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Portugal has “many bosses and few entrepreneurs”

The Secretary-General of the General Union of Workers (UGT), Mário Mourão, spoke today in Porto on the occasion of the organization’s 47th anniversary, highlighting contributions to the increase of the national minimum wage and, consequently, the average wage in Portugal.

“Is the minimum wage enough? No. We are far from our goal. However, without the recent increases, our current situation would be worse. There are always obstacles, particularly from owners who do not value their employees’ contributions. Unfortunately, Portugal still has too many bosses and too few genuine entrepreneurs,” Mourão stated during the concluding remarks of the conference focused on salaries.

He revealed having urged the Minister of Labor, Maria do Rosário Palma Ramalho, to invest in the training of Portuguese businessmen.

“We are neither against entrepreneurs nor against companies. We cannot thrive without them. Our need is for companies to be productive and to redistribute the wealth they generate because such achievements stem from the hard work of their employees,” Mourão insisted.

Focusing also on youth employment and salaries, Mourão criticized the proposed labor law reform for lacking measures to combat job insecurity for new labor market entrants.

“Young people lack the conditions to settle in the country. We need to create such conditions, and this depends on companies and the mindset of entrepreneurs. It’s crucial for the country to appreciate labor, especially the most qualified workforce Portugal has ever nurtured—our youth,” he commented, noting that the draft revision of the labor law “fails to address a single issue of Portuguese workers and youth.”

Tax exemptions and benefits during initial years of employment “are positive but merely postpone the problem.”

The UGT representative expressed confidence that conditions are ripe for the minimum wage to surpass 920 euros by 2026, suggesting an increase to 950 euros.

Reflecting on the union’s journey, Mourão noted they would not have anticipated many challenges faced today, 47 years ago.

“We didn’t foresee global multilateralism, vital for decades of prosperity and peace, being challenged. Nor did we expect the rise of autocracies and populism to undermine our democratic systems’ foundations,” he observed.

Recalling the UGT’s history of being considered “cautious and moderate,” the Secretary-General affirmed a strong understanding of the role and impact of the unions he represents on Portuguese workers.

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