Lisbon City Council appeals court decision on holiday allowances and subsidies

The Lisbon City Council (CML) will appeal against a court decision obliging the municipality to pay various allowances and subsidies during workers’ holidays, a source in the city council told Lusa this Monday.

The National Union of Teamsters and Other Workers (SNMOT), which filed a lawsuit against CML, said on Sunday that the municipality had been ordered to pay several allowances and subsidies, including for hardship, risk and unhealthy conditions during working holidays.

In response to Lusa’s questions, a source in KML only indicated that the municipality is aware of the decision made in the first instance and, “not agreeing with it, will file an appeal.”

In a statement released on Sunday, SNMOT recalled that it had stated in court that “CML never paid its employees during the month’s leave” the following allowances and subsidies: shift allowances; bonus for exemption from working hours; health, hardship and risk benefits; and the average annual amount of overtime work received and night work received.

According to SNMOT, the court’s decision (which Lusa has asked to consult but has not yet received) applies to “current and future” workers.

Since this is a first instance decision, it can be appealed by both parties.

Speaking to Lusa, Manuel Oliveira, vice-president of SNMOT, emphasized the “huge importance” of this assessment for the budgets of CML and other government bodies, which he said would potentially be affected by the decision.

Using “simple accounts” estimating €300 per year for each worker with an average of ten years of service and multiplied by the more than 700,000 workers performing public functions, SNMOT calculated that the state might have to pay an average of €2.1. billion euros to its employees.

“The Portuguese state, which also includes the governments of the autonomous regions, has never paid its workers the amount to which they were entitled for a month of vacation,” criticized Manuel Oliveira.