Portugal's supreme court knocks down austerity measures


  • World
  • Saturday, 31 May 2014

LISBON (Reuters) - Portugal's supreme court has struck down several austerity measures proposed in the government's 2014 budget, including salary cuts in the public sector, creating a fiscal gap of 700 million euros.

The court ruled against planned salary cuts of between 2 and 12 percent in the public sector, undermining one of the key elements of spending cuts set out in the international bailout that Portugal exited this month.

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