plan to address prison overcrowding. Minister of Justice Rita Alarcão Júdice faced pressure during a recent committee meeting regarding the delayed closure of the Lisbon Penitentiary and ongoing human rights concerns within the prison system.

The Santa Maria da Feira Court has convicted former Oliveira de Azeméis mayors Hermínio Loureiro and Isidro Figueiredo for malfeasance related to the illegal awarding of public contracts. Both men received suspended prison sentences for their roles in the corruption case.

The Order of Notaries (Ordem dos Notários) warns that the government's proposal to unlock the sale of properties from undivided inheritances will not provide an immediate solution to the housing crisis. Head of the order, Jorge Batista da Silva, argues the measure may take up to 20 years to show significant impact and could increase legal disputes. Meanwhile, notaries have also called for the Tax and Customs Authority (Autoridade Tributária e Aduaneira or AT) to refund the property transfer tax (Imposto Municipal sobre as Transmissões Onerosas de Imóveis or IMT) to young people previously excluded from exemptions due to inheritance shares.

Prime Minister Luís Montenegro has filed appeals with the Constitutional Court regarding decisions by the Transparency Entity (Entidade para a Transparência or EpT) concerning his former family company, Spinumviva. The Prime Minister maintains that he has fulfilled all declaration obligations and denies any wrongdoing, while the court reviews the transparency requirements for political office holders.

The Assembly of the Republic is set to vote on the Single Social Benefit (PSU) before the summer break to secure funding from the Recovery and Resilience Plan. The proposed legislation introduces stricter eligibility criteria, including exclusions for individuals holding certain assets like cars or bank accounts exceeding 16,000 euros. While the Socialist Party (PS) is analyzing the proposal, the Chega party has already announced it will vote against the measure.

The President of the Assembly of the Republic, José Pedro Aguiar-Branco, has approved a request from the Chega party to review the accessory penalty of loss of nationality. This follows a presidential veto and a previous rejection by the Constitutional Court. The Assembly will now re-evaluate the measure, which could potentially override the court's ruling if it secures a two-thirds majority.

Update: Parliament to review loss of nationality penalty

Chega has received formal confirmation that its request to re-examine the decree will proceed to a plenary session. The specific date for this parliamentary debate will be determined during the next meeting of party leaders.

The PSD has agreed to support the PS nomination of Luísa Neto for the position of Ombudsman (Provedor de Justiça). The parliamentary vote is set for June 12, aiming to fill a vacancy that has persisted since the start of the current legislative term.

Four individuals detained in Operation Imergente have been released under identity and residence requirements. Meanwhile, the Public Prosecutor's Office (Ministério Público or MP) has requested pre-trial detention for four defendants in the separate 'Águas Turvas' corruption investigation involving the municipal company Águas de Gaia.

Update: PS councillors named as formal suspects in Imergente case

Two Lisbon City Council members from the Socialist Party (Partido Socialista or PS) have been named as formal suspects (arguidos) in the ongoing Operation Imergente. This development follows broader investigations into municipal contracts, prompting PS Secretary-General José Luís Carneiro to demand irreproachable ethical conduct from party officeholders.

Prosecutor-General Amadeu Guerra appeared before a parliamentary committee on Thursday to deny that the Public Prosecution Service (Ministério Público) times its investigations and searches to influence politics. Addressing questions regarding recent raids on the PS, Guerra also highlighted that the service is struggling with a lack of resources, including staffing and technological support, which he described as a near-paralysis of the system.

Amadeu Guerra was questioned regarding the searches at the PS headquarters and parishes linked to the party.

The government's proposal to reform the Court of Auditors (Tribunal de Contas or TdC) passed in parliament with support from the PSD, CDS-PP, and the Liberal Initiative (Iniciativa Liberal or IL). The Socialist Party (Partido Socialista or PS) abstained, allowing the bill to proceed to the committee stage despite internal disagreements over the proposed changes to prior control measures.

