Américo Oliveira Fragoso, Head of the Labour Practice, gave an interview to Jornal Económico on the Labour Reform Draft Bill “Trabalho XXI”, in which he analyses the proposed measures and the expected impact on workers, companies and the competitiveness of the Portuguese economy.

Although he acknowledges that the document presents “great ambition in its aims”, the lawyer notes that the Draft Bill “is still likely to undergo changes, depending on negotiations with social partners and the legislative approval process”. He also emphasises that, although it is “moving in the right direction”, the legislative proposal falls short of achieving the transformation that was expected, particularly given the scale of the revision announced.

Among the measures with the greatest impact, Américo Oliveira Fragoso highlights the increase in initial parental leave to 180 days when shared between parents; the revision of the presumption of employment applicable to digital platform workers; the strengthening of the remote working regime; the extension of the simplified disciplinary procedures framework; and significant changes to collective bargaining, namely the possibility of extending collective agreements to all employees when these cover more than half of the workforce.

The VdA partner argues that, although the Draft Bill represents an important step forward, Portuguese labour reform requires a deeper and more structural shift, capable of keeping pace with developments in the labour market and responding to the demands of Economy 4.0. He also stresses that legislation must prepare for emerging challenges associated with new labour models, technological advancement and the growing impact of Artificial Intelligence on human resources management.

• Read the full interview here.