Portugal court rejects some austerity measures

CNC reporting from Lisbon
Added On April 6, 2013

Portugal's Constitutional Court ruled on Friday that some of the unpopular pay cuts in this year's state budget are unconstitutional.

It has rejected four out of nine contested austerity measures from the budget.

It will deprive the government AROUND 1.4 billion euros in savings the government had said were necessary to meet the terms of a eurozone bailout.

The government has called for an emergency cabinet meeting for Saturday.

The court rejected a measure to scrap summer holiday bonuses for public sector workers and pensioners, as well as cuts to unemployment and sickness benefits.