Holiday warning as major strike in Portugal set to ground flights

Portugal is bracing for widespread disruption on Thursday as a major strike, orchestrated by the nation's two principal trade union confederations, threatens to paralyse transport, public services, and healthcare.

The industrial action, which could mark the country's largest walkout in over a decade, involves nearly a million Portuguese workers.

Unions are protesting the centre-right government's proposed amendments to employment laws, arguing these changes will erode workers' entitlements. Conversely, the government maintains the reforms are crucial for enhancing economic flexibility and stimulating growth.

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The proposed changes include making it easier for companies to fire workers, denying the right to strike in additional sectors of the economy and limiting breastfeeding breaks for mothers to the first two years of a baby’s life from the current open-ended dispensation.

Portugal has one of the European Union’s smallest economies and its workers are among the lowest paid in the 27-nation bloc. The average monthly wage is around 1,600 euros ($1,870) before tax, according to the National Statistics Institute. The minimum monthly wage earned by hundreds of thousands of workers is 870 euros ($1,018) before tax.

The Portuguese are also being pinched by a housing and cost of living crisis, as property prices soar and inflation sticks at just over 2%.

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The European Commission expects Portugal to achieve GDP growth of around 2% this year, above the EU average of 1.4%. Unemployment stands at under 6%, roughly the EU average.

Trade unions planned street marches later Thursday. It is the first time since 2013 that the umbrella groups — the General Workers’ Union and the General Confederation of Portuguese Workers — have joined forces.

Social Democrat Prime Minister Luis Montenegro has described the strike as “senseless” because the country is doing well.