The Court of Appeal has validated evidence of corruption and other crimes against Pedro Calado, a key figure in the case that led to the resignation of the Madeira regional government. In a separate incident, the mayor of Vila do Conde, Isaac Braga, has resigned from his position following allegations of personal spending using parish council funds.

The government is pushing for a reform that would eliminate the mandatory prior visa (visto prévio) for most public contracts under 10 million euros. While the ruling parties support the move to reduce bureaucracy, the Socialist Party (Partido Socialista or PS) and other opposition groups have expressed concerns regarding the potential for increased corruption and reduced transparency.

Minister of the Presidency António Leitão Amaro announced that the Agency for Integration, Migration and Asylum (AIMA) has approved processes for approximately 385,000 immigrants. The minister stated that 458,989 residence cards have been issued to date, aiming to resolve long-standing administrative delays. Meanwhile, the government is also debating a new return law in the Assembly of the Republic to accelerate the removal of foreign nationals in irregular situations.

The President of the Court of Auditors (Tribunal de Contas), Filipa Urbano Calvão, has criticized a government proposal to amend the oversight of public contracts. The court warns that raising the threshold for prior approval to 10 million euros weakens public finances and creates potential for corruption. The Social Democratic Party (Partido Social Democrata or PSD) has since accused the court of attempting to influence members of parliament through a social media campaign against the bill.

Update: Court warns of corruption risks in public contract changes

New reports indicate that the proposed changes would remove approximately eight billion euros from the court's oversight, representing a 60% reduction in the value of contracts subject to prior review compared to last year. The court maintains that these measures create zones without scrutiny, while the government argues the move is a first step toward broader administrative reform.

The government meets in the Council of Ministers to approve the bill for the revision of labour legislation. Montenegro expects dialogue with Chega and the PS.

The Social Democratic Party (Partido Social Democrata or PSD) and the PS have both indicated they will not support a constitutional revision process currently initiated by Chega. The PSD stated it will not submit any proposals during this period, while the PS emphasized that such a revision is not a priority for the party.

The president of the Constitutional Court (Tribunal Constitucional), José João Abrantes, has announced his resignation for personal and institutional reasons. André Ventura, leader of the Chega party, has alleged that the resignation stems from pressure by the Socialist Party (Partido Socialista or PS) and is calling for an immediate election of new judges.

Update: Resignation triggers scramble for new Constitutional Court judges

The resignation of José João Abrantes has accelerated the timeline for electing four new judges to the court. While the PS has denied the allegations of pressure, the vacancy allows the party to nominate a new judge, potentially shifting the court's internal balance. André Ventura is now pushing for the parliamentary conference of leaders to convene this Wednesday to initiate the selection process.

André Ventura, leader of the Chega party, is insisting that Parliament reconfirm a decree allowing the loss of nationality as an accessory penalty for serious crimes, despite the Constitutional Court (Tribunal Constitucional) twice declaring the measure unconstitutional. While the Social Democratic Party (Partido Social Democrata or PSD) has stated it will not provoke an institutional conflict over the matter, Ventura plans to raise the issue in upcoming meetings with the Prime Minister. The debate continues as the government navigates these legal challenges alongside other legislative priorities.

The Court of Auditors (Tribunal de Contas or TdC) has identified illegalities regarding the appointment of at least 49 managers at the Oeiras City Council (Câmara de Oeiras). These officials have been serving in acting roles beyond the 90-day legal limit without the required public tender procedures. The TdC report suggests these findings could lead to future disciplinary action against those responsible for human resources management.

The Chega party has formally submitted a proposal for a parliamentary inquiry into Operation Influencer, focusing on the actions of former Prime Minister António Costa. The party claims that recently disclosed wiretaps contradict previous statements made by the former leader regarding projects in Sines and lithium mining concessions.

Update: PSD blocks Chega's proposed inquiry commission into Operation Influencer

The Social Democratic Party (Partido Social Democrata or PSD) has announced it will not support the parliamentary inquiry proposed by Chega. The PSD argues that political bodies should not interfere in ongoing judicial investigations, particularly those involving sensitive evidence currently under judicial secrecy.

