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Portugal news agency staff strike over funding cut
Staff at Portugal’s national news agency Lusa have started a four-day strike over government plans to cut state funding for the company by 30 percent next year.
The centre-right government is locked into a program of spending cuts in return for Portugal’s (euro) 78 billion ($102 billion) bailout last year.
The government intends to reduce the amount it pays under the agency’s public service contract to (euro) 13.2 million in 2013, from (euro) 19.1 million.
The state owns 50.14 percent of Lusa, with other Portuguese media companies holding the rest. State funding represents about 70 percent of Lusa’s revenue.
Lusa reported a net profit last year of (euro) 613,000. Almost 80 percent of its 291 staff are journalists.
The Lusa news service stopped at 8 a.m. (0700 GMT) Thursday.
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