Public sector shrinks by 4.6%

Public sector staff in Portugal was reduced by 4.6% in 2012, representing a cut of more than 28,000 people employed by the State. State workers totalled 583,669 at the end of last year. Teaching jobs were the most affected, with more than 13,600 teachers working for the state leaving their position. Further cuts are expected this year. The government has announced that it will not be renewing 50% of existing fixed-term labour contracts.