Promulgation of labor alterations marks “rupture” with precariousness

“The legislation now promulgated by the President of the Republic [Marcelo Rebelo de Sousa] it is a legislation that breaks many years of precarious issues, ”said minister José Vieira da Silva.

The governor also expressed satisfaction with the promulgation of the diploma "with a clear statement of constitutionality" of the rule concerning the extension of the trial period by the President of the Republic.

“There has been some controversy surrounding the creation, for young people seeking their first job and long-term unemployed, of a trial period that already exists for other professionals, but which is intended to create better conditions for both parties to start a contractual relationship that can be more solid and that points to a greater weight of permanent contracts in labor relations, ”said Vieira da Silva.

As explained, the changes take effect one month after they are published, but not all standards take effect at the same time.

“This legislation in many respects respects transitional periods. Someone who has an ongoing contract will not see it modified by legislation that is later than when he entered into that contract, ”said the governor.

The new hiring will follow the new rules, which for example provide for the reduction of the duration of the fixed term contracts and their renewals or the creation of a group time bank.

“The Portuguese economy is always generating new employment contracts, there are many hundreds of thousands of contracts that are formalized each year and I am very hopeful that this legislation will help an ever-increasing part of these contracts to be lasting and not contracts in which the beginning and the end are soon known, ”concluded the minister.

The President of the Republic today promulgated the amendments to the Labor Code, considering that the grounds of the 2008 Constitutional Court ruling that "failed" then the extension of the trial period is not valid in this case.

In the note, the President stated that it does not appear “that the grounds of the judgment of the Constitutional Court No 638/2008 of 23 December concerning the extension of the trial period for undifferentiated workers should, in the same terms, apply to the two situations just mentioned ”.

Amendments to the Labor Code were approved by parliament in a global final vote in July, with only PS's favorable votes and PSD and CDS abstaining and BE and PCP against.

In addition to the extension of the trial period, the amendments now envisaged introduce a turnover rate for companies abusing term contracts, reducing the maximum duration of term contracts to two years (currently three years) and a limit to renewals of contracts.

Very short-term contracts are extended from 15 to 35 days and their use is widespread across all sectors and is no longer limited to agriculture and tourism, for example.

The figure of the group hour bank is also created, a mechanism that can be applied to the set of workers of a team, section or economic unit as long as it is approved in a referendum by the workers.

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