Portugal: labor cost 10 percent higher than the average in the Euro zone

Portuguese competitiveness is slowly going up, the Central Bank of Portugal having published slightly decreasing unitary labor costs. However, it is still higher than the average in the rest of the Euro zone countries. The Portuguese government is hoping that the new Labor Code, which came into force on August 1, 2012, will help change this trend further. (Ref. 120490)
Enjoy this article for free while you’re in your trial period
You have access to our content for 1 month.

Labor cost and competitiveness. In its report on labor costs for the first 2012 quarter, the Central Bank of Portugal points out that unitary labor cost is 10 percent higher than the average for the 17 countries in the Eurozone. However, the bank observed a drop in the Portuguese index: 5.6 percent in cumulated data since 2009 as opposed to 12.8 percent in the single currency countries. This staggered decrease – and especially slower decrease – of the pay/productivity ratio in Portugal...

You are reading this article thanks to your trial period.
Explore new horizons by checking out our other verticals:
You are reading this article thanks to your subscription to Mind Retail.
Explore new horizons by checking out our other verticals:
Do you have information to share with us?
What you absolutely must read this week
The essential content of the week selected by the editorial team.
See all
France: social conference on labour and pensions to proceed without main employers’ group
The preparatory meeting ahead of the social conference on labour and pensions, which is set to decide on the pension system model and the funding thereof, was held on 4 November at France's labour...
Spain: already well on the way to pay transparency?
Spain is preparing for the implementation of its national law transposing the EU Pay Transparency Directive, which will take effect on 7 June 2026. The legislation marks another step forward in...
5 November 2025
Italy: decree-law adopted to increase workplace safety
On 28 October, the Italian cabinet adopted a decree-law on health and safety at work, aimed at preventing and reducing accidents. The text addresses both the powers and actions of supervisory...
4 November 2025
Romania: parents of children with disabilities granted up to eight days of remote work per month
On 9 October, the Romanian parliament adopted a bill aiming to bolster support for parents of children with disabilities up to the age of 18. The legislation, which came into force on 12 October...
Most viewed articles of the month on mind HR
What readers clicked on the most last month.
What readers clicked on the most last month.
1
Candice Guillot (Talan): “Our recruiters save just over 80 hours per year on administrative tasks thanks to AI”
Candice Guillot, group director of employee experience and HR performance at Talan (7,000 employees), outlines for mind RH her vision and strategy for introducing artificial intelligence at the...
20 October 2025
2
France: insurance sector becomes first to sign agreement on employment of older workers
On 25 June 2025, France Assureurs – the employers’ association for the insurance industry – and five representative trade unions signed the sector’s first three-year agreement aimed at promoting...
3
France: social conference on labour and pensions to proceed without main employers’ group
The preparatory meeting ahead of the social conference on labour and pensions, which is set to decide on the pension system model and the funding thereof, was held on 4 November at France's labour...