LUSA 01/21/2025

Lusa - Business News - Portugal: Workers on temporary layoff in December up 10% MoM, down 28% YoY

Lisbon, Jan. 20, 2025 (Lusa) - The number of workers in Portugal on temporary layoff - a state-sponsored scheme aimed at avoiding definitive job losses - was in December up 10% from November but down by some 28% from December of 2023, at 7,028, according to official Social Security data.

"In December 2024, the total number of layoff situations with retributive compensation (normal concession, according to the provisions of the Labour Code) was 7,028," reads the summary drawn up by the Strategy and Planning Office (GEP) of the Ministry of Labour, Solidarity and Social Security and released on Mondday.

Compared to November, there was an increase of 661 layoff benefits processed, or an increase of 10.4%. Compared to December of 2023, there was a decrease of 2,677 layoff benefits processed, a drop of 27.6%. 

It should be noted that in November 2024, the number of workers on layoff had been down by almost 60% on the same month in 2023, when it had peaked. 

According to the GEP, the reduced working hours scheme covered 5,026 people, an increase of 856 or 20.5% on November, but was down 893 or 15.1% from December 2023.

The temporary suspension scheme covered 2,002 workers, reflecting a decrease of 195 or 8.9% on the month and a fall of 1,784 or 47.1% from December 2023.

Layoff benefits were processed for 376 employers in December 2024, five fewer than in November and 201 fewer than in December 2023.

Last week, the minister of labour, Maria do Rosário Ramalho, assured parliament that the right-of-centre coalition government "is attentive to the recessionary context of the economies" with which Portugal trades the most, namely with regard to "the evolution of collective redundancies, which are growing, and the evolution of the number of beneficiaries of layoff benefits, which is also rising."

Nevertheless, she hailed as "positive" some data relating to the labour market, namely with regard to the employed population and a jobless rate that she described as "low" - arguing that the labour market remains "stable" at present. 

 

JMF/ARO // ARO.

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