Abstract: This paper emphasises the role of national historical configurations and institutional and political
structures (e.g. of social protection systems) on the response to the new challenges and pressures affecting
welfare states and labour markets, in particular, the ones related to the increase in unemployment and
changing forms of employment.The article focuses on the Portuguese recent experience, which is an
interesting case within the analysis of the specificities of the southern model of welfare state and the
ongoing processes of change. We analyse the structural weaknesses and recent trends of the Portuguese
social protection and labour market systems, considering that they are constrained by the new risks
and demands originated.At the same time, by domestic and external ongoing processes. Our hypotheses
is that Portugal is being particularly affected by the effects of the Neo liberal, convergence and is failing
to respond to internal and external challenges adequately (e.g., without aggravating citizens living standards
and risks of poverty and social exclusion) due, namely, to unresolved structural problems and to
The weaknesses of its institutions.
1. Introduction: in this paper, we subscribe to the idea that the connexions and interactions between labour markets and social protection systems: are extremely important factors to determine
the good performance of modern capitalist societies. We emphasize that labour mar -
PhD candidate in sociology, Faculty of economics. The University of Coimbra. Portugal,Csvaladas @ gmail. Com -
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