President Marcelo Rebelo de Sousa has officially signed the latest amendments to the Nationality Law into effect. The update primarily clarifies the calculation of the five-year residency period required for naturalization, aiming to streamline the application process for foreign residents.

Update: IRN clarifies application of new Nationality Law

The Institute of Registries and Notaries (Instituto dos Registos e do Notariado or IRN) has confirmed that the new Nationality Law applies only to applications submitted after the law's approval. Consequently, applications filed before this date will be reviewed under the previous, more favorable residency criteria.

The Liberal Initiative (Iniciativa Liberal or IL) has confirmed it will present a constitutional revision project within 30 days. The proposal focuses on elevating private property to a fundamental right and revising the economic aspects of the Constitution of the Portuguese Republic (Constituição da República Portuguesa).

The Public Prosecution Service (Ministério Público or MP) has proposed reforms to the Code of Criminal Procedure to streamline investigations, including granting prosecutors authority to select emails for evidence without initial judicial oversight. The director of the Central Department of Investigation and Penal Action (Departamento Central de Investigação e Ação Penal or DCIAP), Rui Cardoso, stated these changes aim to prevent years-long delays in complex cases.

Ribau Esteves, president of the Centre's Regional Coordination and Development Commission (Comissão de Coordenação e Desenvolvimento Regional or CCDR), has identified an excessive level of fraud in applications for storm damage support. Applicants are reportedly falsifying declarations to claim funds for ineligible second homes or inflating repair costs, though officials maintain this is not the primary cause of payment delays.

The Porto City Council (Câmara Municipal do Porto) has unanimously approved a study on electric scooter accidents following the death of a 25-year-old woman. The study aims to collect data on accidents and formulate recommendations to improve safety for users of this transport mode.

The Socialist Party (Partido Socialista or PS) and the Left Bloc (Bloco de Esquerda or BE) have introduced separate bills to ensure political party donors are publicly identified. This move follows a decision by the Entity for Political Accounts and Financing (Entidade das Contas e Financiamentos Políticos or ECFP) to restrict access to donor identities citing data protection laws. The proposed legislation seeks to classify this information as a matter of public interest.

Minister of Parliamentary Affairs Carlos Abreu Amorim stated that revising the Constitution is a natural process but should only occur at the end of the current legislative term. He emphasized that such a revision should not be used as a pretext to delay necessary government reforms. The Constitution has not undergone a formal revision since 2005.

The Superior Council of Administrative and Tax Courts (Conselho Superior dos Tribunais Administrativos e Fiscais or CSTAF) has formally refuted claims made by former Prime Minister José Sócrates regarding the scheduling of his lawsuit against the State. The judicial body denied allegations that the court's timing was influenced by fear of the European Court of Human Rights. The case is set to proceed in May.

José Ornelas, president of the Portuguese Episcopal Conference (Conferência Episcopal Portuguesa or CEP), stated that taxing compensation payments for victims of sexual abuse within the Catholic Church is ethically unacceptable. He confirmed that the CEP is currently working to address the issue, arguing that these reparations should remain tax-exempt. Ornelas also recently criticized the use of religious rhetoric to justify hate speech or the exclusion of minorities.

The Minister of Labour, Solidarity and Social Security, Rosário Palma Ramalho, announced that negotiations regarding labour law reforms have reached a constructive level after eight months of discussions. The government is now waiting for the General Union of Workers (União Geral de Trabalhadores or UGT) and business confederations to consult their internal bodies before finalizing the proposal.

Minister of Labour Maria do Rosário Palma Ramalho is meeting this Monday with business confederations and the General Workers' Union (União Geral de Trabalhadores or UGT) to discuss labour law reforms. This marks the 53rd meeting between the government and social partners as they attempt to reach an agreement on contract and dismissal regulations. The UGT is expected to analyze the proposed changes during its upcoming national secretariat meeting.