PS and Iniciativa Liberal Criticize Government's Labor and Housing Plans Amid Budget Talks
August 31, 2025
He criticized the government for proposing measures after elections that were not part of its electoral program, calling this a betrayal of voters.
The Prime Minister announced additional investments in affordable housing, including a €1.3 billion line of credit with the European Investment Bank, scheduled to be signed soon.
Carneiro responded to comments from Luís Montenegro about the upcoming State Budget being 'relatively simple,' warning against negotiations based on ultimatums or red lines, indicating ongoing disagreements.
He also addressed Montenegro's description of the OE as 'relatively simple,' emphasizing that negotiations should not be based on red lines or ultimatums.
Carneiro emphasized that the PS will oppose any social justice issues in proposed labor law changes, especially those affecting young people, women, families, and vulnerable workers, viewing these as core social values rather than red lines.
He highlighted the importance of waiting for the government's formal proposal for the upcoming State Budget (OE) and stressed that social justice, human dignity, and values should underpin stability.
Carneiro warned that the government might attempt to alter fundamental aspects of public health and social protection services, which the PS would oppose if included in the budget.
Mariana Leitão, president of Iniciativa Liberal, called for clarification from the government about the housing plan's funding, target audience, and specific details, including whether the 133,000 homes are for rent, sale, or social support.
Leitão also indicated she would wait to see the government's ambitions regarding tax cuts and state reforms, which she considers essential for easing family burdens and improving government efficiency.
The PS is currently waiting to see the government's next steps, with decisions dependent on the actions the government will take.
Leitão expressed skepticism about the details of the housing plan and emphasized the need to stimulate the construction market through tax reductions, reduced bureaucracy, faster licensing, and liberalizing the rental market to boost confidence among landlords.
Carneiro declined to comment on the Prime Minister's decision not to disclose the number of government-owned properties, stating only that only the Prime Minister can address his personal affairs.
The PS is waiting for the government's next move, with the budget proposal due to be submitted to the Assembly of the Republic by October 10, 2025.
The government presented a draft labor reform called 'Trabalho XXI' on July 24, proposing to revise over 100 articles of the Labor Code, which has faced opposition from trade unions.
Carneiro warned that if the proposed labor law changes are not withdrawn, the PS will consider its next steps after assessing the government's actions.
Leitão questioned whether the housing plan includes the 60,000 homes from the Recovery and Resilience Plan (PRR), and sought details on funding sources, responsibilities, and whether the homes are intended for rent, sale, or social support.
Summary based on 6 sources