The Constitutional Court of Portugal rejected some of the measures of the Labor Code adopted in 2012, for which it was seized. Emblematic measures include dismissal when the position disappears or when the employee is not adapted for it. These standards, considered as key for more flexible labor as requested by the international troika (IMF, ECB and EU) that finances the country’s economic assistance. (Ref. 130570)
Rejecting grounds for dismissal. The 2012 Labor Code introduced a great deal of flexibility to the notion of dismissal in Portuga( see our article n°120340). Regularly criticized as slowing corporate productivity down, the framework for layoffs was greatly amended and extended. The government applied the recommendations made by the IMF and the European Union, that supervise the Portuguese economy in return for a €78-billion bailout.
The Constitutional judges have decided that dismissal on the
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