Over the Weekend

Expresso
«Government ditches TSU and prepares cuts to bonuses», wrote weekly newspaper Expresso on Saturday, revealing that after strong opposition Prime Minister Passos Coelho said the government was ready to abandon the controversial proposal to change social security contributions and would present the final draft early in the week. The weekly also added that the solution was negotiated with President Cavaco Silva, the Bank of Portugal and the social partners.

Monday

Público
«Bosses want hike in tobacco tax to keep cut in TSU», writes Público, as the Portuguese Confederation of Industry (CIP) wants to maintain the government’s proposal to cut company-paid social security contributions by 5.75% and compensate it with a 30% hike in taxes on tobacco products. The government is to present its new proposal to the social partners this Monday.

Correio da Manhã
«Spain feeds Portuguese Army», reports Correio da Manhã, revealing that the Portuguese Army’s rations are 100% imported, with tinned goods, coffee, biscuits and other products coming mostly from Spain.

Diário de Notícias
«Partners reject cuts to bonuses and demand alternatives», writes Diário de Notícias, about this Monday’s meeting between the government and the social partners. According to the daily, only trade union confederation CGTP and the Portuguese Confederation of Industry (CIP) will present concrete proposals as alternatives to the cabinet’s controversial changes to the TSU, or company-paid social security contributions. All the partners reject cuts to workers’ bonuses to avoid creating a recessive spiral and defend the prime minister should present cuts to expenditure instead, but are open to increasing taxes on certain good such as tobacco. Also according to the daily, there are signs that Passos Coelho is getting ready to reshuffle the cabinet.

Jornal de Notícias
«Three new prisoners a day», reveals Jornal de Notícias, as the number of prisoners in Portuguese jails increased 20% since the beginning of the crisis and conditions are reaching the limit.

i
«Half the real estate agencies disappeared since beginning of crisis», writes i, as the number of insolvencies skyrocketed in Portugal in the last year with real estate agencies one of the worst affected businesses as the property market slumps. According to the daily, of the 4,000 real estate agencies operating in the country in 2007, only some 2,000 remain in business.

Diário Económico
«Banco do Brasil sounded out government to keep 20% of CGD», reports financial daily Diário Económico, revealing that before the international lenders’ fifth mission of assessment of Portugal’s bailout programme, the Brazilian central bank expressed interest to the minister of finance in keeping part of state-owned bank Caixa Geral de Depósitos (CGD). The government has not decided yet whether it will be privatising the bank.

Jornal de Negócios
«Bosses propose taxes on tobacco and energy», reveals financial newspaper Jornal de Negócios, as the social partners, which meet with the government this Monday to discuss alternatives to the controversial measure that aimed to change social security contributions, fear the effects an increase in income tax will have on consumption, proposing tax hikes to certain goods instead.

A Bola
«Xistra but not only», writes A Bola, as the referee who oversaw the match between Benfica and Académica was responsible for one unacceptable mistake but Benfica’s failings were also to blame for the 2-2 draw.

Record
«Eagle in fury», reports Record, as Benfica blames the referee for its disastrous match against Académica.

O Jogo
«Vitamin Éder», writes O Jogo, as the Portuguese forward of Guinea-Bissauan origin who plays for SC Braga was pivotal for the team’s 4-1 win against Rio Ave.